Suncor readies jack-up for Niobe drilling (UK)

Business & Finance

Trapoil has announced that a contract has been signed for a jack-up rig for the drilling of a well to test the Niobe prospect, in the North Sea.

The Niobe prospect, formerly named Kratos, is located in the Licence P.1889, Blocks 12/26b and 12/27, within the Moray Firth. Suncor Energy UK is the operator with 49.5 percent equity interest, Noreco has a 22.5 percent equity interest and Trap Oil Limited has a 28 percent equity interest.

According to Suncor’s Niobe exploration well Environmental Statement, the well is planned for 2Q 2015 continuing for a period of up to 45 days. The jack-up drilling rig will be towed to location using a maximum of three tugs.

Suncor notes that the primary objectives of the Niobe exploration well are to establish the presence of productive, hydrocarbon bearing reservoirs in the primary target, Upper Jurassic Burns sandstones; and to determine the economic viability of the hydrocarbon volumes entrapped within the structure through the identification of reservoir properties of the primary target.

Licence P.1293, Block 14/18b – Athena Oil  Field (Athena)

The Athena Oil Field (Athena), in which Trapoil holds a 15 per cent. equity interest, has stabilised at gross production rates of approximately 4,800 bopd (720 bopd net to Trapoil) following the work over on the P4 production well and further intervention work on the P1 and P3 production wells.

28th Seaward Licensing Round

In the 28th Seaward Licensing Round, Trapoil was awarded Licence P2170, Blocks 20/5b and 21/1d with its consortium partner CIECO Exploration and Production (UK) Limited where each party currently has a 50 per cent. interest.

Other Licences

A number of Trapoil’s licences have come to the end of their licence period and despite rigorous attempts to farm these out, the company says it has been obliged to relinquish these, in accordance with the term of the licenses. These  include Licence P.1267, Blocks 12/25a & 13/21b (Surprise & Nutmeg), Licence P.2026 Block 16/18c (Savannah), Licence P.2032,  Blocks 21/8c, 9c, 10c, 14a & 15b (Valleys) and Licence P.1938 Blocks 3/2c, 4c, 7d, 9c, 13b, 14h,14j, 16/12b, 17c, 211/22b, 27d, 28b & 29b (Unconventional).

Cash Position

Trapoil says it has now paid the Athena workover costs and the majority of the expected abandonment provision for Athena and plans to pay the final installment of c.£1.3m during 2015. Furthermore, Trapoil says it has also pre-paid the expected drilling costs for the Niobe prospect and as a result, as at December 31, 2014, the company’s net unrestricted cash reserves amounted to approximately £7m.

Offshore Energy Today Staff

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