OGA’s 8-step program to maximize SNS tight gas recovery

UK’s Oil and Gas Authority (OGA) has published a strategy outlining a plan to maximize the economic recovery of ‘tight gas’ from the Southern North Sea (SNS).

According to OGA’s “conservative” estimates, there are some 3.8 trillion cubic feet (tcf) of remaining gas accessible in the SNS, including infill opportunities, undeveloped discoveries, and prospects.

The regulator said that tight gas reservoirs were often disregarded as high cost and high risk, with license holders instead tending to focus on less complex developments with lower costs and higher recovery factors. For clarification, tight gas describes low permeability gas reservoirs that produce primarily dry gas.

OGA added that the Southern North Sea Tight Gas Strategy was developed to help stimulate greater use of technology and collaboration to overcome these barriers and unlock significant remaining potential in the SNS.

Eric Marston, OGA area manager for the Southern North Sea and East Irish Sea, said: “Maximizing recovery of tight gas represents a real opportunity to extend the life of the Southern North Sea’s existing infrastructure, including the development of marginal fields and potentially the redevelopment of existing fields.

“In addition, we can expect an upturn in activity to benefit the supply chain by building their capability and expertise in tight gas. We’ve also been working closely with industry via the East of England Energy Group’s (EEEGr) SNS Rejuvenation Special Interest Group, which in turn has been actively supporting the tight gas agenda.”

 

Southern North Sea Tight Gas Strategy

The Strategy announced on Thursday identifies OGA’s tight gas ambition as well as ways of its implementation.

The UK oil and gas regulator plans to drive the economic development of tight gas reservoirs across the SNS. It also aims to support existing tight gas projects and ensure readiness of future projects as well as support collaboration to reduce both costs and risks by sharing knowledge and expertise.

Furthermore, OGA looks to identify and promote opportunities to undertake campaign activities across operators and drive economies of scale and ensure appropriate technology is developed and deployed to support the economic recovery.

 

Eight-step program

To ensure the implementation of the SNS Tight Gas Strategy and its tight gas-related ambitions, OGA developed an eight-step program, as follows:

  • Program 1 (Existing tight gas developments), promotes integrated programs of work and sharing of best practice amongst operators who are progressing tight gas developments in the short term (1-2 years)
  • Program 2 (Future tight gas developments), promotes integrated programs of work and sharing of best practice amongst operators who are progressing tight gas developments in the short term (3-5 years)
  • Program 3 (Workgroups and industry partnerships), work alongside relevant industry workgroups and operators with a specific interest in promoting tight gas developments in the SNS
  • Program 4 (Technology development and deployment), identify technology development opportunities that may promote and unlock future tight gas opportunities
  • Program 5 (Knowledge sharing and best practice), promote knowledge sharing and the dissemination of best practice amongst operators with an interest in tight gas
  • Program 6 (Coordinating the supply chain), ensure the supply chain is aligned with operator priorities and potential developments in the SNS
  • Program 7 (Creating value and improving economics), reduces development risks and improves project economics for prospective tight gas developments
  • Program 8 (Communication and stakeholder plans), raises the profile of tight gas opportunities within the SNS through a coordinated communication plan