Ithaca preparing investment programs and budgets for 2020

Following completion of acquisition of Chevron’s North Sea business, Delek Group-owned Ithaca Energy is working on its operational and capital investment work programs and budgets for 2020. 

With the Chevron North Sea Limited acquisition now completed, work is underway to finalize the 2020 operational and capital investment work programs and budgets, Ithaca Energy said in an update on Thursday.

Through the acquisition, Ithaca has acquired interests in the Captain, Alba, Erskine, Alder, Britannia, Brodger, Callanish, Enochdhu, Elgin/Franklin, and Jade fields.

According to the company, the acquisition transition and integration program was completed in under six months and all personnel (onshore) are now located in one office. The focus over the coming months turns to the transformation program, which is centred on process simplification, operational efficiencies, and value creation.

Focus on infill drilling 

Ithaca said that the 2020 investment program would involve infill drilling activities on its operated Alba field, with the drilling crew currently being mobilized following completion of the Captain drilling program, along with a further infill well on the Elgin/Franklin field and a well on the Callanish field.

The 2019 drilling campaign on the Ithaca-operated Captain field, which involved the drilling of five infill wells and two well workovers, was completed in November.

This concluded the first of the two planned well campaigns that encompass the Phase 1 enhanced oil recovery program on the platform area of the main field, with the second campaign scheduled to start at the start of 2021.

The production performance of the field resulting from the injection of polymerised water to enhance reserves recovery continues to be in line with expectations.

On a pro-forma basis, taking into account the Chevron acquisition from the transaction effective date, full year 2019 production is expected to average approximately 75,000 barrels of oil equivalent per day (boepd), approximately 60% liquids.

Given the ultimate schedule of drilling activities completed over the course of the year, the company is forecast to exit 2019 with average production over the final quarter of the year of approximately 80,000 boepd.

Offshore Energy Today Staff

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