UK: EnQuest Sanctions Alma, Galia Fields Development
- Business & Finance
EnQuest has sanctioned the development of the Alma and Galia fields, subject to anticipated regulatory approvals. This $850 million project will add a fourth hub to EnQuest’s existing operating base, will increase EnQuest’s net 2P oil reserves by 29 MMboe and is expected to increase EnQuest’s production levels to over 40,000 Boepd in 2014.
EnQuest is anticipating average annual production of between 20,000 Boepd and 24,000 Boepd for 2012, between 25,000 Boepd and 30,000 Boepd for 2013 and in excess of 40,000 Boepd for 2014. EnQuest anticipates adding further production through business development opportunities.
The development will consist of 7 production wells and 2 water injection/disposal wells, tied back to the modified Uisge Gorm Floating Production and Storage Offloading (‘FPSO’) vessel. The development plan is designed to be capable of processing high water cut levels up to 95%
Amjad Bseisu, Chief Executive of EnQuest, said:
“The Alma and Galia development shows the continuing growth of EnQuest and the breadth and depth of its capabilities, from subsurface to production. The project reuses existing facilities and is designed to ensure that abandonment costs will be minimised. Alma, formerly the Argyll field, was the first oil field in the UK and was abandoned at relatively low water cut using the technology available at the time. With current technology field life can be extended significantly. This type of opportunity fits the EnQuest model of finding fresh opportunities in mature assets.
The Alma and Galia development provides a material increase of approximately 29MMBoe in EnQuest’s reserves and underpins our medium term production growth profile. This is EnQuest’s largest new project so far and our fourth hub. We look forward to EnQuest’s development and execution team delivering this and other hubs in the future.”
Offshore Energy Today Staff , November 29, 2011; Image:EnQuest