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The study was initially updated in 1990 and 1992 and in this 1996 The cash flow reports presented include an annual net present
version, now describes over 110 fields and complexes of fields in value column which is expressed using a 10 per cent. discount rate
terms of the salient geological features of the accumulation, a applied to real (deflated) cash flows. Life of field NPVs are also
synopsis of the reservoir and facilities engineering aspects of the provided using a range of discount rates applied to both real and
field and the results of basic economic modelling. nominal cash flows. In addition to annual liquids and gas
production volumes (expressed in thousands of barrels per day,
The study covers the producing fields and many of the fields under and millions of standard cubic feet per day) we have also shown
development on the UK, Danish, Dutch and Norwegian volumes of tariffed product expressed as barrels of oil equivalent
continental shelves. per day (converted on the basis of 6,000 standard cubic feet equals
1 barrel of oil).
The study is based on released data.The Department of Trade and
Industry in the UK arranges for the public release of most data The study has been carried out by Energy Resource Consultants,
related to wells drilled in the UK sector of the North Sea five a division of PGS Reservoir Limited. Energy Resource Consultants
years after well completion. In the Danish and Norwegian sectors offers a unique range of products and services and has performed
of the North Sea most well data are available five years after well projects in support of diverse objectives. These include:
completion, while in the Dutch sector, released well data are
available ten years after well completion. In addition to well data licence round evaluations
released in this way, much data relating to producing fields is exploration consultancy
published by companies involved in field development or finds its basin modelling
way into the public domain through technical papers or company interpretive seismic processing
reports. integrated field studies
independent expert and equity support
It should be noted that the structure maps used in the Stratigraphy reservoir characterisation
and Structure section have been entirely sourced from the public reservoir simulation
domain. It has therefore been necessary to rely on the latest development planning
published map. As a result, field outlines and well positions can reserves evaluation
sometimes vary from the local field map presented on page 1 of production forecasting
each chapter. This gives the most up to date representation of the bank financing and stock market quotation
wells drilled and field extent. acquisitions/disposals and mergers
facilities layout, scheduling and cost studies
Capital and operating cost estimates are based on public domain UK and international economic evaluation services
information supplemented by our own estimates. The economic
modelling has been carried out on a project basis with each field Energy Resource Consultants has studied almost all areas of the
considered in isolation for tax purposes where appropriate. UKCS and virtually every producing field in the North Sea, with
the exception of the single owner fields. It is stressed that none of
Gas prices used have been derived where relevant, from an the confidential information which has come into the possession
assumed oil price of $17 bbl in 1996, increasing by 4 per cent. per of Energy Resource Consultants during proprietary consultancy
annum in nominal terms thereafter, and an exchange rate of 1 studies has been used in this study.
=US$1.55 in 1996, and US$1.50 thereafter.
Energy Resource Consultants is a major force in the petroleum
Modelling is presented for full field life (where possible) and from industry with offices in Marlow, Aberdeen, Norway, Abu Dhabi and
the beginning of 1996 with an assumed inflation rate of 4 per cent. the USA.
from 1996. Post tax cash flows are subsequently deflated at 4 per
cent. per annum to establish a real cash column. Copyright
A number of the fields in the Dutch sector are grouped in a so No part of this report may be reproduced by or for any other
called Joint Development Area (JDA). The fields include K7, K8, company, organisation or individual without the written consent of
K11, K14, K15, and L13. The development costs and production of Energy Resource Consultants.
fields in the JDA are amalgamated and distributed among the
participating companies. There are at present five participating
companies in the JDA (NAM, CLAM, Clyde Petroleum, Oranje
Nassau Energie and EBN) and their interest in the agreement is
determined by their reserves which are recognised as
economically recoverable in the individual JDA licences. The
interests were previously adjusted annually. However, the JDA
partners have agreed to freeze their equity interests for five years Energy Resource Consultants
from 1st January 1994, in order to avoid the complex procedure Chapel House, Liston Road,
of redetermining equity every year.This unusual arrangement must Marlow, Bucks
be borne in mind when reviewing the economic analysis of the JDA
SL7 1XJ
fields.
Three sets of economics are presented in each chapter. The Full Energy Resource Consultants is a division of PGS Reservoir Limited
Field Life Economic Indicators report is expressed in sterling
Go To
Contents Location Map
Alba Alba
Alwyn North Alwyn North
Dunbar
Ellon
Grant
Amethyst Amethyst East
Amethyst West
Andrew Andrew Cyrus
Anglia Anglia
Argyll, Duncan & Innes Argyll, Duncan & Innes
Armada Complex Drake
Fleming
Hawkins
Audrey Audrey Ann
Auk Auk
Balmoral Balmoral
Glamis
Barque & Clipper Barque Galleon
Clipper
Beatrice Beatrice
Beryl Area Beryl A & B Nevis
Ness
Brae North & East East Brae
Brae South & Central North Brae Balmoral/Glamis
Central Brae Birch
South Brae East Brae
Beinn Heimdal
Miller
T Block
Brent Brent
Britannia Britannia
Bruce Bruce
Buchan Buchan
Caister Caister (Carboniferous)
Caister (Bunter)
Claymore & Scapa Claymore
Scapa
Cleeton & Ravenspurn South Cleeton Johnston
Ravenspurn South Ravenspurn North
Clyde Clyde
Leven
Medwin
Cormorant Cormorant Central Eider
Cormorant North Hudson
Cormorant South Pelican
Tern
Dunlin Dunlin Osprey
Eider & Tern Eider
Tern Hudson
Emerald Emerald
Esmond Esmond
Forbes
Gordon
Everest Everest
Forties Forties
Fulmar Fulmar Clyde
Gannet
Nelson
Medwin
Leven
Field Index
Galleon
Gannet & Guillemot Gannet A
Gannet B
Gannet C
Gannet D
Guillemot
Teal
Gryphon Gryphon
Heather Heather
Hewett Hewett
Della
Hudson Hudson
Humbly Grove Humbly Grove
Hutton Hutton
North West Hutton North West Hutton
Indefatigable Indefatigable Bessemer & Beaufort
Baird Davy
Ivanhoe & Rob Roy Ivanhoe
Rob Roy
Kittiwake Kittiwake
Leman Leman Camelot
Lomond Lomond Erskine
Lyell Lyell
Machar Machar
Magnus Magnus
Markham Markham J6
Windermere
Maureen Maureen
Miller Miller
Montrose & Arbroath Montrose
Arbroath
Morecambe Morecambe North
Morecambe South
Murchison Murchison
Murdoch Murdoch
Nelson Nelson
Ninian Ninian Lyell
Columba B Staffa
Columba D Strathspey
Pickerill Pickerill
Piper Piper Chanter
Highlander
Ivanhoe/Rob Roy
Petronella
Saltire
Scapa (33 per cent.)
Tartan
Ravenspurn North Ravenspurn North Johnston
Rough Rough
Schooner Schooner
Scott Scott
Scott South
Sean Sean North Sean East
Sean South
Strathspey Strathspey
T Block Thelma
Tiffany
Toni
Field Index
Norway
Netherlands
Denmark
yyy
Mudstone.......................................................... Massive.............................................................
yyy
Silty Mudstone.................................................. Horizontal bedding............................................
Sandstone......................................................... Cross-bedding...................................................
V V V
V V V
Anhydrite........................................................... Graded bedding................................................
yyy
Limestone......................................................... Flaser bedding..................................................
Adhesion ripples...............................................
Qualifiers Scour................................................................
.
Ooid.............................................................................. Sand dyke.........................................................
Burrows.............................................................
Accessories
Bioturbation.......................................................
A - Anhydrite M - Mica
frac.
Si - Silica H - Halite Fracture.............................................................
Fossils in general..............................................
Root..................................................................
Gas field, pipeline.......................
Evaporites
Carbonates
22/1a
CHESTNUT Conoco Petroleum (Alba) Ltd 2.35
5
Amoco 2,2A 8 Amerada Hess Ltd 2.25
3 4 Aran Energy Exploration Ltd (Statoil) 5.00
Chevron UK Ltd* 33.17
22/2b Clyde Conoco (UK) Ltd 9.33
3
Fina Petroleum Development Ltd 12.65
Santa Fe Exploration (UK) Ltd 11.75
Unilon Oil Explorations Ltd (Bay trust Oil Explorations Ltd 8.00
Union Texas Petroleum Ltd 15.50
operator *
LOCAL SETTING
RESERVOIR CHARACTERISTICS The Alba oil field is located in the south western part of the Witch Ground
Graben between the Fladen Ground Spur to the north and the Renee Ridge
Fluid Properties to the south, approximately 200 km northeast of Aberdeen in the UK sector
of the North Sea. It lies very close to the junction of the outer Moray Firth,
Oil Gravity (degrees API) 20 with the South Viking Graben and the Central Graben.
The Lower Cretaceous Britannia field underlies the Alba field and
Gas Oil Ratio (scf/stb) 130 - 180
extends over blocks 16/27a, 16/27b, 16/26, 15/30 and 15/29a. The majority
Bubble Point Pressure, Pb (psig) 2330 of surrounding producing fields are of Paleocene age, with the Balmoral
Formation Volume Factor at Pi (rb/stb) 1.12 accumulation lying 10 km to the north, and Cyrus, Maureen and Moira at 15
Oil Compressibility (vol/vol/psi) 6 x 10 -6 and 25 km distant to the northeast. The Forties field is 20 km to the
Reservoir Pressure, Pi (psig) 2865 southeast and Everest lies 40 km to the southwest. The Chestnut
At Datum Depth of (ft TVDSS) 6274 accumulation 5 km to the southeast occurs in a similar Eocene sandstone
Reservoir Temperature (F) 170 reservoir, and lies along the same northwest- southeast trend. The Britannia
field is discussed elsewhere in this report.
Rock Properties
ALBA The reservoir in the Alba field comprises a series of shallow, unconsolidated
UNITED KINGDOM
TOP NAUCHLAN SAND sands assigned to the Nauchlan Sand of the Middle Eocene Horda Formation.
DEPTH STRUCTURE These sands are difficult to identify on the original seismic lines and before Well
16/26-5 was drilled they had not been perceived as a target horizon and were
00 0 2 km
61 15 unidentified in this area. More modern higher quality seismic, however, has allowed
Alba
5
(Contours in feet TVDSS) the detection of these sands between two seismic and lithostratigraphic markers.
6 The lower marker is an intra middle Eocene event termed the "Blue Horizon" by the
630 0
Operator, which can be recognised regionally both biostratigraphically and
200
6
OWC @ 6465 seismically. The upper marker is the Top Eocene or Oligocene unconformity, which
is a major hiatus in the North Sea where part of the Late Eocene section is missing.
63
64
OWC @ 6314
00
The Oligocene unconformity can be seen to be domed over the sands in the field
00
area and as such forms an anticlinal structure plunging in a northwest - southeast
10Y direction down the axis of the field. The sands were probably deposited in relative
Limit of sand deposition 64
00 bathymetric lows along which the submarine currents flowed with limited incision.
7
The migration of the current channels down the slope together with deposition of
7Y
thick sands within the channels and differential compaction of the sands relative to
6300
the surrounding mudstone sequences probably resulted in the bifurcation and re-
6400
routing of the channels and could account for the separate accumulations seen in
0 OWC @ 6465 the field.
630 8Z
12 The Alba field has three possibly separate hydrocarbon accumulations; the main
64
00 8
field area centred on Well 16/26-10Y, a small accumulation to the northwest centred
6500
on Well 16/26-15 and a small accumulation to the southwest centred on Well 16/26-
12. All can be interpreted to have separate oil water contacts. The sands in Well
16/26 16/26-5 can be seen to be younger than those in the rest of the field and were
(Modified after Mattingly GA and Bretthauer HH, 1990 and Newton and Flanagan, 1993) probably deposited from a separate diverted channel system.
DEPTH (feet)
CORE CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
DESCRIPTION 0 100 ROCK 1.95 2.95
AGE
CLAY
VF
Geometry
S
6200
rubble s and k
s High and k retained in uncompacted,
poorly cemented sands.
frac.
6250
liquified flows.
Sediments liquified after deposition
M
() resulting in indistinct bed boundaries and
6300
rubble
poorly defined water escape structures.
()
Geometry
Sheet lensoid sand 210' thick, 4-5 km wide
() and more than 10km long.
rubble and k
6350
rubble
() ()
M
6450
()
100
PERMEABILITY (md.)
Horda Formation
Middle Eocene
10
Nauchlan Sand
1
0.1
200 feet
0.01
The Nauchlan Sand can be subdivided into two main units. The sand unit seen in the
0 10 20 30 40 50
main part of the field varies in thickness from 200 to 400 feet reflecting primary depositional
POROSITY (per cent.)
thickness. Thickness variation is caused by the migration of submarine channels across the
palaeo-slope and the position of the section relative to the axis of the depositional
palaeolow. The channels can be seen to bifurcate locally (eg between Wells 16/26-8 and The porosity and permeability of the reservoir rocks are
16/26-12), and may result in the development of separate accumulations (as seen in Well dependent primarily on depositional facies with negligible control by
16/26-5). A younger sand can be seen in Well 16/26-5 (110 feet thick) which is laterally diagenetic factors. The cleanest and coarsest sands exhibit the best
equivalent to thin sands seen elsewhere in the field (eg Well 16/26-7) above the main sand reservoir qualities. The sands as a whole are massive and
unit. This unit probably represents deposition from a younger channel which was deflected structureless, only moderately compacted and are generally
away from the main field area by previous sand deposition. unconsolidated. Core porosity ranges from 20 to 42 per cent.,
Porosity and permeability are excellent, although the unconsolidated nature of the averaging 35 per cent., and permeability ranges from 700 md to
reservoir may result in production problems. 10000 md, averaging 2800 md.
The reservoir is stratigraphically sealed in all directions, with the sands shaling out to the
northwest and the southeast along the line of the field, with the lateral extent of the reservoir
defined by the depositional edge of the sands beyond which mudstones were deposited,
and which form the lateral seal to the reservoir. The vertical seal is provided by mudstones
of the overlying Horda and Lark Formations.
The Eocene sands of the Alba field contain a moderately heavy oil of approximately 20 The Alba field has an initial reservoir pressure of 2865 psia at a
degrees API. It has little natural drive and has little associated gas, with a solution gas ratio datum depth of 6274 feet subsea and is normally pressured. The
of 130-180 scf/stb. The fluid formation volume factor is 1.12 rb/stb at initial reservoir reservoir is a low relief structure with an oil water contact at 6465 feet
pressure. The fluid is slightly acidic and contains higher than average quantities of heavy subsea in the main part of the field and at 6314 feet in the separate
metals. structure to the north west.
C3 0.45
C4 0.30
DEPTH (feet TVDSS)
0.454 psi/ft
6600
6700
2800 2850 2900 2950 3000
CONTROLS ON RECOVERY INITIAL RESERVOIR PRESSURE (psig)
The main influence on the recovery of oil from the Alba field is the viscosity of the crude
oil combined with the high quality but friable Eocene reservoir sands which are underlain by
water. The oil has little natural drive, and its viscous nature combined with the friable nature
of the sands will result in the production wells being very susceptible to water coning,
although the use of horizontal wells will reduce this effect. These factors mean that the
recovery factor will be lower than would otherwise be expected for a reservoir of this quality,
estimated at some 40 per cent.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type 8 legged steel jacket
Function drilling/production/accomodation
Alba
Jacket weight 17000
(tonnes)
Total; Weight 45200
(tonnes)
Accomodation 144
Well slots 24
Wells 20
production 15
water injection 5
(A Chevron Photograph)
Net Present Value 1,754.51 856.47 542.03 390.31 272.21 141.55 5.71
Net Present Value (Deflated) 1,302.29 597.08 350.10 230.81 137.94 35.27 -70.85
Net Present Value 1,136.13 538.03 321.66 215.95 133.12 41.02 -54.83
Net Present Value (Deflated) 836.53 350.72 177.18 92.81 26.95 -45.84 -120.47
Profit/Inv Ratio 1.18 0.69 0.47 0.34 0.22 0.08 -0.12
Profit/Inv Ratio (Deflated) 0.83 0.42 0.24 0.13 0.04 -0.08 -0.24
NPV/Unit Oil Equiv. 3.07 2.53 2.03 1.64 1.20 0.47 -0.92 25
NPV/Unit Oil Equiv. (Deflated) 2.76 1.92 1.28 0.79 0.27 -0.58 -2.17
Earnings Data
0
Gross Revenue 4,515.03 2,469.21 1,794.24 1,472.30 1,221.18 939.18 631.48 1990 2000 2010 2020
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 83.08 42.27 27.80 21.02 15.93 10.56 5.42 Year
Corporation Tax 618.39 318.44 220.38 174.36 139.09 100.53 60.54
Capital Expenditure 961.97 776.06 690.27 641.18 597.47 540.39 463.09
Operating Costs 1,715.47 794.41 534.14 419.79 335.57 246.69 157.27
Gross Revenue (Deflated) 3,555.06 2,045.56 1,524.55 1,269.81 1,067.55 835.81 575.83
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 62.49 30.24 19.60 14.74 11.12 7.34 3.76
Corporation Tax (Deflated) 465.76 246.36 172.92 138.00 110.98 81.11 49.63
Capital Expenditure (Deflated) 1,013.14 825.67 738.40 688.20 643.33 584.45 504.16
Operating Costs (Deflated) 1,177.13 592.58 416.45 336.07 275.16 208.75 138.75
1990 0.0 0.0 0.0 15.0 0.0 0.0 0.0 -15.0 -29.5 0.0 0.0 0.0
1991 0.0 0.0 0.0 110.0 0.0 0.0 0.0 -110.0 -183.0 0.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1992 0.0 0.0 0.0 225.0 0.0 0.0 0.0 -225.0 -327.6 0.0 0.0 0.0
1993 0.0 0.0 0.0 210.0 0.0 0.0 0.0 -210.0 -272.8 0.0 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1994 149.3 0.0 43.0 60.0 0.0 0.0 0.0 46.3 54.8 44.0 0.0 0.0
1995 239.4 0.0 52.6 25.0 0.0 0.0 0.0 161.8 173.2 69.0 0.0 0.0
Pre Corporation Tax Total To Start Of Discounting ( 1/JAN/1996)
388.7 0.0 95.6 645.0 0.0 0.0 0.0 -351.9 -585.0 41.2 0.0 0.0
Net Present Value 2,106.44 1,592.94 1,367.59 1,243.22 1,135.70 1,000.30 826.90
Net Present Value (Deflated) 1,710.95 1,314.51 1,140.58 1,044.21 960.55 854.52 717.22 1996 255.2 0.0 53.7 85.0 0.0 0.0 0.0 116.5 112.1 75.0 0.0 0.0
NPV/Unit Oil Equiv. 6.41 6.58 6.59 6.58 6.55 6.49 6.37 1997 310.8 0.0 57.7 104.0 0.0 3.0 3.0 146.1 125.2 85.0 0.0 0.0
1998 311.8 0.0 64.9 64.9 0.0 54.8 54.8 127.2 97.0 82.0 0.0 0.0
Post Corporation Tax 1999 316.4 0.0 67.1 33.8 0.0 54.6 54.6 161.0 109.2 80.0 0.0 0.0
2000 304.3 0.0 68.5 29.3 0.0 59.3 59.3 147.3 88.9 74.0 0.0 0.0
Net Present Value 1,488.06 1,166.20 1,017.88 934.33 861.16 767.77 646.13 2001 283.1 0.0 69.6 0.0 0.0 58.2 58.2 155.4 83.5 66.2 0.0 0.0
Net Present Value (Deflated) 1,245.19 984.37 866.18 799.73 741.48 666.91 569.03 2002 268.2 0.0 71.0 0.0 0.0 55.7 55.7 141.5 67.7 60.3 0.0 0.0
NPV/Unit Oil Equiv. 4.53 4.82 4.91 4.94 4.97 4.98 4.97 2003 253.9 0.0 72.5 0.0 0.0 54.0 54.0 127.4 54.2 54.9 0.0 0.0
2004 240.0 0.0 74.2 0.0 28.8 51.6 80.4 85.4 32.4 49.9 0.0 0.0
Earnings Data 2005 224.6 0.0 75.9 0.0 27.0 36.8 63.7 84.9 28.6 44.9 0.0 0.0
2006 210.1 0.0 76.2 0.0 17.4 36.1 53.6 80.4 24.1 40.4 0.0 0.0
Gross Revenue 4,126.36 2,903.06 2,430.91 2,184.97 1,980.11 1,731.58 1,427.14 2007 196.9 0.0 76.3 0.0 8.6 35.5 44.1 76.5 20.4 36.4 0.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2008 176.1 0.0 76.2 0.0 1.3 34.9 36.2 63.7 15.1 31.3 0.0 0.0
Petroleum Revenue Tax 83.08 56.64 44.11 37.24 31.43 24.42 16.17 2009 155.6 0.0 76.3 0.0 0.0 31.0 31.0 48.3 10.2 26.6 0.0 0.0
Corporation Tax 618.39 426.74 349.71 308.89 274.54 232.53 180.76 2010 137.5 0.0 76.0 0.0 0.0 24.7 24.7 36.7 6.9 22.6 0.0 0.0
Capital Expenditure 316.97 289.05 274.51 265.61 257.26 245.69 228.59 2011 121.5 0.0 76.4 0.0 24.3 17.2 41.5 3.6 0.6 19.2 0.0 0.0
Operating Costs 1,619.87 964.43 744.69 638.91 555.72 461.18 355.47 2012 107.2 0.0 76.7 0.0 16.6 6.6 23.3 7.3 1.1 16.3 0.0 0.0
2013 95.1 0.0 76.8 0.0 10.3 4.4 14.7 3.6 0.5 13.9 0.0 0.0
Gross Revenue (Deflated) 3,151.05 2,319.20 1,986.32 1,809.31 1,659.59 1,474.69 1,242.35 2014 84.0 0.0 75.8 0.0 5.0 2.6 7.6 0.6 0.1 11.8 0.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2015 74.0 0.0 71.7 0.0 1.7 1.0 2.7 -0.4 -0.0 10.0 0.0 0.0
Petroleum Revenue Tax (Deflated) 62.49 40.53 31.11 26.11 21.94 16.98 11.22 Remain
Corporation Tax (Deflated) 465.76 330.14 274.40 244.48 219.06 187.61 148.19 2016 0.0 0.0 186.2 0.0 -58.0 -3.5 -61.5 -124.7 -11.7 0.0 0.0 0.0
Capital Expenditure (Deflated) 300.00 274.37 260.99 252.77 245.07 234.38 218.56
Operating Costs (Deflated) 1,077.60 689.80 553.65 486.22 432.03 368.82 295.35 Total 4,126.4 0.0 1,619.9 317.0 83.1 618.4 701.5 1,488.1 866.2 328.8 0.0 0.0
LOCAL SETTING
The Alwyn North field is located in the North Viking Graben and is
one of the most southerly of the fields in the Brent Area. The closest
producing fields are the Staffa and Ninian fields to the west and the
RESERVOIR CHARACTERISTICS Brent field to the north in Quadrant 211. Strathspey, situated to the
north, is an oil and gas field which started oil production in 1993.
Fluid Properties BRENT STATFJORD To the south is situated the Dunbar oil and gas field and the Alwyn
South East gas/condensate accumulations (now called Ellon and
Gas Gravity S.G. (air=1) 0.67 Grant). Dunbar has been developed as a tieback to the Alwyn North B
Oil/Condensate Gravity (API) 35.4-39.0 52 processing platform. Ellon (previously known as Alwyn South East) has
Condensate Gas Ratio (bbl/MMscf) 92 been exploited by subsea tieback to Dunbar and Grant is expected to
Gas/Oil Ratio (scf/stb) 995-1720 be developed in a similar manner.
Dew Point Pressure (psig) 6904
Bubble Point Pressure, Pb (psig) 3471-4637
Formation Volume Factor at Pi (rb/stb) 1.551-1.951
Original Reservoir Pressure, Pi (psig) 6560 7314
At Datum Depth of (ft TVDSS) 10630 11400
Reservoir Temperature (F) 235 247
Rock Properties
UNITED KINGDOM
Alwyn North
43
south trending faults which downthrow to the east, and by east-west or east northeast-west
OWC 31
0 3 km
southwest trending cross faults. Reservoirs in the field are Brent Group and Statfjord Formation
(Contours in metres)
BRENT EAST
sandstones.
BRENT NORTH The Brent Group is of Middle Jurassic age. It overlies the Lower Jurassic mudstones of the Dunlin
Group which in turn overlie the Upper Triassic-Lower Jurassic Statfjord Formation. The Brent Group
8 6
3/4a 3/5 generally thins towards the crests of fault-blocks, largely as a result of erosion. The Brent Group is
3/9a 3/10b generally overlain by the Heather Formation, although in extremely crestal positions the Kimmeridge
Clay Formation or Lower Cretaceous sediments may rest on truncated Brent Group, Dunlin Group,
and Statfjord Formation sequences, depending upon the degree of truncation.
323 1
4
STATFJORD
Five compartments have been recognised within Alwyn North:
OWC
BRENT
NORTHWEST 1 Northwest compartment - Brent Group reservoir limited to the west by dip and to the north, south
O WC
and east by faults.
5
North compartment - Brent Group reservoir dipping to the west and north and faulted to the east
323 3
2 and south.
East compartment - westward and southward dipping Brent Group erosively truncated to the east.
OWC 3
Faulted and eroded towards the north.
GOC
Southwest compartment - westerly dipping Brent Group, limited by faulting to the north and by dip,
224
3580
faulting and erosion towards the east and south.
6
Statfjord compartment - the easternmost compartment has a Statfjord Formation reservoir which
OWC 3224 3 Truncation of dips towards the west. Eastwards, the Statfjord Formation is erosively truncated, whilst to the
Statfjord Reservoir
south erosion and faulting limit the compartment. The northern limit of the compartment is formed
by a zone of faulting.
BRENT
SOUTHWEST
3/9b Truncation of
Ness Reservoir
CORE
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) ROCK ( g/cc )
DESCRIPTION 0 1.95 2.95
CLAY
AGE
VF
B C P 40 0 0.1 5 25 45 -15
10000
Transgressive and nearshore sandstones
with minor, thin mudstones.
10600
3/9a-1 Si Si
Geometry
Broad sheetlike sand-body composed of
Si Si stacked lobate to sheetlike sandstones.
Locally thin, lenticular mudstones are
present.
Si
TARBERT FORMATION
M
and K
Porosity and permeability moderate to
M good in upper and lower parts, poor to
moderate in middle part of interval.
M
M
M
10700
MIDDLE JURASSIC
M
BRENT GROUP
M
M
coals.
Geometry
NESS FORMATION
and K
M M and K moderate to good in cleaner
sandstones and poor to moderate in
thinner, finer grained and more argillaceous
sandstones.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
3/9a-1 3/9a-4
10000
Alwyn North
1
Tarbert
1000
Ness
100
3/9a-5
Cromer
Knoll
PERMEABILITY (md.)
3/9a-2
2
10
Dunlin Group
3
4
5
1
1. Heather Formation
Stat. Fm.
2. Etive Formation
3. Rannoch Formation
4. Broom Formation
5. Dunlin Group
0.1
3/9a-3
Due to the complex and
steeply dipping structure
of the field, the relatively 0.01
thick Brent Group sequence 0 10 20 30
0
hydro- carbon column (max -
395 feet), hydrocarbons are
100 mainly confined to the Tarbert The upper Massive sandstone of the Tarbert Formation has
Formation and the upper part of the porosities of about 21 per cent., with the Micaceous and Basal
200 Ness Formation (except in the Statfjord Sandstones having slightly lower porosities (generally 20 per cent.).
compartment). The Tarbert Formation Permeability in the Massive and Basal sandstones is generally good
300 feet
can be subdivided into three (100-1000 md), whilst the permeability of the Micaceous sandstone
lithostratigraphic units which form the is generally poor to moderate.
basis of the reservoir zonation: The primary controls on porosity and permeability appear to be
Basal sandstone (20 - 36 feet), textural, with porosity and permeability being better in the coarser
consisting of medium to coarse grained, grained, less argillaceous sandstones. Some reduction in reservoir
sandstone. quality has been caused by diagenesis.The main diagenetic
Micaceous sandstone (33 - 72 feet), minerals are authigenic feldspars, silica overgrowths, pyrite, chlorite
consisting of fine to locally medium grained, and kaolinite. However, the relatively early emplacement of
commonly planar laminated, locally burrowed hydrocarbons in Alwyn North (Late Cretaceous) has helped to
and bioturbated sandstones. protect the reservoirs from later diagenetic phases which affect
Massive sandstone (120 - 170 feet), the uppermost part of the Tarbert Formation, Alwyn South and Alwyn South East.
consisting of medium to coarse and locally very coarse grained sandstones.
The three sub-units of the Tarbert Formation occur across most of the field, only being
absent towards the east where erosively truncated.
Sandstones within the Ness Formation are generally relatively thin, only rarely more than
10 feet thick. The sandstones are only rarely stacked, usually being separated by
mudstones, and interconnectivity is expected to be poor. Sandbody geometry is extremely
variable with fluvial channel sandstones having ribbon geometry whilst channel margin,
mouthbar and crevasse splay sandstones have lobate to sheetlike geometries.
RESERVOIR PRESSURE
FLUID PROPERTIES Data indicate separate pressure regimes in the Brent and
Statfjord reservoirs. Based on a hydrostatic gradient to surface of
The North Alwyn field contains a conventional black oil in the Brent Group and a gas 0.451 psi/ft the Brent and Statfjord reservoirs are overpressured by
condensate in the deeper Statfjord Formation. 1770 and 2070 psi respectively.
The reservoir pressure is 6560 psig at 10630 feet TVDSS in the
Brent reservoir and 7314 psig at 11400 feet TVDSS in the Statfjord
1.4 20
Vol. of Retrograde Liquid reservoir.
VOLUME OF RETROGRADE LIQUID (%)
18
1.3
Z
GAS DEVIATION FACTOR Z
16
14
1.2
10000
12 Brent
1.1 10 OWC @ 10321 ft TVDSS
8
1.0 OWC @ 10600 ft TVDSS
6 OWC @ 10630 ft TVDSS
4 Statfjord
0.9
11000
2
DEPTH (feet TVDSS)
PRESSURE (psig)
GWC @ 11745 ft TVDSS
12000
CONTROLS ON RECOVERY 0.451 psi/ft
The Brent reservoir has been developed with a water injection scheme and some 25
wells (producers and injectors) have been drilled to date, including some infill wells. The
high quality and good continuity of the Tarbert sands containing most of the oil should
ensure a high recovery factor. 13000
6300 6500 6700 6900 7100 7300 7500 7700
The gas condensate bearing Statfjord reservoir is being developed under natural
depletion using 12 production wells. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Alwyn North
Completion
Accommodation 216
(324 on temporary basis)
Well Slots 40
Wells 29 2
Throughput
Oil (bbl/day) -------------100000 -----------------
(A Total Photograph)
Gas (MMscf/day) ----------------630 --------------------
@@@@
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@@@
Average Annual Daily Liquid Rate (Mbbl/day)
@@@@
Net Present Value 2,585.44 1,027.76 528.09 302.25 135.68 -36.36 -195.22
200
Net Present Value (Deflated) 2,212.09 678.85 200.28 -13.91 -170.43 -329.37 -468.90
Profit/Inv Ratio 1.01 0.57 0.35 0.23 0.11 -0.03 -0.23
Profit/Inv Ratio (Deflated) 0.65 0.28 0.10 -0.01 -0.10 -0.22 -0.38
NPV/Unit Oil Equiv. 3.85 2.99 2.19 1.56 0.86 -0.31 -2.62 25
NPV/Unit Oil Equiv. (Deflated) 3.22 1.82 0.75 -0.06 -0.95 -2.42 -5.28
100
Nominal Rate Of Return % 14.24
Real Rate Of Return % 9.85 Alwyn North only
0 0
Gross Revenue 9,672.21 4,634.47 3,155.33 2,489.67 1,990.96 1,455.30 905.94 1985 1990 1995 2000 2005 2010 2015 2020
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 103.75 51.64 34.54 26.59 20.57 14.12 7.71 Year
Corporation Tax 1,446.29 640.95 411.89 311.88 239.00 163.61 91.17
Capital Expenditure 2,554.95 1,793.60 1,493.80 1,336.22 1,204.17 1,042.98 843.91
Operating Costs 2,981.78 1,120.51 687.00 512.73 391.53 270.94 158.36
Gross Revenue (Deflated) 9,384.90 4,825.55 3,396.32 2,731.00 2,220.73 1,658.49 1,061.99
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 104.56 52.11 34.88 26.86 20.79 14.28 7.81
Corporation Tax (Deflated) 1,321.21 614.66 404.89 311.12 241.63 168.38 96.13 CASH FLOW REPORT
Capital Expenditure (Deflated) 3,382.10 2,465.02 2,092.77 1,893.50 1,724.20 1,514.11 1,248.34
Operating Costs (Deflated) 2,364.94 1,014.92 663.51 513.43 404.53 291.09 178.61 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1982 0.0 0.0 0.0 50.0 0.0 0.0 0.0 -50.0 -244.7 0.0 0.0 0.0
1983 0.0 0.0 0.0 100.0 0.0 0.0 0.0 -100.0 -435.7 0.0 0.0 0.0
1984 0.0 0.0 0.0 225.0 0.0 0.0 0.0 -225.0 -872.9 0.0 0.0 0.0
1985 0.0 0.0 0.0 325.0 0.0 0.0 0.0 -325.0 -1,122.5 0.0 0.0 0.0
1986 0.0 0.0 0.0 350.0 0.0 0.0 0.0 -350.0 -1,076.3 0.0 0.0 0.0
1987 0.0 0.0 0.0 275.0 0.0 0.0 0.0 -275.0 -752.9 0.0 0.0 0.0
1988 395.4 0.0 74.8 100.0 0.0 0.0 0.0 220.6 537.7 75.1 226.2 0.0
1989 549.6 0.0 78.2 25.0 0.0 0.0 0.0 446.4 968.8 90.1 248.2 0.0
1990 649.5 0.0 79.9 40.0 0.0 0.0 0.0 529.6 1,023.1 94.1 255.2 0.0
1991 606.4 0.0 83.6 45.0 0.0 55.6 55.6 422.3 726.4 92.1 279.2 0.0
1992 538.7 0.0 82.3 75.0 0.0 145.9 145.9 235.5 360.6 82.0 258.0 0.0
ECONOMIC INDICATORS FROM 1/1/1993 1993 512.4 0.0 83.2 240.0 0.0 123.7 123.7 65.6 89.4 67.0 276.0 0.0
1994 378.1 0.0 83.5 315.0 0.0 101.6 101.6 -122.0 -148.1 45.9 232.7 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1995 525.4 0.0 109.7 135.0 47.9 41.2 89.1 191.6 207.1 70.0 280.0 0.0
Total To Start Of Discounting ( 1/JAN/1996)
Pre Corporation Tax 4,155.6 0.0 675.2 2,300.0 47.9 468.0 515.9 664.5 -740.0 224.9 750.3 0.0
Net Present Value 2,884.72 2,378.27 2,119.34 1,967.92 1,832.35 1,655.52 1,419.10 1996 539.0 0.0 104.6 75.0 44.3 64.6 108.8 250.6 241.1 68.3 280.1 0.0
Net Present Value (Deflated) 2,522.02 2,066.65 1,847.92 1,721.98 1,609.92 1,464.17 1,268.98 1997 523.6 0.0 100.3 98.8 22.7 83.8 106.5 218.0 186.8 57.4 280.5 0.0
NPV/Unit Oil Equiv. 8.99 9.56 9.68 9.71 9.71 9.67 9.57 1998 500.7 0.0 104.6 81.1 3.5 90.9 94.4 220.6 168.2 47.7 280.1 0.0
1999 509.2 0.0 109.8 0.0 0.0 92.0 92.0 307.5 208.8 41.3 297.2 0.0
Post Corporation Tax 2000 430.1 0.0 104.8 0.0 0.0 102.8 102.8 222.5 134.5 29.2 260.3 0.0
2001 386.3 0.0 103.9 0.0 0.0 85.6 85.6 196.8 105.9 24.4 228.4 0.0
Net Present Value 1,911.24 1,647.33 1,490.27 1,394.26 1,306.23 1,188.98 1,028.65 2002 352.3 0.0 104.2 0.0 0.0 76.9 76.9 171.3 82.1 21.3 200.7 0.0
Net Present Value (Deflated) 1,735.67 1,460.08 1,318.49 1,235.05 1,159.78 1,060.65 925.97 2003 322.0 0.0 104.8 0.0 0.0 69.6 69.6 147.5 62.9 18.6 176.9 0.0
NPV/Unit Oil Equiv. 5.96 6.62 6.81 6.88 6.92 6.95 6.93 2004 295.0 0.0 106.1 0.0 0.0 62.5 62.5 126.5 48.0 16.3 156.2 0.0
2005 271.3 0.0 107.2 0.0 0.0 55.5 55.5 108.7 36.7 14.4 138.2 0.0
Earnings Data 2006 242.4 0.0 107.7 0.0 0.0 49.0 49.0 85.7 25.8 11.5 122.5 0.0
2007 218.2 0.0 109.1 0.0 0.0 40.6 40.6 68.6 18.4 9.3 108.9 0.0
Gross Revenue 5,516.62 4,083.26 3,511.27 3,207.32 2,950.24 2,632.68 2,233.21 2008 200.8 0.0 110.3 0.0 0.0 33.1 33.1 57.4 13.7 8.1 96.9 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2009 169.9 0.0 102.0 0.0 0.0 27.7 27.7 40.2 8.5 7.1 76.6 0.0
Petroleum Revenue Tax 70.37 67.31 65.63 64.56 63.54 62.08 59.83 2010 141.0 0.0 88.0 0.0 0.0 20.8 20.8 32.2 6.1 6.2 58.8 0.0
Corporation Tax 973.48 730.94 629.07 573.67 526.12 466.55 390.45 2011 91.4 0.0 83.3 0.0 0.0 16.2 16.2 -8.1 -1.4 0.0 53.5 0.0
Capital Expenditure 254.95 236.85 227.14 221.09 215.35 207.27 195.07 2012 86.4 0.0 84.4 0.0 0.0 1.8 1.8 0.2 0.0 0.0 48.6 0.0
Operating Costs 2,306.58 1,400.82 1,099.16 953.74 839.00 707.80 559.21 2013 62.6 0.0 60.4 0.0 0.0 -0.0 -0.0 2.3 0.3 0.0 33.9 0.0
2014 60.4 0.0 59.1 0.0 0.0 0.2 0.2 1.0 0.1 0.0 31.4 0.0
Gross Revenue (Deflated) 4,398.88 3,388.46 2,970.48 2,743.91 2,549.48 2,305.30 1,990.90 2015 58.0 0.0 57.3 0.0 0.0 0.0 0.0 0.7 0.1 0.0 29.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2016 55.9 0.0 53.0 0.0 0.0 -0.1 -0.1 3.0 0.3 0.0 26.9 0.0
Petroleum Revenue Tax (Deflated) 69.24 66.27 64.63 63.60 62.61 61.19 59.00 Remain
Corporation Tax (Deflated) 786.35 606.57 529.42 486.94 450.14 403.52 343.01 2017 0.0 0.0 341.8 0.0 0.0 0.0 0.0 -341.8 -28.7 0.0 0.0 0.0
Capital Expenditure (Deflated) 245.03 227.90 218.71 212.98 207.53 199.87 188.30
Operating Costs (Deflated) 1,562.59 1,027.64 839.22 745.35 669.42 580.07 474.62 Total 5,516.6 0.0 2,306.6 254.9 70.4 973.5 1,043.9 1,911.2 1,318.5 139.1 1,089.7 0.0
These cash flows include Alwyn North, Dunbar, Grant and Ellon fields
47/8a BG 2 5 3 47/9c 47/10 BP SUMMARY
3 5A Mustang
47/14c Rel.
operator *
47/15a BG
0 5 km 47/19 Rel. 47/20 Shell
Fluid Properties The Amethyst field is one of the most westerly of the Southern North
Sea gas fields, located to the southwest of the Dowsing Fault Zone.
Gas Gravity S.G. (air =1) 0.61-0.65 Gas is found in Rotliegendes sandstones in an area where
Condensate Gas Ratio (bbl/MMscf) 7 (17 in the C structure) deposition of mixed fluvial and aeolian sandstones occurred.
Gas Expansion Factor (vol/vol) 232 Nearby accumulations include Rough, Hyde, Hoton and West Sole
Reservoir Pressure Pi (psig) 4080 (A) 4200 (C) which are all Rotliegendes Group sandstone reservoirs. Reservoir
at Datum Depth of (ft TVDSS) 8900 quality in this area is typically moderate to poor reflecting the
predominance of fluvial sandstones. Reservoir quality of West Sole,
Reservoir Temperature (F) 195
Hyde and Hoton, which are located northeast of the Dowsing Fault Zone
in the Sole Pit, is poor. However Rough, which is on the same side of
Rock Properties
the Dowsing Fault Zone as Amethyst, has better reservoir quality.
Rock Type Sandstone
Stratigraphic Unit Rotliegendes Group
Geological Age Lower Permian
Porosity Range (per cent.) 12-22
Permeability Range (md) 1-250
Connate Water Saturation (per cent.) 20-50
Gas Water Contact (ft TVDSS) (approx.) 9049 (A + B), 8980-9017 (C)
Depth to Top of Structure (ft TVDSS) (approx.) 8765 (approx.)
Reserves
Production
UNITED KINGDOM
TOP ROTLIEGENDES and C. The structures are low relief with fault and dip
Amethyst
DEPTH STRUCTURE closure. The gas is found in the Leman Sandstone
Formation (Rotliegendes Group) which was encountered at
0 4 km
9017 a depth of 8862 feet (TVDSS) in Well 47/14a-1. The
8900 (Contours in feet) reservoir section is between 50 and 75 feet thick, and is
7
47/8a 47/9a 47/10b sealed by the overlying carbonates of the Zechstein Group.
89
90
8
890 0 SEDIMENTOLOGY AND DEPOSITIONAL
89
00
0
00
9
1 ENVIRONMENT
C1D
3 4
A SITE The Leman Sandstone Formation at Amethyst represents a
8900
90 049
7 6 series of mixed fluvial and aeolian sandstones deposited in
00
9
8
C SITE 901 3
0
880 A2D
9000
47/15b
a hot, semi-arid desert setting. The unit comprises clean,
7 A1D cross-bedded and well sorted aeolian dune sandstones and
1 1
2 horizontally bedded interdune sandstones, interbedded with
0
8800
900
5
locally argillaceous and poorly sorted fluvial sandstones.
9
This sequence represents the periodic development of
904
tracts of wadi sedimentation in an otherwise dry aeolian
9049
B SITE
dune field.
00
89
47/14a
4
3
B1D
49
90
2
47/13a 47/15a
(Modified after Garland CR, 1991)
TERTIARY/QUATERNARY
Chalk Group
2000
TRIASSIC
6000
Top Bunter
US
10000
Rotliegendes Group CARBONIFERO
0 0.5 1 km
V V V
Shallow marine/marginal marine carbonates
ZECHSTEIN
V V
V V V overlying sapropelic marine mudstone.
Geometry
Laterally extensive sheet geometry non
reservoir sediments
8850
PERMIAN
ROTLIEGENDES GROUP
LEMAN SANDSTONE FM
47/14a-1 and K
and K moderate to good, K locally poor,
reduced by diagenesis.
Fluvial/Wadi sandstones.
8950
NW 10000
47/14-4
47/14a-3
Amethyst
Leman Sandstone Formation
Zec
hste
in G 1000
rou
p
47/14a-1
SE
47/14-5
100
PERMEABILITY (md.)
US
NIFERO
CARBO
100
10
200 feet
47/14a-2
FLUID PROPERTIES
The Amethyst field contains a high calorific value gas with relatively high condensate
yield compared with other fields of the Southern North Sea. Condensate gas ratios of RESERVOIR PRESSURE
approximately 7 bbl/MMscf and 17 bbl/MMscf have been recorded on the A and C structures
respectively. A separator gas composition obtained during testing of Well 43/13-1 is listed The pressure results from the drill stem tests on the A structure
below. indicate an approximate reservoir pressure of 4080 psig. Well
47/14a-2 had an initial reservoir pressure approximately 50 psi
higher and showed depletion on test indicating that the reservoir may
COMPOSITION 1.05 be compartmentalised. The available data for the C structure
(mol. %) 43/13-1
indicate a reservoir pressure higher than that of the main A structure.
CO2 0.70
GAS DEVIATION FACTOR Z
N2 2.40
H2S -
C1 87.46
C2 5.76
C3 2.16 0.95
C4 0.83
C5 0.29
C6 0.15 8700
C7+ 0.25
S.G. (AIR=1.0) 0.65
C.V. (Btu/scf) 1099
A STRUCTURE
@ 195 F (from correlation) 47/14a-3 A STRUCTURE
0.85 47/14a-2
0 1000 2000 3000 4000 8800
5000
PRESSURE (psig)
DEPTH (feet TVDSS)
West
GWC @ 8980 ft TVDSS
East
9000 GWC @ 9017 ft TVDSS
A and B Structures
GWC @ 9049 ft TVDSS
CONTROLS ON RECOVERY
9100
4050 4100 4150 4200 4250
The recovery factor is expected to be moderate (about 70 to 75 per cent.), resulting from:
INITIAL RESERVOIR PRESSURE (psia)
predominantly poor and moderate permeability in fluvial wadi and aeolian sandstones,
affected by diagenetic cements and clays
highly variable well productivities
compartmentalisation of the field, as indicated by pressure data
installation of compression facilities (onshore)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Amethyst
No. of Platforms 4
Platform Type steel piled jacket
Function unmanned wellhead
platforms
Well Slots 4 x 12
Wells Planned 29
The first two platforms, A1D and A2D on Amethyst East, were installed in
July 1989 and started production in October 1990. Two further satellite plat-
forms have since been installed: B1D (East) on stream in October 1991, and
C1D (West) with a start up in October 1992. All four platforms are completely
unmanned with gas exported to, and electrical power imported from, the con-
trol centre at the Rough terminal at Easington. No processing is carried out
offshore.
Net Present Value 584.62 345.33 250.42 201.39 161.18 113.75 59.03
Net Present Value (Deflated) 515.36 289.28 200.88 155.32 117.98 73.92 23.09
Profit/Inv Ratio 2.11 1.44 1.14 0.96 0.81 0.61 0.35
Profit/Inv Ratio (Deflated) 1.48 0.95 0.71 0.58 0.46 0.31 0.11 Average Annual Daily Gas Rate (MMscf/day)
NPV/Unit Oil Equiv. 4.56 4.22 3.87 3.60 3.31 2.83 1.97 150
NPV/Unit Oil Equiv. (Deflated) 4.21 3.56 3.07 2.72 2.35 1.76 0.72
Net Present Value 372.21 221.26 157.87 124.44 96.69 63.61 24.99
Net Present Value (Deflated) 325.15 174.98 114.36 82.74 56.65 25.70 -10.16
Profit/Inv Ratio 1.34 0.93 0.72 0.59 0.48 0.34 0.15
Profit/Inv Ratio (Deflated) 0.93 0.57 0.40 0.31 0.22 0.11 -0.05
NPV/Unit Oil Equiv. 2.90 2.70 2.44 2.23 1.98 1.58 0.83 50
NPV/Unit Oil Equiv. (Deflated) 2.65 2.15 1.75 1.45 1.13 0.61 -0.32
Earnings Data
0
Gross Revenue 1,553.91 951.82 736.90 629.61 542.99 441.68 324.20 1985 1990 1995 2000 2005 2010 2015
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 94.13 60.08 45.26 37.47 31.07 23.57 15.11 Year
Corporation Tax 212.41 124.07 92.55 76.95 64.48 50.14 34.03
Capital Expenditure 276.90 239.10 220.59 209.64 199.63 186.17 167.12
Operating Costs 598.27 307.30 220.63 181.12 151.11 118.20 82.95
Gross Revenue (Deflated) 1,436.42 920.01 727.96 629.94 549.55 453.87 340.19
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 92.06 56.39 42.09 34.75 28.78 21.84 14.04
Corporation Tax (Deflated) 190.21 114.30 86.53 72.58 61.33 48.22 33.25
Capital Expenditure (Deflated) 349.27 304.75 282.75 269.65 257.63 241.39 218.22
Operating Costs (Deflated) 479.73 269.59 202.23 170.22 145.16 116.72 84.85 CASH FLOW REPORT
Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1988 0.0 0.0 0.0 21.9 0.0 0.0 0.0 -21.9 -57.9 0.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1989 0.0 0.0 0.0 85.0 0.0 0.0 0.0 -85.0 -194.7 0.0 0.0 0.0
1990 34.1 0.0 9.1 60.0 0.0 0.0 0.0 -35.0 -68.9 0.0 65.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1991 101.5 0.0 21.0 35.0 0.0 0.0 0.0 45.5 75.7 1.0 154.0 0.0
1992 103.8 0.0 23.7 30.0 0.0 2.1 2.1 48.0 69.8 1.1 161.0 0.0
Pre Corporation Tax 1993 109.5 0.0 26.8 5.0 0.0 15.5 15.5 62.3 80.9 1.3 168.0 0.0
1994 100.9 0.0 25.1 18.0 0.0 18.7 18.7 39.1 46.3 1.3 145.0 0.0
Net Present Value 430.92 372.12 340.13 320.75 302.95 279.05 245.80 1995 108.9 0.0 27.4 17.0 0.0 17.0 17.0 47.5 50.8 1.4 160.0 0.0
Net Present Value (Deflated) 391.08 334.82 306.19 289.19 273.73 253.11 224.55 Total To Start Of Discounting ( 1/JAN/1996)
NPV/Unit Oil Equiv. 5.82 6.31 6.47 6.55 6.61 6.67 6.71 558.7 0.0 133.1 271.9 0.0 53.3 53.3 100.4 2.1 2.2 311.3 0.0
Post Corporation Tax 1996 113.2 0.0 27.4 5.0 14.9 19.5 34.4 46.4 44.7 1.4 160.0 0.0
1997 117.8 0.0 28.5 0.0 24.3 16.3 40.6 48.7 41.7 1.4 160.0 0.0
Net Present Value 271.83 246.37 229.05 217.84 207.17 192.40 171.13 1998 111.4 0.0 27.9 0.0 22.7 16.5 39.2 44.3 33.8 1.4 145.0 0.0
Net Present Value (Deflated) 257.07 226.67 209.60 199.10 189.35 176.10 157.34 1999 98.6 0.0 26.3 0.0 16.8 17.0 33.7 38.5 26.2 1.3 123.0 0.0
NPV/Unit Oil Equiv. 3.67 4.17 4.36 4.45 4.52 4.60 4.67 2000 83.2 0.0 24.8 0.0 9.3 16.2 25.5 32.8 19.8 0.3 103.0 0.0
2001 72.8 0.0 23.6 0.0 4.6 14.8 19.4 29.8 16.0 0.2 87.0 0.0
Earnings Data 2002 63.6 0.0 22.6 0.0 1.4 13.5 14.9 26.2 12.5 0.2 73.0 0.0
2003 56.3 0.0 22.0 0.0 0.2 12.2 12.4 21.9 9.3 0.2 62.0 0.0
Gross Revenue 995.21 768.26 673.34 621.68 577.26 521.38 449.36 2004 48.8 0.0 21.4 0.0 7.2 10.3 17.5 9.9 3.8 0.1 52.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2005 44.0 0.0 20.7 0.0 7.0 5.8 12.7 10.6 3.6 0.1 45.0 0.0
Petroleum Revenue Tax 94.13 88.77 83.77 80.32 76.93 72.11 64.98 2006 37.7 0.0 19.5 0.0 5.4 5.0 10.4 7.8 2.3 0.1 37.0 0.0
Corporation Tax 159.09 125.75 111.09 102.92 95.78 86.66 74.68 2007 32.9 0.0 18.5 0.0 4.1 4.0 8.1 6.3 1.7 0.1 31.0 0.0
Capital Expenditure 5.00 4.88 4.81 4.77 4.72 4.66 4.56 2008 28.7 0.0 17.8 0.0 3.0 3.2 6.2 4.7 1.1 0.1 26.0 0.0
Operating Costs 465.17 302.50 244.63 215.84 192.65 165.55 134.01 2009 26.5 0.0 17.2 0.0 2.4 2.5 4.9 4.4 0.9 0.1 23.0 0.0
2010 22.3 0.0 16.5 0.0 1.4 2.2 3.5 2.3 0.4 0.0 19.0 0.0
Gross Revenue (Deflated) 821.65 654.09 582.03 542.19 507.53 463.35 405.27 2011 19.6 0.0 15.9 0.0 0.5 1.4 2.0 1.6 0.3 0.0 16.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2012 17.8 0.0 15.4 0.0 0.1 1.0 1.1 1.2 0.2 0.0 14.0 0.0
Petroleum Revenue Tax (Deflated) 92.06 83.31 77.91 74.49 71.26 66.80 60.35 Remain
Corporation Tax (Deflated) 134.01 108.15 96.60 90.10 84.38 77.01 67.20 2013 0.0 0.0 98.9 0.0 -31.0 -2.4 -33.4 -65.5 -8.7 0.0 0.0 0.0
Capital Expenditure (Deflated) 5.00 4.88 4.81 4.77 4.72 4.66 4.56
Operating Costs (Deflated) 333.51 231.08 193.11 173.74 157.82 138.77 115.81 Total 995.2 0.0 465.2 5.0 94.1 159.1 253.2 271.8 209.6 2.6 429.2 0.0
LOCAL SETTING
Reserves
FIELD DESCRIPTION
Total Oil & NGL/Gas Reserves (MMstb, Bcf) 119/135
Est. Production to 31.12.95 (MMstb, Bcf) 0 The Andrew field is a salt induced domal anticline structure. The
Remaining Oil & NGL/Gas Reserves (MMstb, Bcf) 119/135 Main Paleocene reservoir section is a sequence of interbedded mid-fan
channel sandstones that were deposited by turbidity currents in a
Production submarine fan environment. Significant basin plain mudstones are also
developed. Porosities and permeabilities of the reservoir sands are
Water Depth (feet) 377 good and contain a saturated light oil with a correspondingly high gas
Anticipated Production Start Date July 1996 oil ratio and formation volume factor. The field is normally pressured and
Anticipated Peak Oil Production (stb/day) 54000 contains a free gas cap entirely underlain by oil. The gas oil contact lies
Anticipated Peak Gas Production (MMscf/day) 30 at 8189 feet TVDSS and the oil water contact lies at 8397 feet TVDSS.
Anticipated Platforms 1 + 1 subsea satellite The production start-up has been constantly revised in order to make
cost savings. Production is now anticipated in July 1996 with export of
Anticipated Number of Wells 20
associated gas to Scottish Power or reinjected to maintain a consistent
Anticipated Oil Export 10" x 16 km spur to
supply. Andrew is being developed using a steel platform, with Cyrus,
Brae/Forties pipeline
which is 8 kms northeast of Andrew, redeveloped as a subsea tieback
Anticipated Gas Export 8" x 44 km gas line into CATS
to the platform. Costs have been reduced by the use of up-to-date
lightweight platform designs as well as a horizontal drilling programme.
The latter has reduced the number of pre-drilled wells considered
necessary, thus leaving slots available for additional water injectors.
This has increased the expected recovery rate to over 40 per cent.
Plateau production of 50,000 b/d of oil and 30 MMcfd of gas is
anticipated from Andrew shortly after start-up. Cyrus is planned to start
production soon after Andrew in 1997, with peak output of around
18,000 b/d in 1997. No plans exist at present for development of the
underlying Cretaceous gas condensate accumulation.
STRUCTURE AND STRATIGRAPHY
UNITED KINGDOM
within the Paleocene Montrose Group. The Montrose 00 TOP FORTIES/
Group may be divided into three main lithostratigraphic 85 0
0 ANDREW FORMATION
units, the Forties, Andrew and Maureen Formations. In the 84
Andrew
Andrew field the Andrew Formation has developed more DEPTH STRUCTURE
extensively than the stratigraphically younger Forties 0 2 km
Formation or the older Maureen Formation. The 00
83 (Contours in feet TVDSS)
sediments were deposited in the centre of the basin as
part of submarine fan complex that was sourced from the
6RE
west-northwest. The Andrew Formation exhibits 16/27b
2 1ST
preferential development in the Andrew field area, as a
result of its position in relation to the fan complex. The
839 7
Forties and Maureen Formations are developed to a
WC
lesser extent. The overlying basinal mudstones of the
00
Rogaland Group Lista Formation provide the vertical seal 1A 81 189 O
8
to the reservoir. The structure is a domal anticline and is OC8200
G
principally a structural trap that overlies a Zechstein salt 8300
dome. The structure measures approximately three to four
kilometres in diameter and exhibits dip closure on all 840
0
5
sides. 0
850
The deeper Lower Cretaceous accumulation is held in
turbiditic sandstones of the Cromer Knoll Group.
DEPTH (feet)
CORE CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
DESCRIPTION 0 100 ROCK 1.95 2.95
AGE
CLAY
VF
ROGALAND GROUP
LISTA FORMATION
M minor interbedded inter-channel marine
mudstones
8300
Geometry
M Broad ribbon to sheet geometry sandbody.
Lower siltstone sequence also shows sheet
geometry
and k
Moderate and k except at basal
M M sequence which forms partial vertical flow 8350
barrier
16/27a-1A M
M
Geometry
M M
Broad ribbon to sheet geometry composed
of coalescing sand ribbons. Three fining
ANDREW/FORTIES FORMATION
8450
M M
micaceous sandstones and laterally
impersistent carbonate cemented horizons
M M
8500
M M
8550
M
8600
M M
M M M
8650
M M
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
E
16/28-6 10000
16/28-1
16/27a-1A
Balder Fm
W
Rogaland Gp.
16/27a-2
Andrew
Lista Sele
Fm Fm
1000
Forties/Andrew Formation
Montrose Group
100
PERMEABILITY (md.)
Maureen
Fm
0
Ekofisk Fm
Chalk Gp
10
200
400 feet
The sediments of the Andrew field form a thick, stacked sequence of broad ribbon to
sheet like sand bodies that comprise coalesced sand ribbons. Individual fining upwards
sand bodies are in the region of 60 feet thick and major coalesced lobate sand bodies are 0.1
up to 600 feet thick. Interdigitated with these massive sand units are minor thin sheet like
silty sand layers which may be channel abandonment facies or overbank deposits, the latter
of which are typically 10 feet thick. These thin horizons are of poor permeability and present 16/27a-1A
partial barriers to vertical flow. Towards the top of the sequence the sandstones become 16/28-5
interdigitated with basinal marine mudstones and develop into the Lista Formation as a 0.01
0 10 20 30
result of the waning of sediment influx into the area. Carbonate concretions and minor
POROSITY (per cent.)
limestones are not laterally continuous and will therefore only act as minor baffles to vertical
flow.
Porosity and permeability values are typically good,
predominantly 19 to 26 per cent. and 100 to 1000 md respectively.
The porosity values are consistent with sandstones that have not
undergone extensive burial and diagenesis. Primary depositional
characteristics therefore exert the strongest control on present
porosity and permeability distribution. The restricted diagenetic
effects are minimal, being confined to minor quartz overgrowths and
authigenic kaolinite development. Individual sand units generally
show a small decrease in permeability towards the top of each unit
FLUID PROPERTIES in response to an increased argillaceous content.
The Andrew field oil is a saturated light oil with a solution gas oil ratio of 898 scf/stb. The
formation volume factor is 1.522 rb/stb and viscosity is 0.4 cp. The gas expansion factor is
217 scf/Bcf and gas viscosity is 0.023 cp.
data. Both the gas oil and oil water contacts are identifiable from
0 (cp)
wireline logs at 8189 and 8397 feet TVDSS respectively. DST data
400 0.8 0.8 give pressures of 3716 psia at the gas oil contact and 3760 psia at
the oil water contact. The reservoir is normally pressured with a
0
200 0.4 0.4
regional aquifer pressure gradient of 0.443 psi/ft. The pressure
gradient in the reservoir is 0.288.
0 0 0.0
8100
DEPTH (feet TVDSS)
CONTROLS ON RECOVERY
0.288 psi/ft
8300
The success of development of the Andrew field will be determined by the interaction of
geological, production and technological factors which are listed below. Should these
factors interact favourably, oil recovery is expected to be good, in the region of 40 per cent.
8400 OWC @ 8397 ft TVDSS
The structural relief of the reservoir is moderate, there is minimal faulting and porosities 0.443 psi/ft
and permeabilities are good.
There have been excellent production test results from the Andrew Formation, although 8500
the oil column is relatively thin. The thin oil column gives the potential for water coning, 3700 3720 3740 3760 3780 3800
but this may be restricted by the interdigitated nature of the shales and to a lesser extent INITIAL RESERVOIR PRESSURE (psig)
The field is being developed using horizontal well technology. Sweep efficiency is
planned to be maximised using a balanced offtake of oil and free gas. The net result of
this is expected to be a reduction in the required number of wells, which will help improve
the economic viability of the field.
POTENTIAL FACILITIES SPECIFICATIONS
Andrew Cyrus
UNITED KINGDOM
Water Depth 377 361
Andrew
(feet)
Platform Type Steel gravity base Subsea satellite
Function Production/Drilling/
Quarters (PDQ)
Jacket Weight 7500
(tonnes)
Total Weight 18-20000
(tonnes)
Photograph/Schematic
POTENTIAL PROCESSING AND EXPORT
Not Available SPECIFICATIONS
Note: Andrew facilities may include extra capacity for the potential
development of the deeper Cretaceous accumulation.
@
Pre Corporation Tax
Net Present Value 863.66 570.11 442.63 372.99 313.44 239.75 148.79
Net Present Value (Deflated) 714.95 462.13 353.31 294.08 243.55 181.17 104.43
Profit/Inv Ratio 2.26 1.70 1.41 1.25 1.10 0.90 0.62 PRODUCTION PERFORMANCE
Profit/Inv Ratio (Deflated) 1.83 1.34 1.10 0.96 0.83 0.66 0.42 PROJECTED
NPV/Unit Oil Equiv. 6.09 5.76 5.46 5.22 4.96 4.52 3.68
NPV/Unit Oil Equiv. (Deflated) 5.89 5.37 4.97 4.67 4.35 3.83 2.88 60 100
Liquid
Payback Year 1998
Nominal Rate Of Return % 37.48 Gas
@@@@
Real Rate Of Return % 32.78
Average Annual Daily Liquid Rate (Mbbl/day)
@@@@
Nominal Rate Of Return % 31.02
Real Rate Of Return % 26.55
Earnings Data 20
These cash flows include Andrew field only, plus Cyrus tariff income
48/18a Mobil 48/19a SUMMARY
11 Shell
6 CLIPPER The Anglia field is located in the UK sector of the Southern North Sea
2 approximately 80 km northeast of Bacton.
11 Anglia was discovered by Well 48/18b-1 in early 1972 and further
5
PT PW appraisal work showed that the structure extended into 48/19b to the
48/18b Ranger
east.
1 Annex B approval was granted in October 1990 and first gas was
EXCALIBUR achieved in December 1991. First phase development involved an
unmanned platform and six producing wells in the east of the field and
10 4
3 second phase development of the western area by means of a subsea
4
manifold development. Production from the western area started in
ANGLIA 3
CLIPPER October 1993 from horizontal Well 48/18b-9. A second well in the
LANCELOT 48/19cSOUTH western area was drilled in 1995.
Shell
7 The use of horizontal wells to improve productivity has proved
3
18d 1 9
8
successful. Gas is exported via the LOGGS pipeline to Theddlethorpe.
Rel. 7,10,12 Current interests in the Anglia field in per cent. are:-
5 9
6
2 Amerada Hess Ltd 29.29
12 Ranger Oil UK Ltd * 37.91
48/18c Arco 48/19b Ranger 48/19d Amerada Santos 32.80
8
2 operator *
48/23a
Arco
0 5 km
Fluid Properties Anglia is a small gas field situated in the Sole Pit area of the
Southern Gas Basin. Gas in this area is found in the Rotliegendes
Gas Gravity S.G (air =1) 0.58 Group with reservoir quality being typically poor due to the tight sands.
Condensate Gas Ratio (bbl/MMscf) 1 Nearby fields include Barque and Clipper immediately to the north,
Gas Expansion Factor (vol/vol) 230 the 'V' fields to the east and Hewett approximately 30 km to the south.
Reservoir Pressure, Pi (psig) 4000 Like Anglia, the Barque, Clipper and 'V' fields produce from the
at Datum Depth of (ft TVDSS) 8650 Rotliegendes. Fields in the Hewett area also produce from the
Reservoir Temperature (F) 185 Rotliegendes but the Hewett field itself is primarily a Triassic reservoir.
Rock Properties
Reserves
Production
The reservoir in the Anglia field comprises sandstones of Early Permian age The field is a complex northwest to southeast trending fault-bounded structure
UNITED KINGDOM
which are assigned to the Rotliegendes Group, Leman Sandstone Formation. A thick located within the Dowsing Fault Zone, close to the axis of inversion. This axis
Zechstein evaporite sequence forms the vertical seal to the reservoir. Coals and represents the area of maximum uplift in Late Cretaceous to Early Tertiary times.
carbonaceous mudstones of the underlying Carboniferous sediments provided the
Anglia
source for the gas.
48/18b-2 48/18b-1
Feet
S N
0
2000
JURASSIC
4000
UPPER - LOWER TRIASSIC
10000
0 1 miles
The Anglia field is located within an area where the Rotliegendes Group argillaceous (sheet flood) and thick and coarser grained (channel fill).
sediments comprise dominantly aeolian and fluvial facies, south of a parallel belt of Four units can be recognised on the basis of facies characteristics. The lower two
lake margin sabkha and lacustrine sediments. units comprise mixed aeolian and fluvial facies. The third unit which is dominated by
These sediments were deposited in a hot, semi-desert setting within the Southern aeolian facies sandstones is overlain by the Weissliegend unit of probable reworked
Permian Basin. The sediments comprise, clean, well sorted aeolian dune Rotliegendes sandstones.
sandstones, more argillaceous, interdune and lake margin sabkha sandstones with
minor, thin lacustrine mudstones and fluvial sandstones which are thin and
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
0 150 ROCK 1.95 2.95
AGE
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT NEUTRON
(PERCENT) (md) (Inches) (Limestone units)
40 0 0.1 10000 5 25 45 -15
V Marine evaporitic dolomites and sapropelic
V mudstones. Non reservoir interval.
1
Dominantly aeolian dune sandstones with
minor, thin argillaceous interdune
sediments. Capped by probable reworked
Rotligendes sandstones (Weissliegend).
8700
48/18b-1 Geometry
Sheet like sediment body.
and K
Generally moderate to good. Reduced
8750
Geometry
Stacked, sheet geometry fluvial and
aeolian sediment bodies.
and K
Generally moderate, locally poor in more
8900
argillaceous sediments.
8950
1. ZECHSTEIN GROUP
RESERVOIR GEOLOGY N POROSITY - PERMEABILITY CHARACTERISTICS
48/18b-1
1 10000
Unit 4
Anglia
Unit 3
1000
S
48/18b-2
Rotliegendes Group
Unit 2
PERMEABILITY (md.)
10
Unit 1
Unit 1
0.1
Unit 2
2
Unit 3
Unit 4
1. Zechstein Group
0.01
2. Carboniferous 0 10 20 30
0
Porosity values in the reservoir section are typically between 3
100
and 18 per cent. Trends in porosity and permeability are likely to be
200 feet controlled by the primary textural characteristics, grain size, sorting
and detrital clay content and hence by facies distribution. The best
porosity and permeability values occur in the cleaner, better sorted,
aeolian and fluvial sandstones.
Porosity and permeability generally range from 3 to 18 per cent.
The Leman Sandstone Formation can be subdivided into four units based on and 0.1 to 100md. However, the fluvial dominated units have poorer
sedimentary facies and this forms the basis of the reservoir layering. These four units reservoir characteristics (<15 per cent. and <10md), with the poorest
consist of two lower units (1 and 2) comprising fluvial and aeolian facies, a middle unit (3) reservoir occurring in the Weissliegend (Unit 4) likely to be a result
dominated by aeolian sandstones and an upper unit (4) of Weissliegend, probable marine of diagenetic cementation.
reworked sandstones.
Rotliegendes sandstones in these layers have an overall sheetlike geometry with a
complex internal architecture resulting from the interstratification and stacking of laterally
extensive aeolian, sabkha and sheetflood sandstones and more laterally restricted,
channel-fill sandbodies. Thin mudstones within units 1 and 2 are likely to be laterally
impersistent, but in combination contribute to the poorer reservoir quality of the lower units. RESERVOIR PRESSURE
The Leman Sandstone Formation is 483 feet thick in Well 48/18b-1 and 551 feet thick in
Well 48/18b-2, just to the south of the Anglia field. Regionally the Rotliegendes Group The Anglia field is normally pressured relative to a hydrostatic
thickens to the northeast. Reservoir quality is markedly better in the eastern area of the field gradient of 0.46 psi/ft. RFT data indicate a gas gradient of 0.07 psi/ft.
than in the west.
FLUID PROPERTIES
8450
The Anglia field contains a high calorific value dry gas with a condensate gas ratio of 1
bbl/MMscf. The average gas composition for the Anglia field, showing the high proportion of
methane and low inert gas content, is tabulated below.
0.07 psi/ft
1.0
COMPOSITION Average 8600
DEPTH (feet TVDSS)
(mol. %)
GAS DEVIATION FACTOR Z
CO2 0.32
N2 0.97
H2S Zi = 0.94
C1 95.90 0.95
C2 2.13
8750
C3 0.33
C4 0.16 GWC @ 8790 ft TVDSS
C5 0.47
C6+
S.G (Air = 1.0) 0.58 0.90 0.46 psi/ft
C.V. (Btu/scf) 1028
@ 185F (from correlation)
8900
0 1000 2000 3000 4000 5000 6000 3900 3950 4000 4050 4100 4150 4200
PRESSURE (psig) INITIAL RESERVOIR PRESSURE (psig)
CONTROLS ON RECOVERY
Recovery from the Anglia field is expected to be poor to moderate. The principal
factors affecting the recovery are as follows.
poor to moderate reservoir porosities and permeabilities, with the poorest use of horizontal wells to increase well productivities, particularly in the western
reservoir section in the western area of the field area
sheetlike geometry of the reservoir sandstones uncertainty associated with installation of compression facilities to allow a low
laterally impersistent non reservoir intervals within the reservoir section reservoir pressure at abandonment to be achieved
low risk of significant water influx due to probability of faulting and low
reservoir permeability
FACILITIES SPECIFICATIONS
East West
UNITED KINGDOM
Water Depth 74 102
Anglia
(feet)
Platform slots 6
Platform wells 5 up to 5 (planned)
The three-legged jacket was placed in the eastern section of the field and first
gas was in December 1991. The gas is exported through the LOGGS system and
the Theddlethorpe terminal. The facility is remotely controlled from this terminal. A
subsea manifold has been placed in the western sector and two wells drilled to
date.
(This is a Ranger photograph)
Net Present Value 224.00 125.73 88.45 69.58 54.32 36.61 16.67
Net Present Value (Deflated) 181.82 98.74 67.24 51.25 38.30 23.21 6.14
Net Present Value 150.08 82.08 55.90 42.56 31.73 19.11 4.86
Net Present Value (Deflated) 119.71 61.37 39.02 27.63 18.38 7.60 -4.60
Profit/Inv Ratio 1.24 0.78 0.58 0.46 0.36 0.23 0.07
Profit/Inv Ratio (Deflated) 0.88 0.52 0.36 0.27 0.19 0.08 -0.06
NPV/Unit Oil Equiv. 3.60 3.03 2.58 2.25 1.91 1.38 0.46 15
NPV/Unit Oil Equiv. (Deflated) 3.20 2.42 1.89 1.52 1.14 0.55 -0.43
Earnings Data
0
Gross Revenue 538.52 335.88 262.79 226.16 196.51 161.73 121.21 1990 1995 2000 2005 2010 2015
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Corporation Tax 73.92 43.64 32.55 27.02 22.59 17.50 11.81
Capital Expenditure 121.00 104.75 96.68 91.88 87.47 81.52 73.06
Operating Costs 193.52 105.41 77.67 64.71 54.72 43.60 31.48
Gross Revenue (Deflated) 467.67 305.07 244.14 212.94 187.28 156.64 120.01
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 62.11 37.37 28.22 23.62 19.92 15.62 10.74
Capital Expenditure (Deflated) 135.29 117.77 109.05 103.84 99.05 92.58 83.35
Operating Costs (Deflated) 150.56 88.56 67.86 57.85 49.93 40.85 30.53
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1990 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -19.7 0.0 0.0 0.0
1991 2.6 0.0 1.4 40.0 0.0 0.0 0.0 -38.8 -64.6 0.0 4.0 0.0
Pre Corporation Tax 1992 33.2 0.0 7.2 15.0 0.0 0.0 0.0 11.0 16.0 0.0 53.0 0.0
1993 33.4 0.0 7.2 10.0 0.0 0.0 0.0 16.1 21.0 0.0 53.0 0.0
Net Present Value 237.23 190.35 168.37 155.82 144.71 130.34 111.27 1994 30.9 0.0 7.9 30.0 0.0 4.7 4.7 -11.7 -13.8 0.0 46.0 0.0
Net Present Value (Deflated) 202.33 163.66 145.74 135.52 126.47 114.74 99.09 1995 34.2 0.0 8.7 10.0 0.0 2.2 2.2 13.3 14.2 0.0 52.0 0.0
NPV/Unit Oil Equiv. 8.18 8.53 8.63 8.67 8.69 8.70 8.66 Total To Start Of Discounting ( 1/JAN/1996)
134.2 0.0 32.4 115.0 0.0 6.9 6.9 -20.1 -46.9 0.0 75.9 0.0
Post Corporation Tax
1996 34.8 0.0 8.6 6.0 0.0 3.5 3.5 16.7 16.1 0.0 51.0 0.0
Net Present Value 170.17 139.13 124.24 115.64 107.97 97.97 84.55 1997 36.2 0.0 8.9 0.0 0.0 4.5 4.5 22.8 19.5 0.0 51.0 0.0
Net Present Value (Deflated) 147.40 121.20 108.84 101.73 95.40 87.13 75.97 1998 37.6 0.0 9.3 0.0 0.0 5.9 5.9 22.5 17.1 0.0 51.0 0.0
NPV/Unit Oil Equiv. 5.87 6.23 6.37 6.43 6.48 6.54 6.58 1999 36.7 0.0 9.2 0.0 0.0 7.0 7.0 20.5 13.9 0.0 47.9 0.0
2000 33.7 0.0 8.9 0.0 0.0 7.3 7.3 17.4 10.5 0.0 42.2 0.0
Earnings Data 2001 30.8 0.0 8.7 0.0 0.0 6.8 6.8 15.3 8.2 0.0 37.2 0.0
2002 28.3 0.0 8.4 0.0 0.0 6.3 6.3 13.6 6.5 0.0 32.8 0.0
Gross Revenue 404.36 301.62 259.35 236.59 217.21 193.12 162.65 2003 25.9 0.0 8.2 0.0 0.0 5.8 5.8 11.9 5.1 0.0 28.9 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2004 23.7 0.0 8.0 0.0 0.0 5.3 5.3 10.4 3.9 0.0 25.4 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2005 21.7 0.0 7.7 0.0 0.0 4.8 4.8 9.2 3.1 0.0 22.4 0.0
Corporation Tax 67.06 51.22 44.13 40.18 36.73 32.37 26.72 2006 19.8 0.0 7.3 0.0 0.0 4.3 4.3 8.3 2.5 0.0 19.7 0.0
Capital Expenditure 6.00 5.86 5.77 5.72 5.67 5.60 5.48 2007 18.2 0.0 7.0 0.0 0.0 3.9 3.9 7.3 2.0 0.0 17.4 0.0
Operating Costs 161.12 105.42 85.21 75.06 66.84 57.19 45.90 2008 16.6 0.0 6.6 0.0 0.0 3.5 3.5 6.5 1.5 0.0 15.3 0.0
2009 15.3 0.0 6.2 0.0 0.0 3.2 3.2 5.9 1.2 0.0 13.5 0.0
Gross Revenue (Deflated) 324.22 249.77 218.37 201.22 186.45 167.85 143.87 2010 14.0 0.0 5.7 0.0 0.0 2.9 2.9 5.3 1.0 0.0 11.9 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2011 11.0 0.0 5.1 0.0 0.0 2.6 2.6 3.3 0.5 0.0 9.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 54.93 42.46 36.90 33.79 31.07 27.62 23.12 2012 0.0 0.0 37.5 0.0 0.0 -10.6 -10.6 -26.8 -4.0 0.0 0.0 0.0
Capital Expenditure (Deflated) 6.00 5.86 5.77 5.72 5.67 5.60 5.48
Operating Costs (Deflated) 115.89 80.26 66.85 59.97 54.30 47.51 39.30 Total 404.4 0.0 161.1 6.0 0.0 67.1 67.1 170.2 108.8 0.0 174.0 0.0
operator *
0 4 km 2
1
Fluid Properties ARGYLL DUNCAN Argyll, Duncan and Innes are located at the southern extremity of the
Central Graben and produced from different geological horizons. Argyll,
Oil Gravity (API) 38 38 in common with the Auk field to the northwest, produced from Zechstein
Gas/Oil Ratio (scf/stb) 250 460 carbonates and Rotliegendes sandstones. Duncan, like Clyde to the
Bubble Point Pressure, Pb (psig) 800 1920 northwest, produced from Upper Jurassic sands. The small Innes field
Formation Volume Factor at Pi (rb/stb) 1.12 1.32 produced from the Rotliegendes.
Oil Compressibility (vol/vol/psi) 9 x 10-6 11 x 10-6 The nearest fields to the northeast, across the UK-Norway border,
are the Cretaceous chalk fields of the Ekofisk Complex and to the east
Original Reservoir Pressure, Pi (psig) 5300 5150
the stand alone Angus development. Other nearby discoveries include
At Datum Depth of (ft TVDSS) 8900 9000
Iris (30/29) and wells on Block 30/18.
Reservoir Temperature (F) 255 250
Rock Properties
Reserves
91
The Argyll field is located on a south westerly dipping high relief fault
UNITED KINGDOM
0 2
50
87 900 9
0 89 bounded block, along the western margin of the Central Graben. It is cut by
0
0
93
865
860
numerous small north northwest-south southeast and northeast- southwest
0 trending faults resulting in the formation of an intensively faulted and
30/25a-2
90 00
complex structure.
88
00
89
9105 The main reservoirs were fractured Zechstein carbonates (Argyll
875
9
87
1 89
Formation) and Rotliegendes sandstone (Auk Formation), which are
00
0
9
00 3
8800
91 9089 89 10 0 0
870 9
50
5
87
87 8
7 encountered at depths ranging from 8700 to 9400 feet TVDSS. These thin
91
26 5
83 89 18 updip to a culmination adjacent to the main northwest-trending fault
00
830
87
825 00
5
88
50
88
83
895 905 0
905 00 bounding the field to the northeast. The Zechstein carbonates were the main
90
0 00 producing zone, with 100 to 300 feet of net pay and a 131 to 167 feet oil
88
90
00
9150
88
890
89 90 column. The gross thickness of the oil column in the Rotliegendes
0
13
840
89
0
sandstones varied from 131 to 367 feet. The Zechstein carbonates and
50
5 89
8900
8450
14
Rotliegendes sandstones are progressively sealed by Zechstein evaporites
89
9200
50 89
91
89
25
(Turbot Bank Formation), Triassic mudstones (Smith Bank Formation) and
92
6
00
Chalk (Valhall/Tor Formations) in a northeasterly direction.
885
20
915
9450
9300
0
The Upper Jurassic, Fulmar Formation constitutes the reservoir in the
0
915
885
16
37 Duncan field, sealed by overlying Cretaceous mudstones and chalks.
8900
8850
31
95
11
8850
9
00
28
8
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
89
8900
91
940
90
95
The Zechstein carbonates consist predominantly of dolomites deposited
00
00
0
39 8850 12
90
0
955
89
00
950
34
890 00
0
0
ARGYLL The Rotliegendes Group sediments comprise shallow desert lake
92
5
90
91
0
900 mudstones and marginal cross-bedded aeolian dune sandstones at the
TOP AUK FORMATION
930
95
DEPTH STRUCTURE base. They are overlain by low-sinuosity and braided alluvial, current rippled,
0
9200 94
9400
92
95 9300 93 0 1 km
00 are capped by argillaceous aeolian interdune sandstones and coarser
93
9500
00
94 9400 (Contours in feet TVDSS) grained, cross-bedded aeolian dune sandstones. The alluvial systems
00
95
advanced northward from the Mid-North Sea High source area over a low-
00
95
lying plain with an ephemeral desert lake and marginal aeolian dune fields.
The Upper Jurassic, Fulmar Formation comprises shallow marine
(From Robson D, 1991)
sandstones which are clean and fine to medium grained. These sediments
are interpreted to have been emplaced by storm processes.
6000
0 1 km
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) ROCK ( g/cc )
DESCRIPTION 0 1.95 2.95
CLAY
AGE
VF
FULMAR FORMATION
HUMBER GROUP
Geometry
Laterally extensive sheet like sandbody.
and K
and K likely to be moderate to good.
Geometry
9100
and K
AUK FORMATION
30/24-15
10000
1 4 1. Chalk Group
2 5 2. Cromer Knoll Group
Humber Gp.
6 3. Rotliegendes Group
4. Tor Formation
7 5. Valhall Formation
6. Kimmeridge Clay Formation
7. Fulmar Formation 1000
Triassic Gp.
8. Smith Bank Formation
8 9. Argyll Formation
10. Kupferschiefer Formation
11. Zechstein Group
12. ?Old Red Sandstone
Zechstein Gp.
30/24-8
PERMEABILITY (md.)
9 30/24-6
10 10
Auk Fm.
30/24-5
3
13
30/24-3
1 1
4
11 9
Rotliegendes Gp.
Auk Fm.
0.1
0
12
100
0.01
0 10 20 30
200 feet
POROSITY (per cent.)
Argyll GOR
0 (cp)
@ 250 F (Duncan)
0 1.0 0
0 1000 2000 3000 4000 5000 6000
PRESSURE (psig)
Duncan - Jurassic
0.32 psi/ft
9500
CONTROLS ON RECOVERY
Recovery estimates for Argyll steadily increased during the field's life as infill drilling
proved extremely successful in this highly complex faulted field.
A strong natural aquifer provided pressure support and this combined with gas lift
allowed a high recovery factor to be achieved. 10000
5000 5100 5200 5300 5400 5500
The good to excellent Jurassic sand quality in Duncan allowed a moderate to high
recovery factor to be achieved. INITIAL RESERVOIR PRESSURE (psig)
Argyll, Duncan & Innes
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type floating production facility
Function production/accommodation
Jacket Weight
(tonnes)
Total Weight
(tonnes)
Accommodation 100
Well Slots 16
Wells 9 (Argyll) + flowlines from
Duncan manifold & Innes
Note: Innes ceased production in 1991, Argyll and Duncan ceased in 1992.
All three were abandoned in 1993.
Net Present Value 464.49 299.32 234.41 200.67 172.78 139.44 99.95
Net Present Value (Deflated) 990.02 662.18 529.43 459.00 399.77 327.42 238.67
Profit/Inv Ratio 1.55 1.49 1.45 1.42 1.40 1.35 1.26
Net Present Value 245.32 162.72 129.25 111.57 96.78 78.87 57.23
Net Present Value (Deflated) 548.79 374.08 301.34 262.14 228.79 187.48 135.74
Profit/Inv Ratio 0.82 0.81 0.80 0.79 0.78 0.76 0.72
Profit/Inv Ratio (Deflated) 0.77 0.73 0.69 0.66 0.64 0.59 0.51
NPV/Unit Oil Equiv. 2.53 2.56 2.54 2.52 2.48 2.42 2.28
NPV/Unit Oil Equiv. (Deflated) 2.39 2.26 2.16 2.09 2.01 1.88 1.66 10
Earnings Data
0
Gross Revenue 1,315.70 830.95 647.54 553.94 477.52 387.41 282.61
Royalty 104.25 67.47 53.04 45.56 39.38 32.01 23.32 1970 1975 1980 1985 1990 1995
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax 219.17 136.60 105.16 89.10 76.00 60.57 42.72 Year
Capital Expenditure 299.75 200.81 161.47 140.91 123.85 103.41 79.17
Operating Costs 447.20 263.35 198.61 166.80 141.51 112.55 80.18
Gross Revenue (Deflated) 2,786.97 1,888.96 1,535.32 1,350.28 1,196.13 1,009.80 784.31
Royalty (Deflated) 225.06 153.60 124.81 109.59 96.84 81.34 62.47
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 441.22 288.10 228.09 196.86 170.98 139.95 102.93
Capital Expenditure (Deflated) 708.93 515.66 437.01 395.24 360.12 317.28 264.93
Operating Costs (Deflated) 862.96 557.54 444.08 386.45 339.40 283.75 218.24
These cash flows include Argyll, Duncan and Innes fields (now abandoned)
4
SUMMARY
8
MOIRA
8 16/29c
The Armada complex of gas/condensate fields comprises Fleming,
7
FENRIS Drake and Hawkins which have a large areal extent, straddling three UK
11 Phillips
blocks in the Central North Sea (16/29a, 16/29c, 22/4a, 22/5a and
MARIA 15/12b Statoil
22/5b). The group of fields are situated some 250 km east of Aberdeen.
The first well, 22/5a-1, was drilled in 1980; this discovery has
9
7 subsequently been named Hawkins. Well 22/5b-2 drilled in 1982
16/29a Phillips 15/12d Statoil
3
discovered Drake. Both of these discoveries were at Upper Jurassic
22/4b Mobil 1 6/3
2
level. It was not until Well 22/4a-3 was drilled in 1987 that Fleming was
HAWKINS discovered, thus demonstrating the presence of a Paleocene reservoir
3 above the previous discoveries. In total, 12 exploration and appraisal
wells were drilled on and around the discoveries up to 1989. These
ARMADA 5 1 were followed by a 3D seismic survey carried out in 1992 to delineate
COMPLEX the areal extent of the whole complex.
9 12 All three fields contain gas condensate and will be developed via a
5
1 10 8 single platform with extended reach wells to drain the outlying parts of
the reservoir. Start up is expected in October 1997, with reserves
4 DRAKE expected to last approximately 20 years. Wet gas will be taken to the
2
4,4A FLEMING 7 CATS riser platform at Everest and then on to Teesside for processing
22/5b 2
into sales gas and NGLs. Heavier produced liquids will be separated
British Gas offshore and exported via Everest and Forties to Cruden Bay.
The current interests in the Armada complex in per cent are:-
11
13 Agip 5.58
Amoco 18.20
6 British Gas plc* 46.27
Fina 11.53
Phillips 11.45
Yorkshire Energy 6.97
22/4a Phillips 22/5a Amoco 22/5c Rel.
operator *
The unitisation of the whole complex is fixed and will not be subject
to future redetermination.
LOCAL SETTING
The Fleming, Drake and Hawkins fields (the Armada Complex) lie on
the northeastern flank of the Central Graben approximately 250 km east
northeast of Aberdeen and 20 km north of the Everest field.
RESERVOIR CHARACTERISTICS The Fleming field reservoir section comprises Paleocene Maureen
Formation sandstones and interbedded shales. The reservoir partially
Fluid Properties overlies and extends beyond the Drake and Hawkins fields. The
Fleming Drake Hawkins reservoir for both these underlying accumulations is the Upper Jurassic
Ula Formation which is represented by a thick sandstone interval.
The complex is close to the boundary of the UK and Norwegian
Gas Gravity (air=1) 0.67 to 0.69
sectors of the North Sea and as such, is positioned between the
Condensate Gravity (API) 48 to 56 45 to 50 45 to 50 Maureen and Moira fields to the north-northeast and Everest to the
Condensate Gas Ratio (stb/MMscf) 30 to 75 50 (approx.) 45 to 50 south. The Maureen and Moira fields also comprise the Paleocene
Gas Expansion Factor, Eg @ Pi (scf/rcf) 215 (approx.) 265 (approx.) 255 (approx.) Maureen Formation reservoir whereas Maria is a deep Jurassic
Reservoir Pressure Pi (psia) 4110 (approx.) 6020 (approx.) 5560 (approx.) discovery below Moira. The Everest field, some 20 km to the south has
At Datum Depth of (ft TVDSS) 9191 11322 10137 accumulations in the Paleocene Forties and Andrew Formations. Its
Reservoir Temperature (F) 256 285 260 proximity will provide a convenient entry point to the CATS pipeline for
the transportation of gas to Teesside.
Rock Properties
Armada Complex
The Armada complex lies on the northeastern edge of the Central Graben. There The Drake field comprises a probable tilted fault block trap which is sealed by dip
UNITED KINGDOM
are three separate accumulations - Fleming, Drake and Hawkins. and fault closure. The Hawkins field represents a salt-generated elongate dome and
At present, no published top reservoir depth structure maps are available. is also a combination fault and dip closure. Both fields are Upper Jurassic Ula
However well data indicate that the Fleming field is a north-south elongate shaped Formation accumulations which are sealed by the Heather and Kimmeridge Clay
accumulation and represents a combination dip and stratigraphic trap, with closure Formation shales, or Cretaceous shales where subcrop occurs due to Base
probably being pinch-out to the east and dip closure to the north, south and west. Cretaceous erosion.
The field is a Paleocene accumulation in the Maureen Formation of the Montrose
Group. It is sealed by the overlying Lista mudstones.
INTERPRETATIVE STRUCTURAL CROSS SECTION
FLEMING FIELD
7000
10000
UPPER CRETACEOUS
Chalk Group
11000 LOWER CRETACEOUS
The Paleocene Maureen Formation sediments of the Fleming field represent the Upper Jurassic sedimentation occurred in a subsiding shallow marine shelf environment
deposites of a series of high density turbidites, and associated marine shales. The upon which a thick sequence of shallow marine, largely bioturbated and variably
turbidites were supplied from the west, and flowed into the Central Graben via the argillaceous sandstones accumulated. These sands are common along the eastern
Witch Ground Graben area. Sand bearing flows were "channelled" by sea-floor flank of the Central Graben, and similar sediments occur at Ula and Gyda fields to
topography along the linear axis of the Central Graben. On the edges of the the southeast. The complex of shallow marine environments was eventually
submarine basin, sand onlapped the sides of the basin and pinched out to the east drowned by Late Jurassic subsidence and the sands were buried by Upper Jurassic
as turbidites decellerated and deposited their sediment in response to the sea floor shales. Late Jurassic fault block rotation resulted in uplift of the basin margins and
incline. The Paleocene sand sequence at Fleming clearly shows this effect, thinning differential erosion of the Jurassic sequence below the Base Cretaceous
and pinching out onto the inferred basin margin slope to the east, and thickening into unconformity. As a result, erosion is likely to play a role in defining the thickness and
the basin to the west. Later sedimentation of the Andrew and Forties Formation extent of the Ula Sandstone reservoirs.
sequences, dominated by thick sands at fields such as
Forties and Nelson to the west, were confined to the axis REPRESENTATIVE WELL SECTION - 22/5a-10 (FLEMING)
of the basin, and a sequence of shale equivalents (the
Lista Formation) were deposited at the relative high
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
location of Fleming. 0 150 ROCK 1.95 2.95
AGE
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT NEUTRON
(PERCENT) (md) (Inches) (Limestone units)
40 0 0.1 10000 5 25 45 -15
Marine shales
LISTA FM
Blanket of impermeable shales forming
caprock
22/5a-10
9150
Interbedded turbidite sands and marine
shales forming a relatively complex
geometry and moderate quality reservoir
sequence
MONTROSE GROUP
High density turbidite sandstone organised
into stacked sequences, with minor marine
PALEOCENE
MAUREEN FORMATION
9200
shales.
Geometry
Sheet geometry unit, thinning and pinching
out to the east, and thickening to the west.
Internal sandbody geometry may range
from sheetlike to lobate.
9250
and K
Good reservoir quality in thickly bedded
sands
Marine shales
22/5a-1 Laterally extensive caprock
1
9950
10000
Geometry
Initially a blanket of shallow marine sand,
now affected by differential later erosion
particularly on structural highs
and K
Locally moderate and good reservoir
quality where sands are clean, but often
10050
1. HEATHER FM.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
Armada Complex
NNW SSE 10000
1000
4
2
100
3 5
PERMEABILITY (md.)
0 Top Tor
Formation
10
1. Lista Formation
2. Maureen Formation
3. Ekofisk Formation
50 ft 4. Montrose Group
5. Chalk Group
1
The Fleming field reservoir sandstones can be interpreted as a series of relatively sheet
0.1
geometry sandstone units, separated by shales, which pinch out to the east. Detailed sand
body correlations are somewhat subjective given the thinness of the overall sequence and
the clearly defined sensitivity of sand thickness to sea-floor topographic effects. It cannot
Jurassic Sst.
therefore be discounted that the sands represent a series of overlapping lobeate geometry
Paleocene Sst.
units and that connectivity is much more tortuous. 0.01
The thinness of the sand sequence, and the height of the structure result in much of the 0 10 20 30 40
reservoir being full to base, and thus, it is only underlain by its aquifer in a narrow belt to the POROSITY (per cent.)
west.
In the Ula Sandstone, the thick shallow marine sand units tend to be of a more sheet
geometry nature. The thickness of the sand ensures that much of the structure is underlain In the Fleming reservoir porosity and permeability typically fall in
by the aquifer. Internal connectivity is expected to be very good. Of the two Jurassic the ranges 13-32 per cent. and 1-1000 md respectively. This is very
reservoirs, the sequence at Hawkins is more complex. Here, muddy poor reservoir quality similar to the Jurassic field characteristics, where values occur in the
sands separate the two principal reservoir sands. At Drake, this muddy unit does not occur, ranges 12-30 per cent. and 1-2000 md respectively in the Drake
the entire section being a single major sandstone sequence. field. Variation in porosity and permeability within each reservoir are
related to variation in textural characteristics and therefore facies
variations (grain size, sorting and mud content). The higher values
FLUID PROPERTIES occur in the cleaner, coarser grained and better sorted sands. The
lower values occur in the finer grained and muddy sandstones.
The reservoirs of the Armada field contain lean gas condensates with specific gravities Despite the significant difference in the age of the Fleming and
typically in the range 0.67 to 0.69 (air = 1). The results of four wells tested in the Paleocene Drake/Hawkins reservoir sediments, the overall range and
Fleming field indicate a condensate gas ratio in the range 30 to 75 stb/MMscf with a magnitude of porosity and permeability is similar. Porosity loss due
condensate gravity in the range 48 to 56 degrees API. From correlations, the gas expansion to cementation in the Jurassic sands has probably been partially
factor, Eg, for Fleming is approximately 215 scf/rcf at reservoir conditions (4110 psia, 256 offset by grain dissolution and secondary porosity generation. The
degrees F). Two well tests in the Drake field indicated a condensate gas ratio of development of overpressure in the reservoir has also helped to
approximately 50 stb/MMscf with a condensate gravity in the range 45 to 50 degrees API. offset the effects of porosity destruction due to deeper burial and
Correlations give a gas expansion factor of approximately 265 scf/rcf at reservoir conditions compaction. The Drake reservoir is of better quality than Hawkins
(6020 psia, 285 degrees F). For Hawkins various tests on Well 22/05a-1 indicate a due to the latter having a thicker sequence of muddy, and therefore,
condensate gas ratio between 45 and 50 stb/MMscf with a condensate gravity between 45 lower permeability sands.
and 50 degrees API. The gas expansion factor from correlations is 255 scf/rcf at reservoir
conditions (5560 psia, 260 degrees F).
400 1.2
GAS EXPANSION FACTOR (scf/rcf)
300 1.1
RESERVOIR PRESSURE
200 z factor 1.0 Fleming field is normally pressured, whereas Drake and Hawkins
fields are overpressured by some 1000-1200 psi. relative to an
average hydrostatic gradient to surface of 0.45 psi/ft.
100 0.9
Eg
@ 270F
0 0.8 8300
0 2000 4000 6000
Fleming Paleocene Reservoir
PRESSURE (psig)
0.091 psi/ft
are distal, relatively thin and are interbedded with shales. Sand geometry is thought to be
sheetlike, but a different interpretation might indicate more complex, less continuous Drake Jurassic Reservoir 0.116 psi/ft
sandbody geometries. As a result we would expect the recovery to be poorer than in the
11300 GWC @ 11322 ft TVDSS
more sand rich oil fields to the west. Water influx from the well connected and large regional
0.477 psi/ft
aquifer is also a possibility but should not influence the recovery to any great extent.
Deviated wells should, however, allow good areal contact with the reservoir.
The Drake reservoir is a high net to gross sandstone with no interbedded shales. This
together with good productivity and high initial pressure should lead to good recovery. 12300
The Hawkins reservoir has characteristics similar to Drake, but has a much higher 3900 4400 4900 5400 5900 6400 6900
proportion of poor quality sand. Recovery is therefore expected to be lower than at Drake. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
Armada Complex
UNITED KINGDOM
Water Depth 290
(feet)
Platform Type 4 legged, steel jacket with integrated deck
Function Production, accommodation wellhead
Accommodation N/K
Well slots 20
Wells planned 15-20 development wells
1,703.91
5.00%
911.58
8.00%
624.49
10.00%
482.86
12.00%
370.66
15.00%
243.73
20.00%
106.88
y 50
PRODUCTION PERFORMANCE
PROJECTED
Liquid
Gas
300
yyyy
Net Present Value (Deflated) 1,184.01 614.57 407.84 305.74 224.82 133.34 35.13
Average Annual Daily Liquid Rate (Mbbl/day)
yyyy
Net Present Value 1,119.46 592.29 396.72 299.29 221.67 133.44 38.07 20
Net Present Value (Deflated) 773.62 385.82 242.86 171.87 115.47 51.67 -16.51
Profit/Inv Ratio 1.70 1.11 0.83 0.67 0.54 0.36 0.12 100
Profit/Inv Ratio (Deflated) 1.22 0.74 0.52 0.39 0.28 0.14 -0.05
NPV/Unit Oil Equiv. 4.50 3.95 3.48 3.12 2.73 2.08 0.85
NPV/Unit Oil Equiv. (Deflated) 4.09 3.29 2.68 2.23 1.76 0.98 -0.44 10
50
Nominal Rate Of Return % 23.13
Real Rate Of Return % 18.51
Earnings Data 0 0
Gross Revenue 3,915.88 2,271.23 1,692.17 1,407.02 1,179.81 918.91 626.22 1995 2000 2005 2010 2015 2020
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Corporation Tax 584.46 319.29 227.77 183.57 148.99 110.28 68.81
Capital Expenditure 659.37 535.24 477.11 443.53 413.42 373.75 319.33
Operating Costs 1,552.60 824.40 590.57 480.63 395.74 301.44 200.01
Gross Revenue (Deflated) 2,881.87 1,732.33 1,314.29 1,104.75 935.62 738.55 512.89
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 410.39 228.75 164.97 133.87 109.35 81.67 51.64
Capital Expenditure (Deflated) 636.42 521.41 466.93 435.26 406.74 368.95 316.74
Operating Costs (Deflated) 1,061.44 596.35 439.53 363.75 304.06 236.25 161.02
Fluid Properties The Audrey field is located in the central part of the Southern North
Sea Basin, just to the northeast of the Sole Pit axis of inversion.
Gas Gravity S.G. (air =1) 0.60 The Rotliegendes reservoir section is a mixed sequence of fluvial,
Condensate Gas Ratio (bbl/MMscf) 1.7 aeolian, sabkha and lacustrine sediments reflecting the proximity of the
Gas Expansion Factor (vol/vol) 228 field to the southern margin of the Silverpit Lake.
Reservoir Pressure Pi (psig) 4110 (approx.) Neighbouring accumulations include the Sole Pit fields (Galleon and
at Datum Depth of (ft TVDSS) 8850 Clipper), Alison, Alexandra, Viking and Ann. These are all Rotliegendes
Reservoir Temperature (F) 190 sandstone reservoirs.
Reservoir quality in this area is typically moderate. Poor permeability
Rock Properties sandstones are found to the southwest in the Sole Pit fields, nearer to
the Sole Pit axis of inversion. Accumulations immediately to the
Rock Type Sandstone southeast, Alexandra and Alison, have similar reservoir characteristics,
Stratigraphic Unit Rotliegendes Group but reservoir quality improves in the Viking fields to the south.
Geological Age Permian
Porosity Range (per cent.) 10-20
Permeability Range (md) 0.5-50
Connate Water Saturation (per cent.) 40 (approx.)
Water up to (ft TVDSS) 9025
Depth to Top of Structure (ft TVDSS) N/A
Reserves
Audrey Ann Alison
Total Gas Reserves (Bcf) 700 130 75
Est. Gas Production to 31.12.1995 (Bcf) 487 45 0
Remaining Gas Reserves (Bcf) 213 85 75 FIELD DESCRIPTION
Production The Audrey field is a complex anticlinal structure, dip closed on all
sides.
The central axis of the field is overlain by a massive "salt wall" of
Water Depth (feet) 90
Zechstein evaporites, adversely affecting seismic interpretation in this
Production Start Date September 1988
area. The reservoir lithology consists of moderate to poor quality lake
Peak Gas Production (yrly average) (MMscf/day) 235 in 1990
margin sabkha and aeolian sands of the Leman Sandstone Formation.
Peak NGL Production (yrly average) (stb/d) 400 in 1990
The sandstones are about 600 feet thick in Well 49/11a-1. Porosities
Platform(s) 2 x unmanned are typically moderate to good and permeabilities are moderate to poor.
steel jackets DSTs carried out in Well 49/11a-1 flowed at a maximum gas rate of 18.7
Number of Slots 18 MMscf/day.
Gas and NGL Export Gas sent to The field has been developed with two unmanned platforms
N. Valiant, then to Theddlethorpe controlled from the North Valiant facilities. First gas was produced from
via LOGGS the first development phase platform in September 1988 and from the
second phase platform in September 1990.
Ann, situated to the northeast of Audrey was discovered by Well
49/6a-1 in 1966 and has been developed with a subsea template,
controlled from Audrey. Production commenced in October 1993 from
two horizontal wells. Output has proved to be successful with estimated
recoverable reserves of 130 Bcf and gas exported via a riser platform to
the Loggs pipeline.
The Alison field discovered by Well 49/11a-4 in 1986, is estimated to
contain 75 Bcf of sales gas and has been developed jointly by Phillips
and Conoco via a single horizontal well through a subsea template tied
back to the pipeline between Ann and the Loggs riser platform.
Production commenced in October 1995 and is controlled by umbilical
from Audrey.
STRUCTURE AND STRATIGRAPHY
The Audrey field is a complex anticlinal structure with dip closure on all sides. The is encountered at approximately 8740 feet TVDSS in Well 49/11a-1 and water is
UNITED KINGDOM
central axis of the field is overlain by a massive salt wall of Zechstein Evaporites found up to 9025 feet TVDSS in this well. The reservoir is sealed by the overlying
which results in poor seismic data quality and difficulty in interpretation. evaporites of the Zechstein Group.
Audrey
Gas is contained in the Leman Sandstone Formation (Rotliegendes Group), which
AUDREY
49/11a-1 49/16-6
Feet NW SE
0
TERTIARY/QUATERNARY
Chalk Group
2000
JURASSIC
4000
TRIASSIC
6000
Top Bunter
0 1 2 3 4 km
In the Audrey field area, the Leman Sandstone Formation represents continental, Four units can be recognised based on facies characteristics. The basal unit
fluvial, aeolian, inland sabkha and lacustrine sediments deposited in a hot semi-arid comprises predominantly fluvial sandstones and is overlain by a thick sequence of
desert setting within the Southern Permian Basin. The sediments comprise clean, aeolian dune sandstones. The third unit is a thick section of interbedded inland
cross-bedded and well sorted aeolian dune sandstones, horizontally laminated and sabkha/lake margin, fluvial and minor aeolian sandstones. This unit also contains
adhesion rippled interdune and lake margin sabkha argillaceous sandstones and thin thin fluvial and possibly lacustrine mudstones and siltstones. The Weissliegend
cross-bedded to thick, structureless locally argillaceous fluvial sandstones. The section of probable reworked Rotliegendes sandstones forms a thin unit at the top of
argillaceous sabkha sandstones locally grade into argillaceous siltstone and the reservoir.
mudstone of lacustrine facies.
CORE
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) ROCK ( g/cc )
DESCRIPTION 1.95 2.95
CLAY
AGE
0 150
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT NEUTRON
VC
VF
FM
Geometry
Stacked sheet geometry fluvial and aeolian
8900
and K
moderate, locally poor, rarely good. K
poor to very poor, locally moderate.
LEMAN SANDSTONE FORMATION
Geometry
Sheet geometry sandbodies interbedded
with sheetlike mudstones and siltstones.
and K
generally poor, locally moderate. K very
poor, unit may form vertical K baffle or
barrier.
Geometry
Stacked sheet geometry sandbodies with
thin, possibly laterally extensive mudstones.
and K
moderate to poor. K poor to very poor,
locally moderate. Mudstones may form
vertical K baffles or barriers.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
10000
AUDREY FIELD VIKING FIELDS
Audrey
Zechstein Group
Probable reworked Rotlie
gendes (Weissliegend)
1000
Dominantly inla
nd sabkha/lake
Rotliegendes Group
Fluvial and aeolian
sandstones 100
PERMEABILITY (md.)
Dominantly fluvial sandstones
10
CARBONIFEROUS 0
200 feet
1
The Leman Sandstone Formation can be subdivided into four units based on
sedimentary facies and this forms the basis of the reservoir layering.
These four units consist of a basal fluvial unit, a middle aeolian section and an upper 0.1
sabkha and fluvial dominated unit containing minor aeolian sandstones. These are capped
by the marine reworked Weissliegend. These are likely to have sheetlike geometries
extending across the Audrey field area. As the third of these units is generally more
argillaceous, containing thin mudstones, it is likely to have poorer reservoir quality and may
restrict vertical flow. 0.01
Rotliegendes sandstones of these layers have an overall sheetlike geometry, but with a 0 10 20 30
complex internal architecture resulting from the interstratification and stacking of laterally POROSITY (per cent.)
extensive aeolian, sabkha and sheetflood sandstones and more laterally restricted, minor
fluvial channel sandstones.
Thin mudstones and siltstones within the upper unit (below the Weissliegend) are likely Porosity values are generally moderate to good, typically 10 to 20
to be laterally impersistent, but contribute to the overall poorer reservoir quality of the unit. per cent. and permeability values are typically very poor to
The Leman Sandstone Formation is 667 feet thick in Audrey field Well 49/11a-1 and moderate; 0.5 to 50 md. Trends in porosity and permeability values
shows an overall westward thickening, and eastward thinning towards the Viking field. are controlled by the primary textural characteristics of grain size,
sorting and detrital clay content, and hence by facies distribution.
The inland sabkha/lake margin facies sediments therefore display
the poorest reservoir quality. The best porosity and permeability
values occur in the cleaner aeolian and fluvial sandstones. The
development of diagenetic cements locally reduces porosity and
permeability, particularly in the more argillaceous facies.
The Audrey field contains a high calorific value dry gas consisting of approximately 93 Based on a hydrostatic pressure gradient to surface of 0.46 psi/ft
per cent. methane, two per cent. non hydrocarbons and no hydrogen sulphide. A the Audrey field is normally pressured. However, because the
condensate gas ratio of approximately 1.7 bbl/MMscf was measured during testing. formation water in this field is salt saturated, the local water pressure
The recombined wellstream composition from DST 3 on Well 49/11a-1 is listed below. gradient is somewhat higher at 0.51 psi/ft. Water is seen up to an
approximate depth of 9025 feet in Well 49/11a-1 and from the DST
results, the reservoir pressure is approximately 4110 psig at 8850
COMPOSITION 1.05 feet TVDSS.
(mol. %) 49/11a-1
CO2 0.19
GAS DEVIATION FACTOR Z
8800
N2 2.22
H2S - 1.00
C1 92.81 Zi = 0.98
C2 3.29
8850
C3 0.75
C4 0.32
C5 0.12
C6 0.06 0.95
8900
DEPTH (feet TVDSS)
C7+ 0.24
S.G. (AIR=1.0) 0.60 0.075 psi/ft
C.V. (Btu/scf) 1040
8950
@ 190F (from 49/11a-1)
0.90
0 1000 2000 3000 4000
5000
PRESSURE (psig) 9000
9050
9100
4100 4150
4200
CONTROLS ON RECOVERY INITIAL RESERVOIR PRESSURE (psig)
Excess water and sand production problems have occurred in some wells; the operator is
installing facilities to cope with these production problems.
FACILITIES SPECIFICATIONS
AUDREY A AUDREY 2
UNITED KINGDOM
Water Depth 87 75
Audrey
(feet)
Platform Type four leg steel jackets and sub-sea templates
Note: The Audrey facilities include a sub-sea well located approximately 500
y
metres from the Audrey 1 platform. This well was necessary to guar-
antee ability to meet contractual demands following drilling delays.
yyyy
Average Annual Daily Liquid Rate (Mbbl/day)
yyyy
Net Present Value 291.14 185.07 142.33 119.80 101.00 78.28 50.99
100
Net Present Value (Deflated) 297.90 187.64 142.92 119.24 99.39 75.28 46.14
Profit/Inv Ratio 2.05 1.53 1.29 1.14 1.02 0.85 0.62
Profit/Inv Ratio (Deflated) 1.51 1.10 0.91 0.80 0.70 0.57 0.39
NPV/Unit Oil Equiv. 2.47 2.31 2.19 2.10 2.00 1.85 1.58 0.5
NPV/Unit Oil Equiv. (Deflated) 2.30 2.08 1.92 1.80 1.69 1.51 1.19
50
Nominal Rate Of Return % 44.37
Real Rate Of Return % 36.74
Earnings Data
0 0
Gross Revenue 1,258.22 825.81 659.10 572.61 500.91 414.65 310.87 1985 1990 1995 2000 2005 2010
Royalty 0.99 0.88 0.82 0.78 0.75 0.70 0.63
Petroleum Revenue Tax 260.24 170.21 133.95 114.87 98.98 79.82 56.91 Year
Corporation Tax 145.63 93.01 72.58 62.02 53.31 42.95 30.74
Capital Expenditure 141.90 120.87 110.71 104.74 99.31 92.03 81.79
Operating Costs 418.32 255.77 198.72 170.39 147.57 120.88 89.81
Gross Revenue (Deflated) 1,339.54 908.12 736.94 646.70 571.04 478.79 365.69
Royalty (Deflated) 1.47 1.30 1.21 1.16 1.11 1.04 0.93
Petroleum Revenue Tax (Deflated) 271.50 178.95 141.56 121.82 105.31 85.33 61.28
Corporation Tax (Deflated) 150.49 97.81 77.11 66.32 57.38 46.64 33.83
Capital Expenditure (Deflated) 197.37 169.99 156.59 148.64 141.37 131.57 117.67
Operating Costs (Deflated) 420.81 272.42 217.55 189.52 166.48 138.92 105.85
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1986 0.0 0.0 0.0 5.0 0.0 0.0 0.0 -5.0 -16.3 0.0 0.0 0.0
1987 0.0 0.0 0.0 40.0 0.0 0.0 0.0 -40.0 -116.8 0.0 0.0 0.0
Pre Corporation Tax 1988 31.4 1.0 10.4 30.0 0.0 0.0 1.0 -10.0 -26.4 0.1 61.0 0.0
1989 78.7 0.0 27.6 26.3 0.0 0.0 0.0 24.8 56.9 0.3 178.1 0.0
Net Present Value 173.91 155.98 146.35 140.41 134.86 127.19 116.04 1990 123.8 0.0 33.7 16.6 0.0 8.7 8.7 64.9 127.6 0.4 233.5 0.0
Net Present Value (Deflated) 162.49 145.51 136.60 131.16 126.10 119.14 109.04 1991 130.8 0.0 35.5 11.0 31.8 24.7 56.5 27.7 46.1 0.3 202.9 0.0
NPV/Unit Oil Equiv. 4.87 5.12 5.22 5.28 5.33 5.38 5.44 1992 119.1 0.0 29.8 0.0 42.4 13.3 55.7 33.6 48.9 0.3 189.0 0.0
1993 119.8 0.0 29.5 5.0 55.3 9.4 64.6 20.7 26.8 0.3 188.0 2.5
Post Corporation Tax 1994 95.6 0.0 27.2 0.0 21.5 12.3 33.8 34.7 41.0 0.2 139.0 7.8
1995 97.3 0.0 26.0 3.0 25.2 11.7 37.0 31.4 33.6 0.2 144.0 10.0
Net Present Value 108.41 98.27 92.67 89.17 85.87 81.27 74.52 Total To Start Of Discounting ( 1/JAN/1996)
Net Present Value (Deflated) 102.19 92.31 87.02 83.76 80.70 76.48 70.31 796.6 1.0 219.7 136.9 176.1 80.1 257.2 182.7 221.5 0.8 487.5 7.4
NPV/Unit Oil Equiv. 3.03 3.22 3.31 3.35 3.39 3.44 3.50
1996 92.6 0.0 24.3 5.0 22.9 13.0 36.0 27.4 26.3 0.2 132.0 8.3
Earnings Data 1997 76.0 0.0 20.9 0.0 18.7 13.1 31.9 23.2 19.9 0.2 103.7 7.5
1998 61.9 0.0 18.3 0.0 12.9 10.7 23.7 20.0 15.2 0.1 81.5 6.0
Gross Revenue 461.66 387.75 353.65 334.12 316.70 293.88 262.80 1999 50.7 0.0 16.2 0.0 7.7 9.4 17.1 17.4 11.8 0.1 64.1 4.7
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2000 41.5 0.0 14.5 0.0 3.4 8.3 11.7 15.3 9.2 0.1 50.3 3.8
Petroleum Revenue Tax 84.13 76.03 71.48 68.64 65.97 62.28 56.91 2001 34.0 0.0 13.2 0.0 10.4 6.9 17.2 3.6 2.0 0.1 39.6 3.0
Corporation Tax 65.50 57.71 53.68 51.24 48.99 45.92 41.52 2002 27.8 0.0 12.0 0.0 8.1 3.0 11.2 4.6 2.2 0.1 31.1 2.3
Capital Expenditure 5.00 4.88 4.81 4.77 4.72 4.66 4.56 2003 22.4 0.0 11.1 0.0 5.8 2.3 8.2 3.2 1.4 0.0 24.4 1.8
Operating Costs 198.62 150.86 131.02 120.30 111.15 99.75 85.29 2004 18.4 0.0 10.0 0.0 4.2 1.7 5.9 2.4 0.9 0.0 19.2 1.5
2005 14.6 0.0 9.3 0.0 2.9 1.2 4.2 1.2 0.4 0.0 15.1 0.0
Gross Revenue (Deflated) 408.23 348.19 320.11 303.89 289.34 270.13 243.70 2006 12.0 0.0 8.6 0.0 1.9 0.7 2.6 0.8 0.2 0.0 11.9 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2007 9.7 0.0 8.2 0.0 0.9 0.4 1.4 0.2 0.0 0.0 9.3 0.0
Petroleum Revenue Tax (Deflated) 79.12 71.11 66.83 64.21 61.77 58.42 53.58 Remain
Corporation Tax (Deflated) 60.30 53.21 49.59 47.40 45.39 42.65 38.73 2008 0.0 0.0 32.0 0.0 -15.9 -5.4 -21.2 -10.8 -2.6 0.0 0.0 0.0
Capital Expenditure (Deflated) 5.00 4.88 4.81 4.77 4.72 4.66 4.56
Operating Costs (Deflated) 161.62 126.69 111.86 103.75 96.75 87.92 76.50 Total 461.7 0.0 198.6 5.0 84.1 65.5 149.6 108.4 87.0 0.3 212.5 14.2
These cash flows include Audrey field only, plus Ann tariff income
30/11b Amoco 30/12b Amoco SUMMARY
6 2
4 The Auk field is located in Quadrant 30 some 270 km east southeast
HALLEY of Aberdeen in the UK Sector of the North Sea. Auk was discovered in
3 1971 by Well 30/16-1 which encountered oil in Permian dolomites of the
Zechstein Group. Subsequent wells encountered oil in underlying
30/16 Shell A 30/17b BP Rotliegendes sandstones.
AD Development of the field began in 1974 and involves one steel
FULMAR 6
7
LEVEN platform. First oil was produced in December 1975 and peak oil
9 production was achieved in 1977. Oil is piped to St. Fergus via the
7 Fulmar oil field. The field is now at a mature phase of production.
5 8 6
2 CLYDE
The current interests in the Auk field in per cent. are:-
5
12 13
3
RD/Shell UK Ltd * 50.00
4
MEDWIN Esso Exploration & Production Ltd 50.00
4 operator *
1 3 AUK
A 1
2 9 10
11 8 JANICE
AUK SE
10
30/17a Phillips
30/21 Shell 30/22b Mobil
0 5 km
Fluid Properties The Auk field is located on a fault-bounded terrace on the western
margin of the southwest Central Graben. The nearest fields are Fulmar
Oil Gravity (API) 38 and Clyde, approximately 10 km to the northeast, both of which produce
Gas/Oil Ratio (scf/stb) 155 oil from Jurassic sandstones. The nearest field that produced from a
Zechstein horizon was the Argyll field some 50 km to the southeast. The
Bubble Point Pressure, Pb (psig) 800
Josephine and J-Block discoveries, 25 km to the northeast, contain
Formation Volume Factor at Pi (rb/stb) 1.1
hydrocarbons in a series of formations ranging from the Paleocene to
Oil Compressibility (vol/vol/psi) 8.0 x 10-6
the Triassic. In the Norwegian sector, some 60 km to the east, lie a
Original Reservoir Pressure, Pi (psig) 4067
number of chalk reservoirs including Ekofisk and Valhall.
At Datum Depth of (ft TVDSS) 7600
Reservoir Temperature (F) 200
Rock Properties
Reserves
Water depth (feet) --------------------------- 274-282 ------------------------ The Auk field is a horst structure. The reservoir formations are
Production Start Date ---------------------------- Dec-75 -------------------------- Zechstein dolomites (Argyll Formation) and Rotliegendes sandstones
Peak Production (Oil and NGL) (stb/day) ----------------------------- 47000 ------------------------- (Auk Formation). Average thickness in the Zechstein is some 30 feet
Platform(s) ----------------------- 1 steel jacket--------------------- with the majority of the oil being contained in vugular porosity. Reservoir
Number of Wells - Producers -------------------------------- 12 -----------------------------
permeability is from fractures and solution channels as matrix
Water Injectors permeability is very poor. The Rotliegendes is oil bearing over part of
Gas Injectors the field and tested oil at rates of up to 5000 stb/day.
The reservoir fluid is a low viscosity, undersaturated 38 degree API
Oil and NGL Export -------------------- Pipeline to Fulmar ---------------
oil with a gas oil ratio of 155 scf/stb. A strong water drive provides the
Gas Export ------------------------------ Flared -------------------------
main production mechanism with the majority of the reserves lying in the
Zechstein reservoir.
Production began in December 1975 and approximately 87 per cent.
of the reserves have so far been produced.
The field's production has been boosted by artificial lift pumps
installed in two or three wells. Following Annex B approval for a gas lift
programme in 1991, a gas treatment and compression facility was
installed in 1992.
The Auk southeast accumulation, tested by Wells 30/16-8 to -12, is
small and there are currently no plans to develop it.
30/16 STRATIGRAPHY AND STRUCTURE
0 8000 AUK
820
TOP ROTLIEGENDES The Auk field is situated on the upthrown side of the Tarty fault, on the
UNITED KINGDOM
0
DEPTH STRUCTURE western margin of the Central Graben. The Auk field structure is a horst with
800 0 2 km
7800 Permian reservoir rocks in a structurally high position relative to Upper
OWC 7704
(Contours in feet TVDSS) Jurassic source rocks. The field produces oil from Upper Permian Zechstein
12
00 carbonates at 7500 feet TVDSS with the OWC at 7750 feet TVDSS. Oil has
Auk
78
SOGRA
7600 also been discovered in Lower Permian, Rotliegendes sandstones, which
UT BE
7600
were the original target.
FA
H- N B ONE
4
WE O
UL
00
6 In Block 30/16, the western margin of the Central Graben is expressed as
78
ST UN
60
7 ? a series of eastwards-hading en-echelon faults which displace Cretaceous
CE DAR
OWC
Z
and older rocks. Younger rocks show rapid eastwards thickening, while
NT Y
RA
Zechstein salt and Triassic sandstone exhibit thinning trends. Despite the
L
00
westwards uplift of the younger potential cap rock, trap forming conditions
7600
82 1 arise as a result of offsetting at the major boundary faults. In the area where
3 two offset faults overlap, there is a tendency for a minor 'back basin' to be
80
00
84
00 PLATFORM formed, closed to the south and open down-plunge towards the graben. In
0
800
this area, west-hading secondary faults have formed and have been
important in trapping westward migrating oil.
00
00
740
80
86
9
0
00
88
OWC 7750
2
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
7600
82
00
7600
84
?
Kupferschiefer, are rich in detrital material, but this decreases rapidly
86 ?
00 8 upwards. The carbonates display a peloidal-oncolitic fabric with stromatolitic
8400
lamination, together with anhydrite crystal moulds. This suggests deposition
11
in an evaporitic, hypersaline intertidal to supratidal sabkha environment. A
7750
0 880
900 0
00
mudstone layer locally separates the lower Zechstein dolomite from the
76
0
OWC
780
10A upper Zechstein dolomites which are highly brecciated. This mudstone may
0
78
upper Zechstein dolomites.
00
The underlying Rotliegendes sandstones were deposited by migrating
80 aeolian dune and dune base sandstones.
(From Trewin, NH and Bromwell G, 1991)
6000 TERTIARY
7000
Chalk Group
Valhall Formation
8000 Auk Formation
9000
Old Red Sandstone Kimm. Clay Fm.
10000 Fulmar Formation
TRIASSIC
11000
Zechstein Group
12000
13000
0 1 2 km
CORE
7550 DEPTH (feet)
AGE
0 150
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT
VC
VF
B C P 40 0 0.1 10000 5 25
ZECHSTEIN GP.
U. PERMIAN
M
KUPF.
Geometry
Laterally extensive sheet geometry
UPPER ROTLIEGENDES GROUP
M
sandbody.
Py and K
Py
and K generally moderate to good,
LOWER PERMIAN
7650
AUK FORMATION
Si
M
Si
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
30/16-12
10000
1 4
2 5
Auk Fm.
3
100
PERMEABILITY (md.)
0
Smith Bank Formation
10
30/16-11
Kupferschiefer
100 Formation
30/16-10
1 4
200 feet 1
2 5
0.1
Rotliegendes Gp.
Auk Fm.
1. Chalk Group
2. Zechstein Group
3. Rotliegendes Group
4. Hod Formation
0.01
5. Argyll Formation
0 10 20 30
6. Kupferschiefer Formation
POROSITY (per cent.)
FLUID PROPERTIES
The Auk reservoir fluid properties appear to be consistent in the Zechstein and
Rotliegendes reservoirs. The oil has a low GOR and is moderately light with an oil gravity
of 38 degrees API.
RESERVOIR PRESSURE
200 1.16 1.3
1.12
B0 (rb/stb)
0 (cp)
100 0 1.1
7500
1.10
50 1.0
1.08
7600
@ 200 F
0 1.06 0.9
0 1000 2000 3000 4000 5000
DEPTH (feetTVDSS)
7700
CONTROLS ON RECOVERY
OWC @ 7750 ft TVDSS
Recovery in the Auk field is mainly from the Lower Zechstein, with minor recovery from
0.46 psi/ft
the Rotliegendes sands. No recovery is expected from the Upper Zechstein interval. 7800
The field is now in a mature phase of production. The principal factors affecting recovery
are:
7900
the good secondary porosity and high permeability (2 to 10 Darcies) of the Lower 4060 4080 4100 4120 4140 4160
Zechstein leads to high productivity from that interval. This has been largely destroyed
INITIAL RESERVOIR PRESSURE (psig)
by clay infill in the Upper Zechstein. Permeability in the Rotliegendes interval, between
1 and 10 md, is too low for sustained direct production, although production is believed
to occur via the partially depleted Lower Zechstein interval
the strong natural aquifer drive from the underlying Rotliegendes provides efficient
reservoir pressure support
pressure continuity within the reservoir ensures that oil is efficiently swept by the
encroaching aquifer
artificial lift and a recent infill drilling programme have maintained oil production levels
and extended the field life.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type steel jacket
Function drilling/production/
Auk
accommodation
Accommodation 74
Well Slots 12
Wells 12
Net Present Value 506.29 307.48 232.59 194.68 163.92 127.90 86.40
Earnings Data 0
1975 1980 1985 1990 1995 2000 2005
Gross Revenue 1,455.08 778.11 567.21 468.35 391.74 305.84 211.41
Royalty 111.94 64.50 48.18 40.21 33.88 26.62 18.45 Year
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax 260.27 149.21 110.46 91.41 76.24 58.84 39.39
Capital Expenditure 273.00 166.98 130.31 112.29 97.89 81.21 62.05
Operating Costs 563.86 239.15 156.13 121.17 96.05 70.11 44.52
Gross Revenue (Deflated) 2,980.40 1,826.96 1,419.48 1,215.30 1,049.49 853.83 623.55
Royalty (Deflated) 246.86 155.70 121.70 104.32 90.06 73.09 52.98
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 CASH FLOW REPORT
Corporation Tax (Deflated) 544.17 332.72 254.15 214.28 181.81 143.62 99.40
Capital Expenditure (Deflated) 739.80 523.48 440.03 396.32 359.69 314.82 258.97 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Operating Costs (Deflated) 855.76 437.93 314.92 258.59 215.52 167.80 115.92 Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1972 0.0 0.0 0.0 5.0 0.0 0.0 0.0 -5.0 -209.0 0.0 0.0 0.0
1973 0.0 0.0 0.0 5.0 0.0 0.0 0.0 -5.0 -181.1 0.0 0.0 0.0
1974 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -305.9 0.0 0.0 0.0
1975 0.0 0.0 0.0 20.0 0.0 0.0 0.0 -20.0 -523.7 0.0 0.0 0.0
1976 62.3 2.8 10.0 15.0 0.0 0.0 2.8 34.5 673.1 24.0 0.0 0.0
1977 155.7 12.0 15.0 18.0 0.0 0.0 12.0 110.7 1,715.8 47.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1978 66.3 11.7 17.0 15.0 0.0 48.2 59.9 -25.6 -316.3 25.0 0.0 0.0
1979 64.2 5.7 18.0 15.0 0.0 14.7 20.5 10.7 113.5 18.0 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1980 77.0 6.2 20.0 15.0 0.0 13.4 19.5 22.4 193.5 14.0 0.0 0.0
1981 94.2 7.8 20.0 15.0 0.0 18.3 26.1 33.1 224.3 14.0 0.0 0.0
Pre Corporation Tax 1982 97.2 9.0 20.0 15.0 0.0 26.2 35.2 27.0 151.6 14.0 0.0 0.0
1983 94.7 8.9 20.0 10.0 0.0 27.6 36.5 28.1 134.6 13.0 0.0 0.0
Net Present Value 2.05 13.14 17.68 20.05 22.00 24.28 26.76 1984 100.3 9.3 20.0 5.0 0.0 28.2 37.5 37.8 160.0 12.0 0.0 0.0
Net Present Value (Deflated) 11.61 19.59 22.76 24.39 25.69 27.16 28.64 1985 77.6 8.5 20.0 5.0 0.0 30.7 39.2 13.3 49.8 10.0 0.0 0.0
NPV/Unit Oil Equiv. 0.12 0.90 1.29 1.53 1.75 2.05 2.48 1986 36.1 4.7 18.5 20.0 0.0 19.5 24.2 -26.6 -86.7 10.0 0.0 0.0
1987 41.1 2.3 18.8 40.0 0.0 3.1 5.4 -23.1 -67.3 10.0 0.0 0.0
Post Corporation Tax 1988 31.0 1.7 18.7 5.0 0.0 2.1 3.8 3.5 9.3 10.0 0.0 0.0
1989 24.3 0.9 17.4 5.0 0.0 -0.2 0.7 1.3 2.9 6.0 0.0 0.0
Net Present Value -14.74 -2.49 2.71 5.50 7.85 10.70 14.06 1990 43.4 1.8 18.7 0.0 0.0 -1.3 0.5 24.2 47.6 9.0 0.0 0.0
Net Present Value (Deflated) -4.55 4.58 8.40 10.43 12.13 14.15 16.47 1991 37.6 2.7 18.9 0.0 0.0 4.8 7.6 11.1 18.5 9.0 0.0 0.0
NPV/Unit Oil Equiv. -0.89 -0.17 0.20 0.42 0.62 0.90 1.30 1992 27.9 1.9 18.2 5.0 0.0 3.5 5.4 -0.7 -1.1 7.0 0.0 0.0
1993 33.1 1.6 18.8 25.0 0.0 0.9 2.5 -13.2 -17.2 8.0 0.0 0.0
Earnings Data 1994 41.5 2.2 20.5 5.0 0.0 0.7 2.9 13.0 15.4 11.0 0.0 0.0
1995 46.3 3.1 21.0 0.0 0.0 3.0 6.2 19.1 20.4 12.0 0.0 0.0
Gross Revenue 203.44 178.69 166.30 158.88 152.05 142.79 129.54 Total To Start Of Discounting ( 1/JAN/1996)
Royalty 7.03 7.54 7.68 7.71 7.71 7.67 7.52 1,251.6 104.9 369.5 273.0 0.0 243.5 348.4 260.8 1,822.2 103.3 0.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax 16.78 15.63 14.97 14.55 14.15 13.58 12.70 1996 41.6 3.5 20.0 0.0 0.0 4.9 8.4 13.3 12.8 10.4 0.0 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1997 39.2 3.1 19.8 0.0 0.0 4.4 7.5 11.9 10.2 9.1 0.0 0.0
Operating Costs 194.36 158.01 140.95 131.12 122.34 110.84 95.26 1998 35.3 2.8 19.8 0.0 0.0 4.1 7.0 8.6 6.6 7.9 0.0 0.0
1999 32.1 2.4 19.6 0.0 0.0 3.3 5.7 6.8 4.6 6.9 0.0 0.0
Gross Revenue (Deflated) 186.73 164.90 153.94 147.36 141.29 133.04 121.21 2000 29.0 2.1 19.7 0.0 0.0 2.7 4.7 4.6 2.8 6.0 0.0 0.0
Royalty (Deflated) 7.63 7.86 7.87 7.84 7.79 7.69 7.46 2001 26.2 1.8 19.6 0.0 0.0 1.9 3.7 2.8 1.5 5.2 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 16.17 15.01 14.37 13.96 13.57 13.01 12.17 2002 0.0 -8.6 75.9 0.0 0.0 -4.6 -13.2 -62.7 -30.0 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 167.49 137.46 123.30 115.13 107.81 98.19 85.12 Total 203.4 7.0 194.4 0.0 0.0 16.8 23.8 -14.7 8.4 16.6 0.0 0.0
13 25 1 Balmoral
Sun* 58.99
Deminex 12.47
Clyde 12.47
Summit 6.75
Pentex Oil 6.65
Goal 2.67
Glamis
Sun* 62.00
Deminex 15.00
Clyde 15.00
RESERVOIR CHARACTERISTICS Pentex Oil 8.00
operator *
Fluid Properties BALMORAL GLAMIS
Approximately 85 per cent. of the reserves are attributable to Block
Oil Gravity (API) 36 40
16/21a and 15 per cent. to Block 16/21b.
Gas/Oil Ratio (scf/stb) 380 750
Bubble Point Pressure, Pb (psig) 1450 3210
Formation Volume Factor at Pi (rb/stb) 1.26 1.64
Oil Compressibility (vol/vol/psi) 12 x 10-6
Original Reservoir Pressure, Pi (psig) 3165 4562
At Datum Depth of (ft TVDSS) 7000 10050
Reservoir Temperature (C) 207 119 LOCAL SETTING
Rock Properties The Balmoral field is located on the southern flank of the Palaeozoic
Fladen Ground Spur, a northwest-southeast trending extension of the
Rock Type Sandstone Sandstone Shetland Platform. To the south in Quadrant 21 is the Forties field, and
Stratigraphic Unit Andrew Formation Piper Formation to the southeast in Quadrant 16 is the Maureen field, both of which
Geological Age Paleocene Upper Jurassic produce from Paleocene sandstones. Also to the southeast, the Andrew
Porosity Range (per cent.) 25-32 15 and Cyrus fields have discovered oil in Paleocene sands. To the
Permeability Range (md) 300-2000 40-1500 northeast are the Jurassic Brae Formation fields; the Brae fields
Connate Water Saturation (per cent.) 10-20 themselves some 60 km to the north, and the
Oil Water Contact (ft TVDSS) 7050 10306 T-Block discoveries some 20 km in the same direction.
Depth to Top of Structure (ft TVDSS) 6900 10000
Reserves
UNITED KINGDOM
Late Paleocene Montrose Group, Andrew Formation TOP ANDREW
sandstones. The Montrose Group in the Balmoral area 7200
Balmoral
16/21b DEPTH STRUCTURE
forms a relatively thin (<900 feet) sequence due to its
16/21d 0 2 km
71
position over the southwestern flank of the Palaeozoic 7100
00
Fladen Ground Spur. Montrose Group thicknesses (Contours in feet TVDSS)
increase to the south where the Paleocene basin overlies
the Mesozoic Witch Ground Graben axis. The Andrew
5
Formation reservoir sandstones are overlain by 12
7000
approximately 260 feet of Lista and Sele Formation marine 16/21a
O
7200
W
mudstones which form the seal. Above these is the basal
C
7
70
tuff member of the Balder Formation, a regionally important 7100
50
71
16/21c
00
seismic and lithostratigraphic marker horizon. The
Balmoral structure is a result of drape over a Palaeozoic 7000
2
high. Closure has been generated by differential
compaction of mudstones over a major channel sandbody 3
complex, orientated northwest-southeast, passing through
the centre of the field. In addition, closure may be locally 1 73
00
aided by pinch-out of reservoir lithologies. 7000 B4
71
00
72
00
The Glamis field is an east-west trending structural 0
710
O
closure to the south of the Balmoral field, within which oil
W
C
70
has been discovered in Jurassic sandstones. 4A
50
73 0
74
00
75
SEDIMENTOLOGY AND DEPOSITIONAL
0
00
ENVIRONMENT
16/21-1 16/21a-2
Feet SW NE
4000
5000
6000
Rogaland Group
7000
8000
Cromer Knoll Group
"Old Red Sandstone" Ekofisk Formation Tor Formation Hod Formation
0 0.5 1 km
9000
CORE
DEPTH (feet)
AGE
VF
sandstones.
Geometry
Broad, elongate, lenticular and sheetlike
sandbodies with thin, sheetlike to lenticular
7100
mudstones.
and K
and K of sandstones good, locally poor
UPPER PALEOCENE
M Geometry
7200
Balmoral
3. Lista Formation
4. Ekofisk Formation
16/21a-3
Rogaland Gp.
Form 1
ation
2
Lista
Form IV 100
ation 3
III
PERMEABILITY (md.)
Andrew Formation
II
10
Montrose Group.
I
Maureen Fm.
1
Chalk Gp.
0
100 feet
4
Ekofisk Fm.
0.01
The fourway subdivision into lithostratigraphic units forms the basis of the Andrew 0 10 20 30 40
Formation zonation in the Balmoral field. The major sandstone bodies predominantly have
POROSITY (per cent.)
ribbon geometries and are orientated northwest-southeast along the axis of the field. The
highest sandstone/mudstone ratios occur in sections along the axis of the field.
Mudstones are generally laterally impersistent except in Unit l and towards the northeast Porosities and permeabilities in Balmoral are typically good to
where the sandstone/mudstone ratio is lower. Isochores of net and gross sand thickness very good, ranging from 25 to 32 per cent., and 300 to 2000 md
trend northwest-southeast, parallel to the palaeocurrent direction and the flank of the Fladen respectively.
Ground Spur. Porosity and permeability are primarily controlled by the burial
Nodules of calcite-cemented sandstone do not form widespread permeability barriers but depth and the initial texture and composition of the sandstones. A
may act as baffles to fluid migration. primary palaeoenvironmental control is related to grain size, sorting,
and content of detrital clay and mica. Higher porosities and
permeabilities are associated with coarser grained, better sorted
sandstones which contain less detrital clay and mica. Even subtle
variations in detrital clay content associated with dewatering
structures in "massive" sandstone bodies have a measurable effect
FLUID PROPERTIES on permeabilities and water saturations.
Quartz overgrowth cement causes Unit IV to have slightly lower
The Balmoral field contains a relatively low shrinkage undersaturated black oil with a (by about 4 per cent. of total rock volume) measured porosities than
separator corrected gas oil ratio of 380 scf/stb. Unit III. The higher content of authigenic chlorite and kaolinite in Unit
III (related to initially higher contents of unstable volcanic grains)
results in lower permeabilities and macroporosities and higher water
0.9 saturations than in Unit IV.
500
BALMORAL
1.30 B0
0.8
400 1.28 GOR
GOR (scf/stb)
1.26
0 (cp)
1.22
1.20
200 0.6
1.18 RESERVOIR PRESSURE
0
1.16
@ 207F Based on a water pressure gradient to surface of 0.451 psi/ft, the
100 1.14 0.5
0 1000 2000 3000 4000 5000
oil in the Balmoral field is normally pressured. The PVT data imply
an oil pressure gradient of 0.311 psi/ft.
PRESSURE (psig)
6000
0.311 psi/ft
CONTROLS ON RECOVERY
date has been in excess of expectations. The recovery factor in the Balmoral field is
expected to be very good at over 45 per cent. resulting from: 7000 OWC @ 7050 ft TVDSS
good to very good porosities and permeabilities in the reservoir and aquifer sandstones
marginally favourable fluid displacement characteristics with pressure support from
water injection 0.451 psi/ft
stacked, laterally thinning, sheet to broad ribbon geometry sandbodies, separated by
thin laterally discontinuous impermeable mudstones, which have created effective
baffles to the vertical movement of water into the production wells.
The presence of bottom water in this low relief structure has resulted in water coning, 8000
2000 3000 4000
although in some wells the presence of impermeable shales has inhibited the development
of water cones. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
BALMORAL GLAMIS
UNITED KINGDOM
Balmoral
Water Depth 470-482 500
(feet)
Platform Type semi-submersible subsea
vessel completions
Function production/
accommodation
Displacement 34000
(tonnes)
Accommodation 120
Wells 10
The field has 13 producing wells and six water injection wells. 10 producing wells are
through the 14 slot template, the other nine wells are subsea tied backs.
Net Present Value 261.64 77.58 6.85 -28.90 -57.54 -90.08 -124.43
Earnings Data 0
1985 1990 1995 2000 2005
Gross Revenue 1,405.58 911.83 718.31 617.44 533.74 433.17 313.01
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax 94.73 53.94 39.09 31.73 25.88 19.21 11.94
Capital Expenditure 489.00 429.14 398.77 380.43 363.43 340.17 306.45
Operating Costs 654.93 405.11 312.69 265.91 227.85 183.08 131.00
Gross Revenue (Deflated) 1,702.12 1,131.31 902.70 782.08 681.10 558.48 409.74
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 99.35 56.79 41.24 33.52 27.37 20.36 12.69
Capital Expenditure (Deflated) 803.89 708.80 660.24 630.82 603.48 565.97 511.37
Operating Costs (Deflated) 762.52 489.59 385.35 331.61 287.30 234.34 171.32
10 13
2 4 4
3
9 6 ANGLIA 48/19c
Shell CLIPPER
LANCELOT 7 3 9
d 1 9 8 SOUTH
6 7,10,12
5
6
48/17c 12 2
Arco 48/18c Arco 48/19b Ranger 48/19d Amerada 48/20b Conoco LOCAL SETTING
RESERVOIR CHARACTERISTICS
BARQUE CLIPPER
Fluid Properties
UNITED KINGDOM
6 TOP ROTLIEGENDES northeast of the Norfolk coastline. Both fields are elongate in a northwest to
southeast direction as are the neighbouring Galleon field and Frigate discovery.
84
GW
DEPTH STRUCTURE
00
C8
72 The J structure adjoins the northeastern margin of the Barque field. It was tested
7 2a
7a 0 4 km
4
by Wells 48/13-1 and 48/14-3 and is considered to be non-commercial at present.
48/13a
(Contours in feet) A small gas-bearing structure occurs to the south of the Clipper field and has been
48/13c GWC 8571 drilled by the Well 48/19a-3.
5
The crest of the Barque and Clipper field structures are both around 7500 to 8000
780
feet TVDSS. The Leman Sandstone Formation forms the reservoir, ranging in
BARQUE 0 thickness from 737 feet to 954 feet in the Barque field and the J structure, and
GW
C8
4 thickens to the northwest. It is 680 feet thick and 748 feet thick in the Clipper Wells
71
48/19-1 and 48/19a-2A respectively.
1 The structures are mainly fault closed to the northeast and dip closed to the
80
southwest, and they are sealed by evaporites and mudstones of the Zechstein
00
GWC 8471
Group.
48/14
48/19b 48/19a
GWC 8332
6
GWC 8790
5 2a
48/19c 00
82
848000
00
1 820
0
CLIPPER
82
00
84
00
GWC 8700 4
8400
GWC 8520
3
48/20a
8400
The Leman Sandstone Formation comprises a variety of facies which may be The desert lake/sabkha deposits consist of adhesion rippled argillaceous
grouped into aeolian, ephemeral fluvial and desert lake assemblages. The aeolian sandstones and siltstones which accumulated on the margins of the Silverpit Lake.
dune sandstones are fine and medium grained, cross bedded and become more These lacustrine facies become more prevalent towards the north.
abundant towards the southeast. In the Clipper area relatively thick and well sorted A largely structureless sandstone unit (Weissliegend) occurs, at least locally in
dune foreset sandstones are separated by thinner, slightly argillaceous dune this area, at the top of the Leman Sandstone Formation and is considered to
base/wet interdune sandstones. The latter tend to be less well sorted and may be represent the partial reworking of the aeolian/fluvial sands during the transgression
bimodally laminated and adhesion rippled. of the Zechstein Sea. The interval is easily recognised in core (e.g. in Well 48/19a-
The wadi deposits consist of cross bedded, parallel laminated and structureless 3) but is difficult to identify on wireline logs alone.
sandstones which form sharp based units containing mudstone clasts. Both elongate
channel filling bodies and more laterally extensive sheetflood deposits are present.
Wadi deposits predominate towards the southwest.
DEPTH (feet)
CORE CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
DESCRIPTION 0 150 ROCK 1.95 2.95
AGE
CLAY
VF
Geometry
Elongate, lenticular and lobate to sheetlike
sandstones, stacked and coalesced into a
.. .. .. thick, sheetlike sandbody which
.. .. incorporates thin, lenticular to sheetlike
.. .. mudstones.
7950
.. ..
.. .. .. .. and K
.. .. .. varies from poor to good, mainly due to
variations in grain size, sorting, detrital
.. ..
..
LEMAN SANDSTONE FORMATION
8000
.. ..
PERMIAN
..
.. ..
8050
..
..
..
.. ..
8100
.. .. ..
.. ..
8150
....
1. ZECHSTEIN GROUP
2. KUPFERSCHIEFER FM.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
Fluvial sandstones
PERMEABILITY (md.)
Playa lake mudstones
Interdune sabkha sediments Aeolian sandstones
10
Playa lake mudstones
Aeolian sandstones
Aeolian sandstones
Fluvial sandstones 1
Playa lake mudstones
Braidplain sediments
Fluvial sandstones
Fluvial sandstones
0.1
0
Playa lake mudstones
Barque
100
Clipper
Braidplain sediments
0.01
0 10 20 30
200 feet
POROSITY (per cent.)
The reservoir zonation is based on the relative abundance of aeolian, wadi and sabkha Porosities are generally moderate or poor in the reservoir
deposits. Three zones have been recognised: sandstones (e.g. 2 to 20 per cent. in Well 48/13a-4) and average
- an upper zone (300 to 400 feet thick), including the Weissliegend at the top which is values are 10.5 per cent. in the upper zone, 12.5 per cent. in the
dominated by aeolian sandstones in Clipper but contains mainly wadi and sabkha deposits middle zone and 9 per cent. in the lower zone. Permeabilities are
in the Barque Field. generally very poor (e.g. mostly in the range 0.04 to 0.32 md in Well
- a middle zone (150 to 300 feet thick), which is dominated by aeolian sandstones. 48/13a-4) but natural fractures are present in the reservoir and these
- a lower zone (150 to 300 feet thick) which consists mainly of wadi and sheetflood dominate the flow behaviour of the wells in which they occur.
sandstones with minor aeolian and sabkha deposits. Tensional and dilation shear fractures are the most important types
The aeolian sandstones occur as lenticular to lobate and sheetlike units which are since they are open or only partly cemented and occur in swarms.
commonly stacked to form thick sandbodies. Ephemeral channel-filling sandbodies are Tensional fractures only occur in the upper reservoir zone, but
elongate whereas sheetflood sandstones have more sheetlike geometries and may be dilational shear fractures occur throughout the reservoir. The
stacked to form thick sandbodies. The geometry of more argillaceous interdune sabkha and dilational shear fractures are always partly cemented by quartz,
desert lake deposits varies from lenticular to laterally extensive. anhydrite, dolomite and/or barite. In some wells, flow rates have
The middle and lower zones are notably thicker in 48/13a-2A in the northwestern part of been greatly increased by hydraulic fracturing and acidisation.
the Barque field than in 48/13a-4 and 48/13-1 to the southeast. The 'matrix' porosities and permeabilities are partly facies
controlled with the high values tending to occur in the cleaner,
coarser grained and better sorted aeolian sandstones. The
argillaceous sandstones and siltstones (deposited in interdune
FLUID PROPERTIES
sabkhas and desert lake margins) tend to have the poorest
porosities and permeabilities. Initial porosity and permeability have
The two fields contain dry gases. No gas gravity data are available. Examination of data
been greatly reduced by compaction (at palaeo-depths as great as
for nearby fields suggests that the gas gravity is likely to be approximately 0.59.
16000 feet TVDSS) and cementation by dolomite, haematite,
anhydrite, quartz and filamentous illite. The uppermost part of the
Leman Sandstone Formation is preferentially dolomite cemented
1.00 and the degree of cementation tends to decrease with depth.
GAS DEVIATION FACTOR Z
Zi = 0.92
RESERVOIR PRESSURE
0.95
Barque
Barque @ 172 F (from correlation)
Clipper @ 169 F (from correlation) 7800 0.07 psi/ft
0.85
Recovery from the Barque and Clipper fields is expected to be poor to moderate. The Clipper
principal factors affecting the recovery are as follows.
8400
0.07 psi/ft
poor to very poor matrix permeabilities enhanced by well developed natural
fracture systems
generally areally extensive sand bodies with some areally extensive mudstones 8600 GDT@ 8585 ft TVDSS
which may act as baffles or barriers to vertical flow
significant faulting in the area limiting aquifer influx but also possibly 0.45 psi/ft
use of a large number of wells, including extended reach wells 3700 3800 3900 4000
acidisation or fracturing of all wells INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
PW PT PC PB PL
Water Depth 72 72 72 72
(feet)
Platform Type -------------------- steel jackets ---------------- steel jacket
Function wellhead process/ compression wellhead
accomm. satellite
Well Slots 30 18 15
Wells 25 15
CLIPPER PW BARQUE PB
Net Present Value 2,620.49 1,742.54 1,353.99 1,131.18 928.54 649.90 217.87
Net Present Value (Deflated) 1,907.46 1,213.10 881.40 679.66 487.12 206.32 -267.38
Net Present Value 1,726.37 1,141.28 861.08 693.60 536.47 312.31 -54.09
Net Present Value (Deflated) 1,248.33 745.64 488.22 325.40 165.46 -75.49 -499.79
Profit/Inv Ratio 1.94 1.10 0.75 0.56 0.41 0.21 -0.03 120
Profit/Inv Ratio (Deflated) 1.21 0.61 0.36 0.22 0.10 -0.04 -0.23
NPV/Unit Oil Equiv. 4.93 4.22 3.55 3.02 2.45 1.50 -0.27
NPV/Unit Oil Equiv. (Deflated) 4.36 3.15 2.22 1.54 0.81 -0.38 -2.56
60
Nominal Rate Of Return % 19.27
Real Rate Of Return % 14.07
Earnings Data
0
Gross Revenue 5,848.41 4,039.80 3,440.77 3,156.07 2,936.03 2,694.53 2,450.62 1985 1990 1995 2000 2005 2010 2015 2020
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 986.65 570.79 417.53 342.13 282.58 215.31 142.18 Year
Corporation Tax 894.13 601.26 492.91 437.57 392.07 337.59 271.96
Capital Expenditure 890.52 1,039.13 1,147.90 1,229.56 1,319.16 1,469.72 1,769.20
Operating Costs 1,350.75 687.33 521.35 453.20 405.75 359.60 321.37
Gross Revenue (Deflated) 4,366.14 3,301.58 2,937.17 2,762.54 2,627.82 2,482.32 2,346.05 CASH FLOW REPORT
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 648.16 377.48 279.70 231.52 193.25 149.64 101.41 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Corporation Tax (Deflated) 659.13 467.46 393.18 354.26 321.66 281.81 232.41 Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
Capital Expenditure (Deflated) 1,029.39 1,227.58 1,372.40 1,481.13 1,600.51 1,801.32 2,201.69 MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
Operating Costs (Deflated) 781.13 483.41 403.67 370.22 346.94 325.04 310.33
1987 0.00 0.00 0.00 10.00 0.00 0.00 0.00 -10.00 -29.19 0.00 0.00 0.00
1988 0.00 0.00 0.00 50.00 0.00 0.00 0.00 -50.00 -132.13 0.00 0.00 0.00
1989 0.00 0.00 0.00 120.00 0.00 0.00 0.00 -120.00 -274.85 0.00 0.00 0.00
1990 15.74 0.00 6.50 120.00 0.00 0.00 0.00 -110.76 -217.96 0.00 30.00 0.00
1991 80.03 0.00 15.80 95.00 0.00 0.00 0.00 -30.77 -51.19 0.00 125.00 0.00
1992 116.99 0.00 16.60 84.00 0.00 0.00 0.00 16.39 23.87 0.00 187.00 0.00
1993 113.33 0.00 17.40 51.00 0.00 0.00 0.00 44.93 58.38 0.00 180.00 0.00
1994 116.98 0.00 19.50 90.00 0.00 0.00 0.00 7.48 8.86 0.00 170.00 4.35
1995 237.61 0.00 21.00 130.00 0.00 0.00 0.00 86.61 92.70 0.00 350.00 11.67
Total To Start Of Discounting ( 1/JAN/1996)
680.68 0.00 96.80 750.00 0.00 0.00 0.00 -166.12 -521.52 0.00 380.33 5.85
1996 253.82 0.00 24.00 0.00 0.00 31.60 31.60 198.22 190.74 0.00 350.00 21.67
1997 263.87 0.00 24.96 46.80 8.60 54.24 62.83 129.28 110.75 0.00 350.00 21.67
1998 274.31 0.00 25.97 48.69 -3.31 57.03 53.72 145.93 111.31 0.00 350.00 21.67
1999 285.17 0.00 27.02 45.03 4.98 62.89 67.87 145.26 98.64 0.00 350.00 21.67
ECONOMIC INDICATORS FROM 1/1/1996 2000 303.12 0.00 28.11 0.00 21.01 65.15 86.16 188.85 114.18 0.00 350.00 30.00
2001 290.74 0.00 29.24 0.00 18.47 69.18 87.65 173.85 93.58 0.00 320.60 30.00
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 2002 279.07 0.00 30.42 0.00 73.97 62.88 136.85 111.79 53.58 0.00 293.70 30.00
2003 267.99 0.00 31.65 0.00 54.80 55.11 109.92 126.42 53.94 0.00 269.00 30.00
Pre Corporation Tax 2004 257.64 0.00 32.93 0.00 50.28 54.50 104.77 119.94 45.56 0.00 246.50 30.00
2005 247.80 0.00 34.26 0.00 93.11 47.40 140.51 73.03 24.70 0.00 225.80 30.00
Net Present Value 2,786.62 2,010.74 1,698.49 1,533.79 1,395.67 1,227.06 1,018.96 2006 236.91 0.00 35.64 0.00 74.36 40.80 115.15 86.11 25.93 0.00 206.90 28.34
Net Present Value (Deflated) 2,178.94 1,627.75 1,402.91 1,282.54 1,180.30 1,053.49 893.20 2007 226.43 0.00 37.08 0.00 78.59 39.92 118.51 70.84 18.99 0.00 189.50 26.76
NPV/Unit Oil Equiv. 9.72 10.06 10.15 10.18 10.20 10.22 10.22 2008 216.48 0.00 38.58 0.00 74.75 34.32 109.07 68.83 16.43 0.00 173.60 25.28
2009 207.06 0.00 40.14 0.00 68.61 33.08 101.69 65.23 13.86 0.00 159.10 23.87
Post Corporation Tax 2010 197.94 0.00 40.72 0.00 83.24 29.32 112.57 44.66 8.45 0.00 145.70 22.55
2011 189.34 0.00 41.46 0.00 73.80 25.51 99.30 48.58 8.18 0.00 133.50 21.30
Net Present Value 1,892.49 1,409.48 1,205.58 1,096.21 1,003.60 889.47 747.00 2012 181.10 0.00 41.81 0.00 69.39 24.17 93.56 45.73 6.86 0.00 122.30 20.11
Net Present Value (Deflated) 1,519.81 1,160.29 1,009.73 928.28 858.64 771.68 660.79 2013 173.31 0.00 42.32 0.00 65.17 22.91 88.08 42.91 5.73 0.00 112.10 19.00
NPV/Unit Oil Equiv. 6.60 7.05 7.20 7.28 7.34 7.41 7.49 2014 165.82 0.00 43.22 0.00 60.94 21.66 82.60 40.00 4.75 0.00 102.70 17.94
2015 158.68 0.00 43.90 0.00 56.93 20.37 77.30 37.48 3.97 0.00 94.10 16.95
Earnings Data 2016 151.84 0.00 44.35 0.00 53.19 19.15 72.34 35.15 3.31 0.00 86.20 16.00
2017 145.37 0.00 45.00 0.00 49.56 18.01 67.57 32.80 2.75 0.00 79.00 15.12
Gross Revenue 5,167.74 3,283.40 2,634.83 2,315.30 2,058.90 1,759.89 1,411.65 2018 23.12 0.00 154.14 0.00 -58.49 16.89 -41.60 -89.42 -6.68 0.00 0.00 14.28
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2019 22.71 0.00 12.42 0.00 3.83 -21.36 -17.53 27.81 1.85 0.00 0.00 13.49
Petroleum Revenue Tax 986.65 570.79 417.53 342.13 282.58 215.31 142.18 2020 22.31 0.00 12.93 0.00 3.32 2.13 5.46 3.93 0.23 0.00 0.00 12.74
Corporation Tax 894.13 601.26 492.91 437.57 392.07 337.59 271.96 2021 21.91 0.00 13.45 0.00 2.81 2.01 4.82 3.65 0.19 0.00 0.00 12.03
Capital Expenditure 140.52 124.56 116.26 111.19 106.45 99.89 90.26 2022 21.52 0.00 13.99 0.00 2.28 1.88 4.17 3.37 0.16 0.00 0.00 11.36
Operating Costs 1,253.95 577.31 402.56 328.19 274.20 217.63 160.25 2023 21.14 0.00 14.56 0.00 1.75 1.75 3.50 3.09 0.13 0.00 0.00 10.73
2024 20.77 0.00 15.14 0.00 1.20 1.62 2.82 2.80 0.10 0.00 0.00 10.14
Gross Revenue (Deflated) 3,632.01 2,482.68 2,062.68 1,848.88 1,673.24 1,462.88 1,208.70 2025 20.40 0.00 15.76 0.00 0.65 1.49 2.13 2.51 0.08 0.00 0.00 9.57
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2026 20.04 0.00 16.39 0.00 0.10 1.35 1.45 2.20 0.06 0.00 0.00 9.04
Petroleum Revenue Tax (Deflated) 648.16 377.48 279.70 231.52 193.25 149.64 101.41 Remain
Corporation Tax (Deflated) 659.13 467.46 393.18 354.26 321.66 281.81 232.41 2027 0.00 0.00 202.39 0.00 -101.22 -2.83 -104.05 -98.33 -2.58 0.00 0.00 0.00
Capital Expenditure (Deflated) 130.05 115.42 107.81 103.15 98.80 92.77 83.92
Operating Costs (Deflated) 674.85 362.04 272.26 231.67 200.89 166.98 130.17 Total 5,167.74 0.00 1,253.95 140.52 986.65 894.13 1,880.78 1,892.49 1,009.73 0.00 1,719.26 227.49
These cash flows include Barque and Clipper fields, plus Galleon tariff income
11/24 11/25b Rel. 12/21d Rel. 12/21b Rel.
SUMMARY
Premier
Consolidated The Beatrice field is located in Quadrant 11, approximately 100 km
northeast of Inverness in the Inner Moray Firth, in the UK Sector of the
5 North Sea. The field was discovered by Well 11/30-1 in 1976 which
2 encountered oil in Lower and Middle Jurassic sandstones.
Development of the field involving four steel platforms began in 1979
12/21c 4 with first production of oil in September 1981. The field is now in a
BP mature stage of production. Only the A platform is manned.
11/29 11/30b Rel. 11/30a BP 12/26 Mobil The current interests in the Beatrice field in per cent. are:-
Open
B BP Petroleum Development Ltd * 43.00
3 Deminex UK Oil and Gas Ltd 22.00
Kerr-McGee Oil (UK) plc 25.00
1 Hunt Oil (UK) Ltd 7.50
5 7
10 Hunt (NPI) 2.50
A
2
2 BEATRICE operator *
C,9 8
3
4
0 4 km
6
Fluid Properties Beatrice is located centrally in the Inner Moray Firth Basin only 20
km from the coast, and as such is the only North Sea oil field whose
Oil Gravity (API) 39 platforms are visible from land. The field is the only one in the Inner
Gas/Oil Ratio (scf/stb) 126 Moray Firth. The nearest producing field is Claymore, also a Jurassic
Bubble Point Pressure, Pb (psig) 635 producer, 160 km distant. The Middle to Lower Jurassic sandstones that
Formation Volume Factor at Pi (rb/stb) 1.09 produce in the Beatrice field do not extend to the Outer Moray Firth,
Oil Compressibility (vol/vol/psi) 1.0 x 10-5 where production is from Upper to Middle Jurassic and Cretaceous
Original Reservoir Pressure, Pi (psig) 3030 sandstones.
At Datum Depth of (ft TVDSS) 6784
Reservoir Temperature (F) 178
Rock Properties
Reserves
Production
UNITED KINGDOM
12/26
hydrocarbons being produced from sandstones of Lower TOP CARRON MEMBER
and Middle Jurassic age. The three principal reservoir DEPTH STRUCTURE
Beatrice
units are the "Carron Member", "Brora Coal Formation"
0 2 km
and "Orrin Formation".
The Beatrice structure is a faulted anticline with slight (Contours in feet TVDSS) B 3
dip reversal. It developed principally during the Late 65
00
Jurassic, although slight thinning of older units such as
the Triassic, may indicate some prior activity. Activity on
the Beatrice fault ceased during the Volgian and did not 11/30b 67
84
influence Early Cretaceous sedimentation. Late C
11/30a W 7
O
Paleocene uplift and erosion retilted the Beatrice 1
structure but did not initiate regrowth on the Beatrice 00
00 60
Fault. 5 65
The reservoir units are sealed by mudstones of the
A
"Brora Coal Formation" and "Uppat Formation" (Middle
and Middle to Upper Jurassic).
00
60
2
00
65
SEDIMENTOLOGY AND DEPOSITIONAL C
ENVIRONMENT
LOWER CRETACEOUS
2000
4000
Claymore Sandstone Member Heather Formation
Kimmeridge Clay Formation
6000
Uppat Formation
8000
up
bin Gro
Dunro
SIC
10000 TRIAS
Brora Coal Fm. 0 1 2 3 km
12000
shoreface sandstones.
OXFORDIAN
Geometry
Elongate, lenticular sand body overlying
extensive mudstones.
HUMBER GROUP
" UPPAT FORMATION"
"CARRON MEMBER"
and K
6400
M
of sandstones moderate, K of sandstones
generally good, locally moderate.
LWR.-M. CALLOVIAN
Geometry
Elongate, lenticular sand bodies interbedded
with mudstones of various lateral extent.
S and K
M and K generally very poor to poor, locally
S good.
Mudstones
Geometry
Elongate, lenticular sandbody.
"DUNROBIN GROUP"
M M and K
and K moderate to good.
M M
"ORRIN FM."
6900
Uppat Fm.
Beatrice
Humber Group
Carron Mbr.
1000
PERMEABILITY (md.)
F
10
Orrin Formation
FAULTED OUT
1
Dunrobin Group
Fleet Formation
0.1
? 0.01
0 10 20 30
FLUID PROPERTIES
The Beatrice crude oil is light with a gravity of 39 degrees API. The oil has a wax content
of 17 per cent. and, as a result, a high pour point temperature of 24 degrees Centigrade.
The oil viscosity at reservoir conditions is 2.2 cp. The gas oil ratio of the oil is 126 scf/stb
and the bubble point pressure of the reservoir fluid is 635 psig. RESERVOIR PRESSURE
150 1.2 6 At initial conditions, the Beatrice field was normally pressured
GOR with an average gradient to surface of 0.45 psi/ft. RFT pressures
5 measured during field production show that the reservoir is
120
responding well to production with RFT pressures showing good
4 pressure continuity in zones 'A' and 'H' ("Carron Member" and "Orrin
GOR (scf/stb)
0 (cp)
1.1 3
and 'J', ("Carron Member", "Orrin" and "Fleet" Formations) which
have lower permeability and are of more variable quality.
60
0 2
30
1 5000
@ 178F
0 1.0 0
0 1500 3000 4500
PRESSURE (psig)
CONTROLS ON RECOVERY
A B C
UNITED KINGDOM
Water Depth 151 151 165
Beatrice
(feet)
Platform Type twin steel steel jacket steel jacket
jackets-bridge
linked
Function drilling/prod./ drilling/ wellheads for
accom. accom. water injection
Well Slots 32 12 4
Well Producers 22 8 2
Planned Injectors 8 2
(A Britoil Photograph)
PROCESSING AND EXPORT SPECIFICATIONS
FULL FIELD LIFE ECONOMIC INDICATORS Power is imported from the mainland through a submarine cable.
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00%
Net Present Value 572.50 329.43 224.44 168.06 120.73 63.70 -3.24
Net Present Value (Deflated) 584.28 203.48 47.36 -34.23 -101.29 -179.87 -267.35
Profit/Inv Ratio 0.86 0.59 0.44 0.35 0.27 0.15 -0.01
Profit/Inv Ratio (Deflated) 0.38 0.15 0.04 -0.03 -0.09 -0.18 -0.30
NPV/Unit Oil Equiv. 3.70 3.41 3.00 2.64 2.21 1.45 -0.10 PRODUCTION PERFORMANCE
NPV/Unit Oil Equiv. (Deflated) 2.52 1.36 0.40 -0.34 -1.15 -2.50 -5.11 HISTORICAL AND PROJECTED
Payback Year 1985 60
Nominal Rate Of Return % 19.70
Real Rate Of Return % 9.11
Earnings Data
Gross Revenue (Deflated) 3,604.52 2,426.50 1,953.74 1,703.23 1,492.55 1,235.12 919.36
Royalty (Deflated) 257.05 174.24 139.81 121.36 105.76 86.65 63.22 0
Petroleum Revenue Tax (Deflated) 107.63 81.53 68.72 61.34 54.80 46.38 35.39
Corporation Tax (Deflated) 365.91 228.91 175.23 147.43 124.55 97.40 65.80 1980 1985 1990 1995 2000
Capital Expenditure (Deflated) 1,551.43 1,325.41 1,214.55 1,148.90 1,088.94 1,008.28 894.29
Operating Costs (Deflated) 1,081.50 623.76 467.40 391.26 330.89 261.76 184.00 Year
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1978 0.0 0.0 0.0 25.0 0.0 0.0 0.0 -25.0 -309.1 0.0 0.0 0.0
1979 0.0 0.0 0.0 100.0 0.0 0.0 0.0 -100.0 -1,056.5 0.0 0.0 0.0
Pre Corporation Tax 1980 0.0 0.0 0.0 180.0 0.0 0.0 0.0 -180.0 -1,553.4 0.0 0.0 0.0
1981 26.9 0.0 7.5 125.0 0.0 0.0 0.0 -105.6 -716.2 4.0 0.0 0.0
Net Present Value -75.08 -60.08 -52.82 -48.56 -44.71 -39.61 -32.57 1982 194.4 3.3 40.0 65.0 0.0 0.0 13.6 75.7 424.8 28.0 0.0 0.0
Net Present Value (Deflated) -63.94 -51.15 -44.96 -41.33 -38.04 -33.69 -27.69 1983 233.0 17.3 40.0 75.0 14.5 0.0 33.0 85.1 406.9 32.0 0.0 0.0
NPV/Unit Oil Equiv. -7.09 -6.21 -5.74 -5.45 -5.18 -4.80 -4.23 1984 401.2 29.6 42.0 50.0 29.9 0.0 59.5 249.7 1,057.8 48.0 0.0 0.0
1985 418.8 40.9 44.0 20.0 19.9 15.6 76.5 278.4 1,039.2 54.0 0.0 0.0
Post Corporation Tax 1986 158.8 25.8 46.0 15.0 15.5 111.6 152.8 -55.0 -179.4 44.0 0.0 0.0
1987 144.0 8.8 48.0 5.0 2.2 34.3 45.3 45.7 133.4 35.0 0.0 0.0
Net Present Value -74.24 -59.29 -52.04 -47.80 -43.96 -38.87 -31.86 1988 93.1 5.0 50.0 5.0 -33.3 28.4 0.1 38.1 100.5 30.0 0.0 0.0
Net Present Value (Deflated) -63.12 -50.37 -44.19 -40.57 -37.30 -32.96 -26.99 1989 105.4 4.3 50.0 0.0 7.4 11.5 23.2 32.2 73.7 26.0 0.0 0.0
NPV/Unit Oil Equiv. -7.01 -6.12 -5.65 -5.36 -5.09 -4.71 -4.14 1990 120.4 8.4 47.5 0.0 10.6 13.1 32.2 40.8 80.3 25.0 0.0 0.0
1991 87.6 8.2 45.1 0.0 2.1 16.4 26.7 15.9 26.4 21.0 0.0 0.0
Earnings Data 1992 59.7 5.2 42.9 0.0 0.0 11.1 16.3 0.5 0.8 15.0 0.0 0.0
1993 53.8 3.6 40.7 0.0 0.0 3.6 7.3 5.9 7.6 13.0 0.0 0.0
Gross Revenue 125.53 114.46 108.66 105.09 101.75 97.10 90.22 1994 41.5 2.8 37.5 0.0 0.0 2.7 5.5 -1.6 -1.9 11.0 0.0 0.0
Royalty -4.58 -2.91 -2.13 -1.68 -1.28 -0.77 -0.08 1995 36.2 2.0 35.6 0.0 0.0 0.2 2.2 -1.6 -1.7 9.4 0.0 0.0
Petroleum Revenue Tax -10.74 -8.62 -7.59 -6.99 -6.45 -5.72 -4.73 Total To Start Of Discounting ( 1/JAN/1996)
Corporation Tax -0.84 -0.80 -0.78 -0.76 -0.75 -0.73 -0.71 2,175.1 165.2 616.8 665.0 68.9 248.5 494.1 399.1 -466.8 144.3 0.0 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs 215.92 186.07 171.20 162.33 154.19 143.20 127.59 1996 34.0 1.8 32.1 0.0 0.0 -0.7 1.2 0.8 0.8 8.5 0.0 0.0
1997 32.7 1.8 30.0 0.0 0.0 -0.2 1.7 1.0 0.9 7.6 0.0 0.0
Gross Revenue (Deflated) 118.80 108.57 103.21 99.91 96.82 92.51 86.13 1998 30.4 1.8 28.1 0.0 0.0 0.1 1.9 0.4 0.3 6.8 0.0 0.0
Royalty (Deflated) -3.26 -1.89 -1.24 -0.87 -0.55 -0.12 0.44 1999 28.4 1.6 26.3 0.0 0.0 0.1 1.7 0.3 0.2 6.1 0.0 0.0
Petroleum Revenue Tax (Deflated) -9.17 -7.36 -6.48 -5.97 -5.51 -4.89 -4.04 Remain
Corporation Tax (Deflated) -0.82 -0.78 -0.76 -0.75 -0.74 -0.72 -0.70 2000 0.0 -11.6 99.4 0.0 -10.7 -0.2 -22.6 -76.8 -46.4 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 195.17 168.97 155.89 148.08 140.91 131.21 117.41 Total 125.5 -4.6 215.9 0.0 -10.7 -0.8 -16.2 -74.2 -44.2 10.6 0.0 0.0
LOCAL SETTING
The Beryl field is located on the edge of the South Viking Graben,
separated from it by a horst-like continuation of the Crawford Spur.
Hydrocarbon types vary considerably in the Beryl area. While Beryl
itself contains black oil with a high gas oil ratio, the Bruce field to the
north contains gas condensate, as does Heimdal to the east in
RESERVOIR CHARACTERISTICS Quadrant 25 of the Norwegian sector. To the northeast lies the Frigg gas
field, straddling the median line in Quadrant 10 of the UK Sector and
Fluid Properties Quadrant 25 of the Norwegian Sector. To the south are located the
BERYL A BERYL B Gryphon and Harding oil fields.
Oil Gravity (API) ----------------------------- 36 -----------------------------
Gas/Oil Ratio (scf/stb) ----------------------- 700-1300 -----------------------
Bubble Point Pressure, Pb (psig) ---------------------- 3000-4000 ----------------------
Formation Volume Factor at Pi (rb/stb) ----------------------- 1.40-1.71 -----------------------
Oil compressibility (vol/vol/psi) ----------------------- 15 x 10-6 ------------------------
Original Reservoir Pressure, Pi (psig) --------------------------- 4900 --------------------------- FIELD DESCRIPTION
At Datum Depth of (ft TVDSS) -------------------------- 10500 --------------------------
Reservoir Temperature (F) ---------------------------- 220 ---------------------------- The Beryl group of fields comprises a series of steeply dipping tilted
fault blocks. The reservoirs occur within marine sandstones which
Rock Properties grade from the Triassic/Jurassic Skagerrak Formation through the
Jurassic Beryl Formation layers. Average thickness is some 300 feet.
Rock Type ---------------------- Sandstone ---------------------- Porosities and permeabilities vary widely from moderate in the Triassic
Stratigraphic Unit ------- Beryl & Statfjord Formations ------- sandstones to good in the Jurassic Beryl C Formation. Diagenetic
Geological Age --------------- Jurassic & Triassic --------------- effects have reduced the porosities and permeabilities in Beryl A as
Porosity Range (per cent.) -------------------------- 10-23 -------------------------- compared with Beryl B.
Permeability Range (md) ------------------------ 10-1000 ------------------------ Beryl A and Beryl B are each being developed using both water and
Connate Water Saturation (per cent.) -------------------------- 12-20 -------------------------- gas injection. Beryl B has a primary gas cap whilst a secondary gas cap
Gas Oil Contact (ft TVDSS) ------------------------- 110880 ------------------------- has now formed in Beryl A. The reservoirs have generally high dips and
Oil Water Contact (ft TVDSS) -------- 11500 (East), 11300 (West) -------- contain black oils with varying degrees of undersaturation and high gas
Depth to Top of Structure (ft TVDSS) -------------------------- 10000 --------------------------
oil ratios. This combination favoured recovery by gas injection but with
the beginning of sales gas exports in October 1992, water injection is
Reserves now paramount although some gas is still re-injected.
A riser tower has been installed close to Beryl A platform to provide
Beryl Ness Linnhe
a more efficient service for gas export. This facility will also be able to
Total Oil Reserves (MMstb) 900 30 1
deal with gas from other neighbouring fields such as Nevis. The small
Total NGL Reserves (MMstb) 100 -- --
Ness field lies to the west of the main Beryl field. The Ness field,
Total Gas Reserves (Bcf) 1400 -- --
producing from the Beryl Jurassic reservoir, is tied back to Beryl B and
Est. Oil Production to 31.12.95 (MMstb) 637 28 1
has estimated recoverable reserves of 30 MMbbl of oil and 15 Bcf of
Est. NGL Production to 31.12.95 (MMstb) 31 -- -- gas. The Nevis accumulation, which contains oil and gas in the Heather,
Est. Gas Production to 31.12.95 (Bcf) 430 -- -- Beryl and Triassic Skagerrak Formations, received development
Remaining Oil Reserves (MMstb) 263 2 0 approval in September 1995 and first oil is planned for October 1996.
Remaining NGL Reserves (MMstb) 69 -- -- The development will be phased with the first phase comprising two
Remaining Gas Reserves (Bcf) 970 -- -- subsea wells tied back 7 kms to processing facilities on the Beryl Alpha
platform. It is thought to have recoverable reserves of 30 MMbbl of oil,
Production 150 Bcf of gas and 10 MMbbl of condensate.
The Buckland accumulation is located 8 km to the south of Beryl A
Water depth (feet) 390 390 and may be a candidate for development by means of a subsea
Production Start Date June 1976 July 1984 completion tied back to Beryl B. Four to six wells will be required to
Peak Production (Oil and NGL) (stb/day) 112000 57000 develop the discovery, with water injection used to enhance recovery.
Platform(s) 1 Concrete gravity + 1 Steel Jacket There are no plans for development until the end of the century.
1 riser + 3 subsea satellites Tay, a Triassic structure to the East of Beryl, has been developed by
Number of Wells - Producers 26 15 extended reach drilled from the Beryl Alpha platform. The prospect has
Water Injectors 3 5 been targeted since 1995 with other appraisal wells expected to the
Gas Injectors 3 1 east.
Oil Export ----------------- Tanker loading ------------------ The small Katrine discovery to the southwest may be brought
Gas and NGL Export ------ SAGE pipeline to St. Fergus -------- onstream in the next few years.
STRATIGRAPHY AND STRUCTURE
BERYL 120
00
The reservoir rocks in the Beryl fields comprise sandstones of the Callovian Beryl TOP MID-JURASSIC
UNITED KINGDOM
D Formation, Bathonian Beryl C Formation, Hettangian-Pliensbachian Beryl A -TRIASSIC 9/13d
Beryl Area
Formation and Triassic Skagerrak Formation. Sandstones and mudstones of the DEPTH STRUCTURE
130
B10
Triassic Group form the stratigraphically lowest reservoir rocks. They are commonly
00
22
truncated but in places pass conformably into the Lower Jurassic sandstones of the 0 2 km
0
00 7
Beryl A Formation. 11
00
(Contours in feet TVDSS)
B5
Laterally persistent marine mudstones of Toarcian age, termed the Beryl B
110
Formation, separate the reservoir rocks of the Beryl A Formation from the main B3
B
Middle Jurassic reservoir sandstones (Beryl C Formation). An important phase of
0
Bajocian erosion is marked by a truncation surface at the top of the Beryl B 15
00
13
Formation. 10
WEST FLANK
00 EAST FLANK
An erosional surface is locally developed at the top of the Bathonian Beryl C 0
10000
Formation and separates the sediments of Beryl C from the Callovian marine
sandstones of the Beryl D Formation. Beryl C Formation rocks are onlapped by the 950
0
Beryl D Formation which locally rests on sediments as old as Triassic.
0
1100
12
A major erosional phase corresponds to the late Kimmerian uncomformity and
00
0
causes Cretaceous Shetland Group sediments to overlie truncated Triassic NESS 9/14a
sandstones/ mudstones in crestal areas. Elsewhere Heather or Kimmeridge Clay
10000
9/14b
Formation mudstones form the seal.
The structural framework of the area comprises a broad, faulted terrace termed 28A
the Beryl Embayment, separated from the South Viking Graben by a horst-like 9/13b 1
northerly continuation of the Crawford Spur. The closures comprise a series of A 0
00
17
relatively steeply dipping tilted fault blocks draped by sealing Jurassic or Cretaceous
11
mudstones.
00
9000
WEST FLANK
0
EAST FLANK 0
00
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT NEVIS 18 HORST 16
KATRINE
The oldest reservoir sandstones in the Beryl area are assigned to the Triassic
Skagerrak Formation. This formation comprises fining upwards and minor 4
coarsening upwards sandstones representing fluvial channel and overbank
120
35
0
sequences. High sinuosity channels are expected to occur in the axial portions of the
1000
00
00
11
basin, probably formed by flow towards the northeast. Major coarsening upward
1100
9/12a 9/13a 9/13c
units of bioturbated sandstones with shell fragments are interpreted as prograding
0
9/17a 9/18a 9/19
lake shoreline sediments, capped by planar laminated, sheetflood sandstones.
These interbedded mudstones commonly contain caliche horizons.
(After Robertson G, 1992)
The lower part of Beryl A comprises fining and coarsening upwards sandstones
representing fluvial channel, levee and crevasse splay sandstones with evidence of
rootlet penetration. The upper part, consisting of coarsening upward sandstones and coals and separated by lagoonal mudstones. They include minor fining upward
a glauconitic horizon, may represent coastal alluvial fan sediments overlain by a distributary channel sands.
marine omission surface and shoreline/shallow marine sandstones. Units 3 and 4 comprise major lagoonal delta sequences composed of coarsening
Beryl B marine mudstones form a laterally extensive unit between the Beryl A and upwards mouth bar and delta shoreline sands cut by fining upward distributary
C reservoir sandstones, although the unit may be absent in crestal areas of fault channel sands. These are separated by mudstones with brackish and fluctuating
blocks. Beryl C is subdivided into four stratigraphic units. The lower two units salinity palynofloras. Beryl D, the uppermost reservoir unit, is a relatively fine
comprise repeated coarsening upward lagoon/delta shoreline sandstones capped by grained, argillaceous shallow marine sandstone.
16000
0 1 2 3 km
AGE
VF
M
Geometry
S Laterally extensive sheet.
S Gl and K
moderate to poor, K very poor, locally poor.
M
Lagoon shoreline and probable distributary
LWR CALLOVIAN
HUMBER GRP.
and K
M generally moderate to good, K generally
good to very good.
M Argillaceous horizons form relatively low
permeability layers.
UPPER BAJOCIAN LOWER BATHONIAN
FLADEN GROUP
(
) Py Lagoon/bay mudstones with thin storm
BERYL C
Beryl Area
9/13d-13
9/13a-14
Beryl D
Heather Kimmeridge
Formation Clay Fm.
1000
4
Beryl C(4) TRIASSIC
100
2
TRIASSIC
PERMEABILITY (md.)
Beryl C(3)
10
Beryl C(2)
Beryl B
1
The lithostratigraphic
units previously described
correspond to reservoir zones. The Triassic
reservoir sandstones form sheetlike to lobate Beryl C(1)
and elongate, lenticular sandbodies which may 0.1
locally be stacked and coalesced to form thicker,
sheetlike units. Sand-shale ratios are commonly
low and interbedded mudstones may therefore form
Beryl B
laterally extensive permeability barriers. The sediments
in the lower part of Beryl A have similar geometries to 0.01
those of the Triassic. The glauconitic horizon at the top 0 10 20 30
of this unit may act as a restriction to vertical flow. The POROSITY (per cent.)
upper part of Beryl A is likely to consist of a sheetlike
sediment body. Both parts of Beryl A thicken towards the east.
Beryl B mudstones form a laterally persistent vertical permeability barrier. The occurrence of hydrocarbons in diverse Jurassic and Triassic
Reservoir zonation in the Beryl C main reservoir sand is based on the recognition of reservoirs in the Beryl field gives rise to very large variations in
regressive sandbodies, separated by mudstones. However, due to variable onlap onto porosity and permeability.
synsedimentary tilted fault blocks and variable amounts of truncation, correlation of sand The Triassic Skagerrak Formation has the lowest matrix
sequences may be difficult. The Beryl C Formation has been subdivided into four reservoir porosities and permeabilities but locally there is enhancement
units. Units 1 and 2 comprise elongate, lenticular and sheetlike to lobate sandbodies with caused by fracturing. The Beryl C Formation has the best properties
interbedded sheetlike to lobate mudstones. The broad, elongate, lenticular and lobate to with typical properties being 20-23 per cent. porosity and 500-2000
sheetlike sandbodies in Units 3 and 4 are commonly stacked and coalesced to form a md permeability. The other units are generally poorer with typical
thicker, sheetlike unit including thin mudstones. porosities and permeabilities of 16 per cent. and 400 to 500 md in
Beryl D consists of a laterally extensive, sheetlike sandbody of up to 110 feet in Beryl A and 22 to 23 per cent. and 500 to 1000 md in Beryl B. This
thickness, but the fine grained, argillaceous sediments have poor reservoir quality. variation reflects primary petrophysical characteristics related to
facies distribution.
Primary reservoir characteristics in the Triassic sandstones have
FLUID PROPERTIES been strongly overprinted by diagenetic cements and clays. The
major secondary controls on reservoir quality are moderate to
The Beryl field contains a saturated black oil which in Beryl B is in contact with a primary severe compaction, common dolomite cement, tangentially
gas cap. Gas oil ratios are highest in the Upper Beryl (1300 scf/stb) but decline to 700 orientated grain-coating clays which reduce pore throat dimensions,
scf/stb in the deeper reservoirs. The producing gas oil ratio was initially around 1300 scf/stb and patchy calcite. The centres of pores and pore throats are free of
in the Upper Beryl but had increased to around 2000 scf/stb by 1984 as the reservoir clays, and so moderate to good permeabilities (up to 200 md) are
pressure fell below the bubble point. maintained when porosities are moderate (10 to 15 per cent). Pores
are however locally occluded by dead oil or bitumen which behaves
2.1
like an intergranular cement.
1.8 Ferroan dolomite cementation is locally important in Beryl B.
1500 2.0
1.6
1.9 GOR
1.8 1.4
B0
GOR (scf/stb)
1.7
1000 1.2
B0 (rb/stb)
1.6
0 (cp)
1.0
1.5
1.4 0.8
500
1.3
0.6 RESERVOIR PRESSURE
1.2
0
0.4
1.1 Based on a water pressure gradient to surface of 0.45 psi/ft, the
@ 220F
0 1.0 0.2 Beryl field is normally pressured.
0 1000 2000 3000 4000 5000 6000 7000
PRESSURE (psig)
9000
recovery from the Upper Beryl but only poor to moderate recovery from the lower reservoirs
as a result of:
DEPTH (feet TVDSS)
reservoir sandstones have sheet geometries but tend to thin up structure and are OWC @ 11300 ft TVDSS
frequently truncated by erosion in the crestal areas
reservoir rocks have, in general, high structural relief and the formations have a high dip
angle 12000 0.45 psi/ft
good gravity segregation resulting from the high dip angle and the microscopic
properties of the reservoir rock leads to effective recovery in the Upper Beryl under both
gas and water injection
13000
The initiation of gas sales in 1992 has introduced a complexity in the reservoir
3000 5000 7000
management of the field; offtake strategy must now seek to sustain gas sales delivery at the
same time as maintaining oil production and enhancing ultimate oil reserves. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
BERYL A BERYL B
UNITED KINGDOM
Beryl Area
Water Depth 390 390
(feet)
Platform Type concrete gravity steel jacket steel jacket
Function drilling/production/ riser drilling/production/
accommodation/ tower accommodation
compression Gas exports
Well Slots 40 21
Wells 32 21
(+ 3 subsea) (+ 4 subsea)
Throughput
@@@
Oil (bbl/day) 300000 (including B) 100000
Gas (MMscf/day) 150 130
@@@
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@@
Profit/Inv Ratio 1.52 1.30 1.18 1.11 1.03 0.92 0.74
@@@
Net Present Value 1,944.25 870.43 568.72 436.92 339.92 237.11 132.02
Net Present Value (Deflated) 2,647.83 1,188.79 738.00 528.03 366.16 186.00 -8.51
Profit/Inv Ratio 0.90 0.76 0.68 0.63 0.58 0.51 0.39 50
Profit/Inv Ratio (Deflated) 0.63 0.44 0.34 0.27 0.21 0.13 -0.01
NPV/Unit Oil Equiv. 1.54 1.72 1.77 1.77 1.76 1.70 1.52 100
NPV/Unit Oil Equiv. (Deflated) 1.58 1.46 1.29 1.13 0.95 0.63 -0.04
Earnings Data
0 0
Gross Revenue 16,231.85 6,543.30 4,208.65 3,242.40 2,553.48 1,846.21 1,152.80
1975 1980 1985 1990 1995 2000 2005 2010 2015
Royalty 1,369.20 582.51 380.18 294.40 232.41 168.03 104.19
Petroleum Revenue Tax 3,555.03 1,571.74 1,019.96 781.35 607.94 428.07 252.31
Year
Corporation Tax 1,354.28 620.95 416.71 326.65 259.92 188.92 116.70
Capital Expenditure 2,171.76 1,143.80 832.95 690.56 582.30 463.64 337.25
Operating Costs 5,633.58 1,623.03 888.79 626.69 458.07 303.04 171.25
Gross Revenue (Deflated) 21,502.72 10,521.71 7,413.55 6,011.78 4,950.69 3,788.31 2,546.84 CASH FLOW REPORT
Royalty (Deflated) 1,889.88 939.78 661.46 534.61 438.14 332.18 219.10
Petroleum Revenue Tax (Deflated) 4,933.75 2,389.05 1,630.40 1,286.97 1,028.65 750.00 462.80 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Corporation Tax (Deflated) 1,990.47 1,025.69 726.08 586.33 478.72 359.39 231.39 Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
Capital Expenditure (Deflated) 4,235.80 2,702.50 2,181.75 1,925.90 1,720.59 1,480.56 1,198.76 MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
Operating Costs (Deflated) 5,379.88 2,002.44 1,263.82 970.25 765.71 559.80 361.23
1973 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -362.2 0.0 0.0 0.0
1974 0.0 0.0 0.0 50.0 0.0 0.0 0.0 -50.0 -1,529.6 0.0 0.0 0.0
1975 0.0 0.0 0.0 100.0 0.0 0.0 0.0 -100.0 -2,618.3 0.0 0.0 0.0
1976 20.8 0.0 20.0 75.0 0.0 0.0 0.0 -74.2 -1,447.3 8.0 0.0 0.0
1977 205.4 7.6 25.0 30.0 0.0 0.0 7.6 142.8 2,212.4 62.0 0.0 0.0
1978 145.9 16.5 30.0 40.0 0.0 0.0 16.5 59.4 734.8 55.0 0.0 0.0
1979 342.8 24.3 35.0 40.0 0.0 0.0 24.3 243.5 2,572.5 96.1 0.0 0.0
1980 616.2 53.0 40.0 50.0 100.1 100.6 253.7 272.5 2,352.1 112.1 0.0 0.0
1981 655.2 71.4 50.0 125.0 231.5 115.3 418.2 -32.1 -217.4 97.4 0.0 0.0
1982 633.1 70.3 60.0 150.0 126.1 77.7 274.1 49.3 276.3 91.2 0.0 0.0
1983 573.8 63.0 70.0 125.0 198.1 72.8 333.8 35.0 167.6 78.8 0.0 0.0
1984 744.7 68.4 90.0 125.0 259.7 67.7 395.8 134.0 567.5 89.1 0.0 0.0
1985 788.0 80.7 100.0 75.0 328.4 91.6 500.7 112.4 419.5 101.6 0.0 0.0
1986 344.1 54.9 105.0 50.0 140.9 89.5 285.2 -96.2 -313.7 95.3 0.0 0.0
1987 415.9 29.5 112.0 100.0 96.7 32.3 158.5 45.4 132.6 101.1 0.0 0.0
1988 360.5 26.9 115.5 81.0 59.5 46.1 132.5 31.5 83.1 116.1 0.0 0.0
1989 454.6 27.5 118.0 58.0 106.8 41.9 176.2 102.4 234.5 112.1 0.0 0.0
1990 511.2 37.6 118.0 83.0 160.4 45.4 243.4 66.8 131.4 106.1 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1991 434.5 38.0 118.5 148.0 97.4 41.2 176.7 -8.7 -14.5 104.1 0.0 0.0
1992 481.7 37.1 121.7 190.0 88.9 39.3 165.3 4.8 6.9 115.7 52.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1993 697.8 52.4 152.5 85.0 251.8 39.4 343.6 116.7 151.6 129.4 384.0 0.0
1994 613.3 60.2 155.0 70.0 139.2 45.0 244.3 144.0 170.5 117.2 383.0 0.0
Pre Corporation Tax 1995 621.2 56.5 154.9 60.0 173.1 47.5 277.1 129.2 138.2 117.7 360.0 0.0
Total To Start Of Discounting ( 1/JAN/1996)
Net Present Value 987.14 863.11 790.32 745.46 703.96 648.00 570.02 9,660.7 875.9 1,791.1 1,920.0 2,558.5 993.1 4,427.5 1,318.3 3,848.5 695.7 430.3 0.0
Net Present Value (Deflated) 905.98 778.12 711.45 671.65 635.38 587.03 520.14
NPV/Unit Oil Equiv. 1.99 2.32 2.46 2.52 2.58 2.64 2.71 1996 581.3 55.5 151.8 60.0 161.5 48.5 265.5 104.0 100.0 106.0 321.5 3.0
1997 559.5 52.0 155.0 46.8 151.1 45.6 248.7 109.0 93.4 95.4 287.1 10.0
Post Corporation Tax 1998 521.7 48.4 158.4 43.3 136.7 43.8 229.0 91.0 69.4 85.9 256.4 7.0
1999 497.9 45.0 162.1 33.8 126.7 39.2 211.0 91.1 61.8 77.4 229.0 23.0
Net Present Value 625.95 573.45 532.34 505.22 479.27 443.28 391.72 2000 458.1 42.2 175.5 29.3 112.0 36.3 190.5 62.7 37.9 68.8 204.6 16.0
Net Present Value (Deflated) 598.14 526.18 484.67 459.10 435.39 403.31 358.23 2001 425.4 38.8 168.6 0.0 107.0 25.3 171.0 85.7 46.1 62.0 182.7 10.0
NPV/Unit Oil Equiv. 1.26 1.54 1.65 1.71 1.76 1.81 1.87 2002 396.9 35.4 173.8 0.0 94.9 25.5 155.9 67.3 32.2 56.0 163.2 7.0
2003 369.1 32.2 179.2 0.0 80.8 23.2 136.2 53.7 22.9 50.4 145.7 4.0
Earnings Data 2004 344.4 29.1 185.0 0.0 67.6 20.1 116.8 42.6 16.2 45.5 130.1 2.0
2005 320.6 26.2 189.7 0.0 55.3 17.0 98.5 32.4 10.9 41.0 116.2 0.0
Gross Revenue 6,571.18 4,700.04 3,976.61 3,599.33 3,284.67 2,902.24 2,432.09 2006 299.5 23.5 196.0 0.0 43.0 13.8 80.2 23.3 7.0 36.9 103.8 0.0
Royalty 493.26 382.27 334.01 307.43 284.46 255.49 218.22 2007 280.4 20.7 202.9 38.6 15.6 10.6 46.9 -8.0 -2.2 33.3 92.7 0.0
Petroleum Revenue Tax 996.55 882.44 810.13 764.74 722.39 664.96 584.57 2008 262.1 17.7 209.9 0.0 16.4 10.7 44.9 7.3 1.7 30.0 82.8 0.0
Corporation Tax 361.19 289.66 257.98 240.24 224.69 204.72 178.30 2009 245.5 15.2 217.4 0.0 9.1 1.9 26.2 1.8 0.4 27.1 73.9 0.0
Capital Expenditure 251.76 214.38 197.58 188.05 179.57 168.48 153.29 2010 229.5 13.4 203.6 0.0 6.6 -0.6 19.4 6.5 1.2 24.4 66.0 0.0
Operating Costs 3,842.48 2,357.84 1,844.57 1,593.66 1,394.30 1,165.32 906.00 2011 214.7 12.5 190.5 0.0 6.1 -0.1 18.5 5.6 0.9 22.0 59.0 0.0
2012 201.2 11.8 178.4 0.0 5.8 0.3 17.9 5.0 0.7 19.9 52.7 0.0
Gross Revenue (Deflated) 5,094.41 3,815.96 3,303.36 3,030.33 2,799.00 2,512.62 2,151.09 2013 187.8 11.0 167.0 0.0 5.2 0.6 16.9 4.0 0.5 17.9 47.0 0.0
Royalty (Deflated) 408.98 323.88 286.64 265.99 248.02 225.16 195.32 2014 175.5 10.2 156.2 0.0 4.8 0.8 15.8 3.5 0.4 16.1 42.0 0.0
Petroleum Revenue Tax (Deflated) 924.92 798.05 730.09 689.25 651.91 602.04 533.02 Remain
Corporation Tax (Deflated) 307.83 251.94 226.78 212.56 199.99 183.72 161.91 2015 0.0 -47.7 421.4 0.0 -209.8 -1.4 -258.9 -162.5 -17.2 0.0 0.0 0.0
Capital Expenditure (Deflated) 225.16 195.52 181.83 173.93 166.84 157.44 144.33
Operating Costs (Deflated) 2,629.38 1,720.39 1,393.35 1,229.51 1,096.84 940.95 758.27 Total 6,571.2 493.3 3,842.5 251.8 996.5 361.2 1,851.0 625.9 484.7 334.3 969.6 29.9
These cash flows include Beryl A + B and Ness fields, plus Nevis tariff income
16/2b Fina 16/2a Marathon 16/3d Enterprise 15/2 SUMMARY
1 16/3a Marathon Amoco
0 5 km 1
EAST BRAE 2
The North Brae field is located in Quadrant 16, some 250 km
5
northeast of Aberdeen, in the UK Sector of the Northern North Sea. The
3
E. Prospect East Brae field is located some 15 km to the northeast. North Brae was
4,4A 7 discovered in 1975 by Well 16/7-1 encountering gas condensate in the
6
16/1 16/2c Jurassic Brae sandstones. Development of North Brae began in 1987
Kerr McGee Kerr McGee 16/3b Marathon with start of production through the Brae B platform in April 1988. East
16/6a 16/7a 11 16/8c Brae was discovered in 1980 by Well 16/3a-1 which also encountered
Conoco Marathon NORTH Marathon
gas condensate in the Brae Formation. East Brae started production in
16 30
BRAE 13 December 1993. Both fields have been developed under gas re-
SEDGEWICK 19 BEINN
18 5 injection schemes; gas sales have now commenced from North Brae.
14 B
3 2 1 The other major fields and discoveries in the area are Miller and
31 17 KINGFISHER Kingfisher, South Brae and Central Brae. These are discussed
2
4 WEST7 8,8a elsewhere in this volume.
BRAE 9 16/7b 9z
32 BP 28 4 1 Beinn, located in Middle Jurassic sandstones started production in
27 6,7 1994, and has been exploited via wells drilled directly from North Brae.
3 20 1 15/5 Norsk Hydro
29 Other minor discoveries such as Cairngorm (discovered with Well
22 MILLER
23 16/3a-11) and Braemar (located in Block 16/3c and 9/28b) exist in the
CENTRAL 15
24 A 12 Brae area, but no development plans exist for them at present. The
4,4A 6 Paleocene reservoir in West Brae (reserves estimated of around 15
BRAE 2
13 MMbbl) is expected to be developed in conjunction with Sedgwick (30
SOUTH 25 5,5d
A 21 3 MMbbl), involving either a subsea tie-back to North Brae or a floating
12 10 production vessel. Start up is not expected until 1997.
10 26
8
1 KM 16/8b 16/8a SELE The current interests in the North Brae and East Brae fields in per
11 33 7c Conoco Shell
cent. are:-
5 3 10 16/13a BP
12 2,2a
ENOCH 5 4 NORTH EAST
13
1 16/12a 16/13b
16/11a BP Lasmo 16/12b KM Phillips 3 4
Marathon Oil North Sea (GB) Ltd * 38.00 35.84
BP Petroleum Development Ltd 20.00 25.58
Bow Valley Exploration (UK) Ltd 14.00 13.28
Kerr McGee Corporation 8.00 7.46
British Gas plc 7.70 6.49
L.L.& E. (UK) Ltd 6.30 5.89
Sands Petroleum 4.00 3.82
British Borneo 2.00 1.64
operator *
RESERVOIR CHARACTERISTICS
Reserves
UNITED KINGDOM
125
0
1310
00
contained in the Upper Jurassic conglomerates and
1290
0 sandstones of the Brae Formation. The sediments of the
Depositional Limit
12700 of Reservoir Brae Formation pass laterally into the mudstones of the
5 12500 Kimmeridge Clay Formation towards the axial regions of
12400 16
the South Viking Graben, and overlie shales of the
12300 Heather Formation. The "hot shales" of the upper part of
12200 the Kimmeridge Clay Formation cap the reservoir in both
19
12100 fields. The reservoir rocks are Kimmeridgian to Volgian in
12000 age. They represent a series of overlapping submarine
11900
fans which are genetically associated with the listric,
BRAE B
1 graben margin fault scarp systems to the west. Traps are
14
formed in these sediments by differential compaction of
4 75 the distal and lateral mudstone dominated sediments
12
C around proximal cones of conglomerate dominated
HW
0
17B 70 sediment. This combination of structural and stratigraphic
12 16/8a
0
trap is further complicated by faulting.
90
Reservoir Limit 16/8b
12
7
NORTH BRAE
BRAE FORMATION
DEPTH STRUCTURE
0 1 km
20000
DEVONIAN
and older
0 2 4 km
Geometry
Major clastic wedge composed of linguoid,
clast supported conglomerate bodies and
more laterally persistent lobate, matrix
supported conglomerates and sandstones.
and K
generally moderate, locally poor. K
extremely variable, very poor to good.
12500
KIMMERIDGIAN?- VOLGIAN
BRAE FORMATION
HUMBER GROUP
Geometry
Major clastic wedge composed of lobate
sandstones and conglomerates.
12600
and K
generally moderate, locally poor. K
variable, generally moderate to good,
becoming poor to very poor in the upper
part.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
1 4 5
16/7a-19
1000
16/7a-14
UPPER JURASSIC
100
HUMBER GROUP
PERMEABILITY (md.)
10
BRAE FORMATION
Old
Red 16/7a-7
Sand
-stone
T.D
T.D
1
?
2
0 0.1
3
Within the North and East Brae fields, reservoir Porosities within the Brae Formation are highly variable,
zonation is dependent on the recognition of depending on lithology and facies.
laterally extensive mudstone horizons that reflect The more thinly bedded sandstones within the mudstones are
periods of relative inactivity on the fan surface. generally tight due to extreme compaction and quartz cementation.
T.D
The resultant reservoir units form large, fan-like The clast-supported conglomerates contribute little porosity and
sediment bodies. permeability due to the predominance of non-reservoir tight
The conglomerate and coarse sandstones form sandstone, mudstone and other clasts.
elongate, linguoid sediment bodies, orientated The more thickly bedded sandstones have moderate porosities (8
approximately normal to graben margin faults. These sediment bodies are enveloped by the to 20 per cent.) and permeabilities (0.1 to 50 md). The major controls
thinly interlaminated sandstone and mudstone facies. They are, however, likely to coalesce on trends in porosity and permeability values are primary textural
close to the graben margin faults, and some may also coalesce in the mid-fan region. characteristics and hence facies. Good quality reservoir units exhibit
This should result in tortuous pressure communication through the entire system distal and lateral fining into the argillaceous facies, where diagenesis
although faulting may cause some compartmentalisation. has been particularly severe.
FLUID PROPERTIES
RESERVOIR PRESSURE
The North Brae field contains a rich gas condensate with a condensate gas ratio which
increases with depth up to 280 bbl/MMscf at the base of the reservoir. The reservoir fluid Based on a water pressure gradient to surface of 0.45 psi/ft, both
contains approximately 8 per cent. carbon dioxide. North and East Brae appear to be overpressured by about 1270 psi.
The East Brae field has a fluid gravity of 39-49 API and a gas oil ratio of 2,500-9,000
scf/bbl. The reservoir fluid contains approximately 4 to 6 per cent. carbon dioxide.
11800
7000
INITIAL RESERVOIR
CONDITIONS
6000 12000 North Brae
5000
PRESSURE (psig)
0.20 psi/ft
DEPTH (feet TVDSS)
4000 12200
40 25 10 0
3000
D
UI
2000
12400
Q
LI
%
0
12600
-400 -200 0 200 400 600 800 0.45 psi/ft
TEMPERATURE (F)
Lab Data
Simulated/extrapolated Data 12800
6700 6800 6900 7000
Condensate recovery is being maximised by re-injection of dry gas and the ultimate
liquid recovery will depend on the uniformity of the injected gas flood front. In the case of
North Brae, which is now at a mature stage of production, ultimate liquids reserves are
better defined from production performance. Early dry gas breakthrough due to reservoir
stratification and possible internal faulting occurred at North Brae and may occur at East
Brae, which is at an early stage of development. Liquid recovery in East Brae is being
optimised by initial completion of wells low on the structure where CGR values are highest.
Horizontal drilling has had some success in North Brae and may be considered for East
Brae.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 326 381
(feet)
Platform Type steel jacket steel jacket
Function drilling/production/ drilling/production/
accommodation accomodation
Well slots 34 30
Wells 18 17
@
@@@@
Brae for injection pipeline
@@@@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@@@
NPV/Unit Oil Equiv. 6.62 5.73 5.02 4.47 3.88 2.91 1.11 75 300
NPV/Unit Oil Equiv. (Deflated) 6.04 4.84 3.95 3.31 2.62 1.51 -0.49
Net Present Value 2,056.00 952.56 586.54 414.02 281.72 137.47 -9.84
Net Present Value (Deflated) 1,463.95 641.47 363.93 232.01 130.34 19.06 -94.58
Profit/Inv Ratio 2.42 1.30 0.87 0.65 0.47 0.25 -0.02
Profit/Inv Ratio (Deflated) 1.57 0.80 0.49 0.33 0.20 0.03 -0.17
NPV/Unit Oil Equiv. 4.44 3.79 3.22 2.77 2.28 1.44 -0.15 25 100
NPV/Unit Oil Equiv. (Deflated) 4.04 3.10 2.36 1.80 1.20 0.22 -1.59
Earnings Data
0 0
Gross Revenue 7,362.24 3,739.12 2,609.75 2,090.05 1,695.81 1,267.46 822.03 1990 1995 2000 2005 2010 2015 2020
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 1,213.00 513.99 315.62 230.47 169.67 108.73 53.68 Year
Corporation Tax 1,012.66 489.15 327.38 253.84 198.79 140.18 81.65
Capital Expenditure 848.50 730.85 671.29 635.43 602.30 557.17 492.34
Operating Costs 2,232.08 1,052.57 708.93 556.28 443.33 323.90 204.20
Gross Revenue (Deflated) 5,457.71 2,929.37 2,108.40 1,721.22 1,421.94 1,089.42 731.92
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 780.91 335.72 207.89 152.63 112.96 72.94 36.44
Corporation Tax (Deflated) 723.74 361.35 246.36 193.27 153.04 109.62 65.35
Capital Expenditure (Deflated) 932.78 805.34 740.76 701.85 665.89 616.87 546.38
Operating Costs (Deflated) 1,556.33 785.49 549.46 441.46 359.71 270.93 178.33
1990 0.0 0.0 0.0 40.0 0.0 0.0 0.0 -40.0 -78.7 0.0 0.0 0.0
1991 0.0 0.0 0.0 73.5 0.0 0.0 0.0 -73.5 -122.3 0.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1992 0.0 0.0 0.0 235.0 0.0 0.0 0.0 -235.0 -342.2 0.0 0.0 0.0
1993 1.2 0.0 8.2 350.0 0.0 0.0 0.0 -357.0 -463.8 0.3 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1994 245.0 0.0 57.6 150.0 0.0 0.0 0.0 37.4 44.3 65.0 0.0 0.0
1995 331.6 0.0 69.1 0.0 0.0 0.0 0.0 262.5 280.9 86.0 0.0 0.0
Pre Corporation Tax Total To Start Of Discounting ( 1/JAN/1996)
577.8 0.0 134.9 848.5 0.0 0.0 0.0 -405.6 -681.7 55.2 0.0 0.0
Net Present Value 3,474.24 2,448.71 2,040.85 1,826.20 1,646.60 1,428.27 1,161.63
Net Present Value (Deflated) 2,659.94 1,941.85 1,650.18 1,494.67 1,363.21 1,201.41 1,000.01 1996 301.5 0.0 63.2 0.0 0.0 0.0 0.0 238.3 229.3 75.3 0.0 0.0
NPV/Unit Oil Equiv. 8.51 8.77 8.89 8.95 9.00 9.07 9.14 1997 283.9 0.0 60.4 0.0 0.0 26.7 26.7 196.8 168.6 66.0 0.0 0.0
1998 258.6 0.0 58.0 0.0 0.0 53.3 53.3 147.3 112.3 57.8 0.0 0.0
Post Corporation Tax 1999 235.4 0.0 55.9 0.0 0.0 50.8 50.8 128.6 87.3 50.6 0.0 0.0
2000 321.0 0.0 79.9 0.0 0.0 47.7 47.7 193.4 116.8 44.3 120.0 0.0
Net Present Value 2,461.58 1,793.21 1,521.34 1,376.51 1,254.23 1,104.03 917.82 2001 318.2 0.0 82.2 0.0 0.0 70.9 70.9 165.1 88.7 38.8 133.0 0.0
Net Present Value (Deflated) 1,936.19 1,457.61 1,259.24 1,152.29 1,061.13 947.85 804.86 2002 399.2 0.0 104.7 0.0 26.0 71.4 97.4 197.1 94.3 34.0 230.0 0.0
NPV/Unit Oil Equiv. 6.03 6.42 6.63 6.75 6.86 7.01 7.22 2003 453.5 0.0 120.5 0.0 97.6 81.8 179.4 153.5 65.3 29.8 291.0 0.0
2004 490.3 0.0 132.1 0.0 121.3 69.0 190.3 167.9 63.6 26.1 329.0 0.0
Earnings Data 2005 516.7 0.0 141.2 0.0 128.5 74.8 203.3 172.2 58.1 22.8 353.0 0.0
2006 538.4 0.0 148.8 0.0 133.5 79.1 212.6 177.0 53.1 20.0 369.0 0.0
Gross Revenue 6,784.41 4,406.01 3,520.27 3,070.66 2,704.26 2,272.22 1,767.32 2007 555.9 0.0 155.8 0.0 136.8 82.7 219.5 180.7 48.3 17.5 379.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2008 474.8 0.0 138.7 0.0 109.3 85.6 194.9 141.2 33.6 15.3 306.1 0.0
Petroleum Revenue Tax 1,213.00 688.79 500.85 408.30 334.89 251.50 160.29 2009 406.1 0.0 124.4 0.0 133.7 76.1 209.8 71.9 15.2 13.4 247.2 0.0
Corporation Tax 1,012.66 655.51 519.51 449.70 392.38 324.24 243.81 2010 348.1 0.0 111.9 0.0 122.4 45.8 168.2 68.0 12.8 11.8 199.6 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2011 298.2 0.0 101.2 0.0 102.2 38.5 140.7 56.3 9.4 10.3 161.2 0.0
Operating Costs 2,097.18 1,268.50 978.58 836.16 722.76 592.44 445.39 2012 186.2 0.0 83.2 0.0 60.3 32.1 92.4 10.5 1.6 0.0 130.2 0.0
2013 156.4 0.0 76.6 0.0 42.0 16.7 58.8 21.0 2.8 0.0 105.1 0.0
Gross Revenue (Deflated) 4,856.46 3,296.16 2,699.20 2,391.25 2,137.18 1,833.09 1,469.61 2014 131.4 0.0 71.1 0.0 32.0 13.0 44.9 15.4 1.8 0.0 84.9 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2015 110.5 0.0 66.6 0.0 23.5 9.8 33.3 10.6 1.1 0.0 68.6 0.0
Petroleum Revenue Tax (Deflated) 780.91 449.90 329.90 270.40 222.96 168.71 108.79 Remain
Corporation Tax (Deflated) 723.74 484.24 390.94 342.38 302.08 253.56 195.15 2016 0.0 0.0 120.5 0.0 -56.1 -13.1 -69.2 -51.3 -4.8 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 1,415.61 904.41 719.13 626.19 551.01 462.97 360.80 Total 6784.4 0.0 2097.2 0.0 1213.0 1012.7 2225.7 2461.6 1259.2 194.8 1280.0 0.0
The South and Central Brae fields are located in Block 16/7a on the
western margin of the South Viking Graben in the Northern North Sea.
The reservoir section comprises conglomerates and sandstones of the
Jurassic (Oxfordian-Volgian) Brae Formation of Jurassic age. There are
a further three fields in the Brae group, the South Brae field being the
most southerly. The North and West Brae fields are both in Block 16/7a
whereas the East Brae field is north northeast of South Brae and
straddles Blocks 16/3a and 16/3b. North Brae and East Brae are
discussed elsewhere in this volume. All the fields are distinct from each
other and all except West Brae have the same geological setting. West
Brae has oil and gas in reservoirs of Paleocene age with production
RESERVOIR CHARACTERISTICS start up anticipated for 1997. The Miller field is located to the east of
South Brae and contains oil in a reservoir section of similar age to that
Fluid Properties SOUTH BRAE CENTRAL BRAE of South Brae.
The North and East Brae fields contain rich gas condensate whilst
Oil Gravity (API) 33 33 South and Central Brae and Miller are oil fields.
Gas/Oil Ratio (scf/stb) 1343 1415
Bubble Point Pressure, Pb (psig) 3702 4100
Formation Volume Factor at Pi (rb/stb) 1.733 1.77
Oil Compressibility (vol/vol/psi) 16.5 x 10-6
Original Reservoir Pressure, Pi (psig) 7114 7043 FIELD DESCRIPTION
At Datum Depth of (ft TVDSS) 12740 12600
Reservoir Temperature (F) 240 246 The South and Central Brae fields comprise a number of overlapping
submarine fans controlled by a graben-margin fault scarp and
Rock Properties
associated marginal uplift zone. The Brae Formation in the area is
Kimmeridgian to mid-Volgian in age. The reservoir consists of three
Rock Type Sandstone main facies types, the best of which, from a reservoir quality standpoint,
Stratigraphic Unit Brae is represented by moderate porosity, relatively high permeability and
Geological Age Jurassic poorly sorted clean sandstones. The second facies type represents a
Porosity Range (per cent.) 8-18 (av. 11.5) poorer reservoir environment consisting of conglomerates comprising
Permeability Range (md) 2-500 1-1000 non-permeable pebble to boulder sized particles cemented in moderate
Connate Water Saturation (per cent.) 14 20 quality sands. The third facies type, the poorest in reservoir quality,
Oil Water Contact (ft TVDSS) 13488 13426 consists of thin laminations of sand and shale known as the "tiger stripe"
Depth to Top of Structure (ft TVDSS) 11821 11750 facies.
The fields contain an under-saturated oil of 33 degrees API gravity
Reserves with an average gas oil ratio of approximately 1400 scf/stb. An oil water
contact in South Brae has been identified at 13488 ft TVDSS.
Total Oil and NGL Reserves (MMstb) 245 45 Production from South Brae commenced in July 1983 with the
Est. Oil and NGL Production to 31.12.95 (MMstb) 225 32 productivities from the individual wells, particularly those at crestal
Remaining Oil and NGL Reserves (MMstb) 20 13 locations, being excellent. Produced gas is piped to North Brae for
injection. Aquifer influx into the South Brae reservoir appears to be
Production limited and the pressure in the reservoir declined until water injection
commenced in mid 1984.
Water depth (feet) 367 351 The oil is spiked with NGLs and pumped to Forties where it enters
Production Start Date July 1983 September 1989 the main Forties line to Cruden Bay. Central Brae was put on production
Peak Production (Oil and NGL) (stb/day) 103000 in 1986 18000 in 1992 in September 1989. The subsea development is tied back to the Brae A
Platform(s) Steel jacket Subsea template platform on South Brae. Brae A also receives liquid production from
Number of Wells - Producers 15 5 North Brae and East Brae as well.
Water injectors 14 1 The Enoch/Sele Paleocene discovery is situated to the southeast of
Gas injectors 2 the Brae and Miller fields and may be developed by a subsea system
Oil and NGL Export Pipeline to Forties Tied back tied back to either Brae or Miller. There are no firm plans for
Gas Export Pipeline to North Brae to South Brae development at present.
The Birch field came on stream in September 1995 with water
injection and treatment services being provided by the Brae A platform.
Birch oil joins the production from six other third party fields already
being transported through the Brae pipeline system to the Forties field.
The other "Tree" fields such as Larch, Pine and Elm may be developed
in a similar manner.
Gas which has been purchased from the T block fields is received at
the Brae A platform. Excess gas from the Birch and T Block not used for
fuel is transferred to the Brae B platform for sale or re-injection into
North Brae.
Brae South & Central
STRATIGRAPHY AND STRUCTURE
9 Limit of
Central Brae The Brae Formation in the South and Central Brae area is Kimmeridgian to
UNITED KINGDOM
CENTRAL AND SOUTH BRAE
12800
OW
Reservoir mid-Volgian in age. It represents a series of overlapping submarine fans
TOP BRAE FORMATION
132
C1
forming a sequence greater than 2000 feet thick. The formation interdigitates
DEPTH STRUCTURE
00
342
00 with the Kimmeridge Clay Formation in the axial part of the South Viking
128
126
124
16/7a
6
12
0 2 km Graben and is genetically associated with the listric, graben-margin fault scarp
00
00
00
16/7b
3
0
(Contours in feet TVDSS) CENTRAL BRAE systems which form the western field boundary. The formation is overlain by the
"hot shale" of the Kimmeridge Clay Formation, which seals the reservoir units.
22
A major phase of late Jurassic crustal extension across the South Viking
Graben was expressed by large scale movement on western graben-margin
listric faults. Very rapid subsidence close to the western graben-margin faults
together with the formation of a graben margin uplift zone, provides the
15
Limit of structural controls on Brae Formation sedimentation.
Central Brae
Reservoir Traps were formed in these sediments by differential compaction of the
Limit of
South Brae 6 distal and lateral mudstone dominated sediments around a proximal cone of
Reservoir conglomerate dominated sediment. This combination structural-stratigraphic
12
20
trap is further complicated by faulting.
124
0
00
136
00
Western SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
134
12400
Bounding
Fault
00
132
The Brae Formation in South and Central Brae represents a series of
1300
00
1280
overlapping submarine fans. The depositional model has its basis in the
0
12 13
0
12200 40
0
recognition of a single fining upward megasequence from boulder to pebble
conglomerates and coarse sandstones at the base to thinly interbedded, very
0
1200
BRAE A
12 21 fine grained, current rippled, turbidite sandstones and mudstones at the top of
SOUTH BRAE 12000 10 the formation. This megasequence is composed of a series of composite fining
0
upward sequences representing channelised submarine fan-lobes which are
8 20
12 themselves composed of graded units representing individual depositional
events. The fining upward megasequence (entire Brae section) is interpreted
1280 00
0
126
1260
11 8
13
48 margin fault zone. The basal Brae Formation conglomerates - breccias are
C 00
OW 136 therefore more proximal than the upper Brae Formation sediments.
0
? 1300
43/26a
Limit of
South Brae 16/12a 16/12c
00
132
3
13400
140
Reservoir
00
Montrose Group
JURASSIC + ? TRIASSIC
20000
0 1 2 3 km
25000
AGE
VF
B C P
16/7a-8 40 0 0.1 10000 5 25 45 -15
Geometry
Major clastic wedge composed of linguoid
clast supported conglomerates and more
laterally persistent lobate matrix supported
KIMMERIDGIAN - MIDDLE VOLGIAN
and K
generally moderate, locally poor.
BRAE FORMATION
12650
M
Inner fan channel and lobe conglomerates
and sandstones, overlain by thin unit of
interfan marine mudstones and thin turbidite
sandstones.
Geometry
12750
10000
1000
16/7a-12
100
16/7a-10
PERMEABILITY (md.)
10
16/7a-11
F
0.1
0.01
0 10 20 30
300 feet
POROSITY (per cent.)
The reservoir fluid of South Brae is highly compressible and the low in-situ oil viscosity The South Brae reservoir is overpressured by approximately
leads to favourable displacement characteristics under water injection. The reservoir fluid 1230 psi. The original oil water contact is at approximately 13488
shows compositional variation with depth, the deeper oil containing a larger proportion of feet TVDSS. The initial oil water contact in Central Brae is 13426 feet
heavy hydrocarbon fractions. The high solution GOR leads to the additional recovery of TVDSS, and the reservoir is overpressured by approximately 1245
NGLs equivalent to approximately 13 per cent. of the produced crude oil stream. The psi.
reservoir fluid of Central Brae is similar to that of South Brae but has a slightly higher GOR.
1.7 0.9
1000
GOR (scf/stb)
1.6 0.8
B0 (rb/stb)
0 (cp)
1.5 0.7
DEPTH (feet TVDSS)
0.295 psi/ft
1.4 0.6
500 1.3 0.5
13000
1.2 0.4
CONTROLS ON RECOVERY
15000
The South Brae field has proved to be geologically more complex than originally expected. 5000 7000 9000
The field has responded well to water injection following the initial pressure decline, which INITIAL RESERVOIR PRESSURE (psig)
should ensure efficient recovery from the sandstone and conglomerate facies. It is likely,
however, that the majority of the oil in the "tiger stripe" facies is being by-passed. The field is
now at an advanced stage of decline; infill drilling, well sidetracking is ongoing. A pilot water
alternating gas (WAG) injection scheme is also being implemented.
Controls on recovery from Central Brae are expected to be similar to those of South Brae.
Brae South & Central
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 367 351
(feet)
Platform Type steel jacket subsea template
Function drilling/production/ drilling/production
accommodation
Accommodation 368
Well Slots 46 10
Wells producers 15 5
water injectors 14 1
gas injectors 2
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@
Profit/Inv Ratio 1.44 0.85 0.59 0.45 0.33 0.18 -0.01
@@
Net Present Value 2,246.86 920.93 509.80 324.54 187.56 45.00 -89.61
200
Net Present Value (Deflated) 1,986.51 580.85 146.65 -47.61 -189.76 -334.61 -463.07
Profit/Inv Ratio 0.93 0.54 0.35 0.25 0.16 0.04 -0.11 50
Profit/Inv Ratio (Deflated) 0.49 0.19 0.06 -0.02 -0.09 -0.17 -0.29
NPV/Unit Oil Equiv. 3.62 2.84 2.21 1.74 1.23 0.39 -1.19
NPV/Unit Oil Equiv. (Deflated) 2.66 1.39 0.48 -0.19 -0.90 -2.06 -4.22
100
25
Nominal Rate Of Return % 16.31
Real Rate Of Return % 9.45
Earnings Data
0 0
Gross Revenue 10,391.98 5,084.21 3,535.16 2,837.01 2,311.92 1,743.42 1,149.26
1980 1990 2000 2010
Royalty 657.41 340.55 239.69 192.97 157.37 118.45 77.49
Petroleum Revenue Tax 613.88 266.05 162.86 119.75 89.90 61.14 36.35
Year
Corporation Tax 1,205.19 539.56 348.90 265.36 204.32 140.99 79.79
Capital Expenditure 2,403.89 1,713.97 1,446.07 1,302.73 1,180.34 1,027.25 831.52
Operating Costs 3,264.76 1,303.15 827.85 631.65 492.42 350.59 213.72
Gross Revenue (Deflated) 11,812.83 6,364.24 4,637.14 3,823.03 3,190.77 2,481.33 1,702.81
Royalty (Deflated) 784.27 431.12 314.49 258.89 215.52 166.73 113.22
Petroleum Revenue Tax (Deflated) 626.73 271.03 173.90 133.64 105.55 77.85 52.42 CASH FLOW REPORT
Corporation Tax (Deflated) 1,251.01 590.33 392.68 303.90 237.84 167.83 98.09
Capital Expenditure (Deflated) 4,070.54 3,067.33 2,642.86 2,408.64 2,205.08 1,946.11 1,608.10 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Operating Costs (Deflated) 3,093.77 1,423.58 966.57 765.57 616.54 457.43 294.04 Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1979 0.0 0.0 0.0 7.0 0.0 0.0 0.0 -7.0 -74.0 0.0 0.0 0.0
1980 0.0 0.0 0.0 120.0 0.0 0.0 0.0 -120.0 -1035.6 0.0 0.0 0.0
1981 0.0 0.0 0.0 269.0 0.0 0.0 0.0 -269.0 -1824.7 0.0 0.0 0.0
1982 0.0 0.0 0.0 271.0 0.0 0.0 0.0 -271.0 -1519.7 0.0 0.0 0.0
1983 139.9 0.0 16.8 191.0 0.0 0.0 0.0 -67.8 -324.5 19.2 0.0 0.0
1984 642.6 31.8 66.1 118.0 58.2 0.0 90.0 368.5 1561.0 76.9 0.0 0.0
1985 657.3 63.0 70.7 318.0 38.7 0.0 101.6 166.9 623.2 84.7 0.0 0.0
1986 379.0 42.6 80.0 319.0 32.7 9.3 84.7 -104.7 -341.4 103.1 0.0 7.0
1987 419.2 24.3 77.8 270.0 7.5 49.7 81.6 -10.2 -29.7 96.1 0.0 40.0
1988 385.1 21.5 105.1 227.0 -137.1 57.5 -58.2 111.2 293.9 114.9 0.0 45.0
1989 500.0 23.7 120.5 80.0 0.0 32.3 56.0 243.6 558.0 115.8 0.0 48.0
1990 669.7 41.0 134.0 15.0 0.0 70.5 111.5 409.2 805.2 131.0 0.0 58.0
1991 455.3 42.5 123.6 0.0 0.0 126.5 169.0 162.7 270.7 101.0 0.0 47.0
ECONOMIC INDICATORS FROM 1/1/1996 1992 367.6 29.4 117.7 0.0 0.0 70.6 99.9 150.0 218.4 80.0 0.0 98.0
1993 320.1 22.9 114.8 20.0 0.0 52.9 75.9 109.5 142.2 60.6 0.0 159.7
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1994 368.2 24.3 116.5 15.0 0.0 43.2 67.5 169.1 200.2 55.0 57.0 279.8
1995 546.6 33.0 122.5 5.0 0.0 59.8 92.8 326.2 349.1 52.0 280.0 322.9
Pre Corporation Tax Total To Start Of Discounting ( 1/JAN/1996)
5850.8 400.1 1266.2 2245.0 0.0 572.2 972.3 1367.3 -127.5 398.0 123.0 403.5
Net Present Value 1,512.55 1,301.59 1,195.06 1,131.64 1,073.73 996.14 887.77
Net Present Value (Deflated) 1,366.90 1,179.22 1,086.03 1,030.85 980.59 913.33 819.34 1996 536.1 38.2 118.9 0.0 98.0 115.7 251.9 165.2 159.0 44.4 280.0 310.2
NPV/Unit Oil Equiv. 7.51 7.71 7.78 7.82 7.85 7.89 7.92 1997 496.5 36.4 119.0 0.0 107.8 77.2 221.4 156.1 133.7 35.4 280.0 254.7
1998 455.3 35.2 120.0 0.0 90.8 71.8 197.8 137.6 104.9 28.3 280.0 193.8
Post Corporation Tax 1999 422.6 34.1 121.7 0.0 76.3 65.6 176.0 124.9 84.8 22.7 280.0 146.3
2000 424.4 33.3 122.9 0.0 75.3 60.3 169.0 132.6 80.2 18.2 280.0 132.0
Net Present Value 879.56 783.09 728.27 694.10 662.02 617.88 554.27 2001 401.5 32.9 121.4 0.0 71.1 61.0 164.9 115.2 62.0 14.7 265.9 111.3
Net Present Value (Deflated) 818.02 721.53 670.10 638.74 609.65 570.00 513.38 2002 312.5 27.5 120.9 0.0 77.8 52.4 157.8 33.8 16.2 11.8 169.8 95.7
NPV/Unit Oil Equiv. 4.37 4.64 4.74 4.80 4.84 4.89 4.95 2003 262.5 19.0 121.2 0.0 49.5 33.1 101.6 39.8 17.0 9.6 109.4 95.6
2004 228.7 13.3 120.4 0.0 36.8 25.2 75.3 33.1 12.6 7.8 71.0 94.8
Earnings Data 2005 179.5 8.2 69.8 0.0 41.1 19.8 69.1 40.6 13.7 2.6 46.6 81.7
2006 167.9 4.5 69.5 0.0 40.0 19.8 64.3 34.1 10.3 2.0 30.9 81.5
Gross Revenue 4,541.21 3,496.26 3,060.83 2,824.09 2,620.58 2,364.64 2,034.74 2007 150.5 2.7 68.4 0.0 36.2 17.8 56.6 25.5 6.8 0.0 20.8 80.7
Royalty 257.28 224.21 205.15 193.43 182.60 168.00 147.59 2008 124.2 1.4 68.7 0.0 25.5 14.5 41.4 14.2 3.4 0.0 14.1 66.3
Petroleum Revenue Tax 613.88 577.52 536.55 508.33 480.95 442.77 388.21 2009 90.8 0.5 67.7 158.9 4.3 10.0 14.9 -150.7 -32.0 0.0 0.0 54.6
Corporation Tax 632.99 518.50 466.79 437.54 411.70 378.26 333.50 2010 77.2 0.0 63.6 0.0 0.0 -5.8 -5.8 19.4 3.7 0.0 0.0 45.0
Capital Expenditure 158.89 82.23 56.22 43.88 34.41 24.08 13.56 2011 65.7 0.0 62.9 0.0 0.0 -5.5 -5.5 8.2 1.4 0.0 0.0 37.2
Operating Costs 1,998.60 1,310.70 1,067.86 946.81 848.89 733.65 597.61 2012 46.3 0.0 62.2 0.0 0.0 0.0 0.0 -15.9 -2.4 0.0 0.0 21.7
2013 38.9 -0.4 61.5 0.0 0.0 0.0 -0.4 -22.2 -3.0 0.0 0.0 17.5
Gross Revenue (Deflated) 3,740.83 2,972.12 2,641.98 2,459.50 2,300.75 2,098.35 1,832.43 2014 32.6 -1.1 60.7 0.0 0.0 0.0 -1.1 -27.0 -3.2 0.0 0.0 14.2
Royalty (Deflated) 235.44 201.94 184.54 174.15 164.67 152.01 134.44 2015 27.4 -1.8 60.0 0.0 0.0 0.0 -1.8 -30.8 -3.3 0.0 0.0 11.4
Petroleum Revenue Tax (Deflated) 601.29 529.86 486.14 459.00 433.85 399.93 352.71 Remain
Corporation Tax (Deflated) 548.88 457.69 415.93 392.11 370.94 343.33 305.96 2016 0.0 -26.7 197.2 0.0 -216.6 0.0 -243.3 46.1 4.3 0.0 0.0 0.0
Capital Expenditure (Deflated) 95.42 49.38 33.76 26.35 20.66 14.46 8.14
Operating Costs (Deflated) 1,441.78 1,011.72 851.51 769.14 700.97 618.62 517.80 Total 4541.2 257.3 1998.6 158.9 613.9 633.0 1504.2 879.6 670.1 72.0 777.0 710.3
These cash flows include Brae N+S+C and Beinn, plus tariff income from Brae East, Miller, Balmoral, Glamis, Heimdal, Birch,
and T Block fields
211/23b Amerada 211/24a OMV 24c Con. SUMMARY
1 STATFJORD
4 5 The Brent field is located in Quadrant 211 some 170 km northeast of
6 25a the Shetland Islands in the UK Sector of the Northern North Sea. The
24b Con. Con. 33/12a Statoil
211/28b Rel. 211/29 Shell 33/12b Statoil field was discovered in 1971 by Well 211/29-1 which encountered oil in
10
Middle Jurassic sands of the Brent Group. Subsequent wells revealed
7
a gas cap in the Brent reservoir. Gas and oil were also found in the
deeper Statfjord Formation.
3
D Development of the Brent field began in 1972 and involves one steel
211/28a and three concrete platforms. First oil was produced in November 1976
Conoco 1 and peak production was achieved in 1986. Oil is piped to the Sullom
Voe terminal via the Cormorant oil field.
The field is currently undergoing a major redevelopment with a view
1 C to optimising gas production in the next century. Upon completion of the
platform refurbishment programme in 1997, the reservoirs will undergo
7 6 8 a depressurisation development strategy to maximise gas sales.
5
The Brent field extends south beyond 211/29 into Texaco owned
BRENT Block 3/4a. Shell and Esso bought Texaco's interest in this northern
7
area of 3/4a in November 1991.
2 B
9 The current interests in the Brent field in per cent. are:-
Flare
A Shell Uk Ltd * 50.00
4 Esso Exploration and Production Ltd 50.00
0 4 km
operator *
18 211/30 Shell
3/3 Chevron 3/4b Rel. 1 2,3 3/4a 3/5b Rel. 29/3 Rel.
Texaco
11
LOCAL SETTING
The Brent field is located in the North Viking Graben close to the
median boundary with Norway. Brent was the first major discovery in the
area and is surrounded by fields such as Ninian, Dunlin, Hutton, North
West Hutton, Statfjord and Gullfaks all of which lie within a 20 km
radius. Fields within a 50 km radius include Magnus, Thistle, Alwyn and
RESERVOIR CHARACTERISTICS Alwyn North, Columba, Cormorant, Lyell and Heather. All these fields
contain oil in sandstones of the Brent Group and/or Statfjord
Fluid Properties BRENT STATFJORD Formations. Magnus field also lies within 50 km of Brent, to the north.
Here the reservoir is an Upper Jurassic sandstone.
Oil Gravity (API) 36 38.5
Gas/Oil Ratio (scf/stb) 1500-1700 1000-3000
Bubble Point Pressure, Pb (psig) 4000-5750 4400-5650
Formation Volume Factor at Pi (rb/stb) 2.0 2.3
Oil Compressibility (vol/vol/psi) 16 x 10-6 18 x 10-6
Original Reservoir Pressure, Pi (psig) 5770 6115
At Datum Depth of (ft TVDSS) 8700 9400 FIELD DESCRIPTION
Reservoir Temperature (F) 204 218
The Brent field comprises a westerly tilted and partially eroded fault-
Rock Properties block which is unconformably overlain by sealing Kimmeridgian shale
and is both structurally and stratigraphically closed.
Rock Type ------------------ Sandstone --------------------- Hydrocarbons are found in two horizons, the Middle Jurassic Brent
Stratigraphic Unit Brent Statfjord sand sequence and the deeper, Lower Jurassic Statfjord sand
Geological Age -------------------- Jurassic ----------------------- sequence.
Porosity Range (per cent.) 7-37 10-26 The reservoir quality varies considerably in both these sequences
Permeability Range (md) up to 8000 up to 5500 and ranges between poor and very good; in general, however, reservoir
Connate Water Saturation (per cent.) quality is good.
Gas Oil Contact (ft TVDSS) 8575 9300 The total thickness of the Jurassic in the Brent field (including the
Oil Water Contact (ft TVDSS) 9050 9680 Dunlin shales) is some 2500 feet of which some 1200 feet is considered
Depth to Top of Structure (ft TVDSS) 8300 8850 net reservoir.
Both reservoirs contain saturated black oil with overlying gas caps.
Reserves OIL + NGL SALES GAS The API gravity of the oil varies between 36 and 38.5 degrees. The
GOR in the Brent reservoir is between 1500 and 1700 scf/stb and in the
Total Reserves (MMstb, Bcf) 2120 4400 Statfjord reservoir is between 1000 and 3000 scf/stb.
Est. Production to 31.12.1995 (MMstb, Bcf) 1754 2266 The main production mechanism for the Brent field is water injection
Remaining Reserves (MMstb, Bcf) 366 2134 in a staggered line drive sequence. This production mechanism was
preferred over gas injection because the permeability distribution within
Production the reservoir (higher at the crest) and the mobility ratio were both more
favourable to water injection. However, during the late 1990s water
Water depth (feet) ------------------- 459-466 ----------------------
injection will cease, with water ultimately being pumped out of the
Production Start Date ------------- November 1976 --------------- reservoir to reduce the pressure. Originally the vast bulk of oil was
Peak Production (Oil and NGL) (stb/day) ------------ 477,000 in 1986 --------------- exported via the SPAR loading buoy, as well as being piped to the
Sullom Voe terminal via the Cormorant oil field. Oil production has
Peak Production (Gas) (MMscf/day) ---------------- 660 in 2002 --------------------
declined sharply from peak rates and gas sales have become more
Platform(s) Steel jacket + 3 Concrete gravity
important in recent years. Oil production through the SPAR buoy
Number of Wells - Producers ------------------------- 88 --------------------------
ceased in 1991.
Water Injectors ------------------------- 39 --------------------------
Due to the change in production priorities from oil to gas in recent
Gas Injectors -------------------------17 ---------------------------
years, the Brent platforms were redeveloped in the mid 1990's with new
Gas and Condensate Export 36" pipeline to Sullom voe via facilities to allow the reservoir to be operated at lower pressures. This
Cormorant has extended the field's gas plateau and allows further oil recovery as
Gas Export 36 Pipeline to St. Fergus via well as significant additional gas recovery. Interim upgrades to the
FLAGS platforms occurred prior to the main refurbishments that started in 1994.
This scheme will boost gas production to around 600 MMscf/day, by the
turn of the century utilising only the B, C and D platforms and cutting
manning levels by abut 45 per cent. to around 150. From 1997
depressurisation will take place in two phases, and will extend field life
for another 20 years.
STRATIGRAPHY AND STRUCTURE
211/29 Reservoirs in the Brent field are the Brent Group sandstones and the
9000
UNITED KINGDOM
Statfjord Formation sandstones. The Statfjord Formation is of Rhaetian to
Hettangian-Sinemurian (Triassic to Early Jurassic) age and overlies several
00
90
thousand feet of Triassic sandstones and mudstones. The Statfjord Formation
Brent
is, in turn, overlain by the Lower Jurassic offshore mudstones of the Dunlin
Group. Overlying these are the marine and deltaic sediments of the Brent
Group. The Brent Group is erosively truncated towards the crest of the Brent
3 D structure, being absent from crestal areas where Cretaceous sediments rest on
the Dunlin Group and Statfjord Formation.
8500
The Brent structure is a north-south trending fault block which dips towards
8500
the west. It is bounded to the east by a major north-south trending fault which
down throws towards the east. There is some subdivision of the field by broadly
northwest-southeast trending faults.
9000 The Brent Group represents the deposits of a northward prograding shallow
8500
8500
7 marine and deltaic complex. At the base are the medium to coarse grained,
variably pebbly sandstones of the Broom Formation. These represent stacked
OWC 9050
GOC 8575
GOC 8575
sublittoral sheet sandstones deposited in front of the advancing shallow marine
B
deltaic complex.
2
They are overlain by a major progradational shoreface sequence. The lower
part of this sequence comprises very fine to fine grained, variably argillaceous
and micaceous sandstones of the Rannoch Formation. These represent lower
A BRENT to middle shoreface sandstones. Overlying these are the coarser, cleaner
4 sandstones of the Etive Formation. These represent upper shoreface to
TOP BRENT SAND
foreshore and tidally influenced channel deposits.
DEPTH STRUCTURE The Ness Formation, which succeeds the Etive Formation, was deposited in
a delta plain setting. Distributary channel, crevasse splay, mouth bar and
0 2 km
lagoon/bay shoreface sandstones are interbedded with lagoon/bay and
(Contours in feet TVDSS) floodplain lake mudstones and coals.
At the top of the Brent Group is a sheetlike development of transgressive
and shallow marine sandstones - the Tarbert Formation. This represents the
(After Bowen)
transgression and abandonment of the Brent delta in response to Callovian
sea-level rise.
UPPER JURASSIC
8000
Pre - Statfjord
12000
0 1 km
211/29-2
REPRESENTATIVE WELL SECTION - 211/29-2
CORE
DEPTH (feet)
AGE
VF
Geometry
8850
NESS FORMATION
and K
and K of sandstones variable, locally
good.
Py Py
MIDDLE JURASSIC
Py
BRENT GROUP
S S
8950
S S Py
Geometry
Py Ribbonlike and lenticular sandbodies
stacked and coalesced into a sheetlike
sandbody.
and K
and K good to very good.
Py
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
211/29-3 211/29-1 211/29-2 3/4-1
10000
2 4
Tarbert Fm.
Brent
1000
F
1. Lower Jurassic
2. Humber Group
Ness Fm.
100
3. Dunlin Group
4. Heather Formation
5. Broom Formation
MIDDLE JURASSIC
PERMEABILITY (md.)
Brent Group
10
Etive Fm.
0
1
Rannoch Fm.
100
5 0.1
200 fe
1 3
0.01
The Broom Formation forms a sheetlike unit about 30 to 50 feet thick. Towards the base 0 10 20 30 40
of the unit there are often thin mudstones interbedded with the sandstones. Carbonate POROSITY (per cent.)
cemented horizons are relatively common. Because of these factors net to gross ratios are
variable (commonly greater than 0.5 per cent.).
The overlying Rannoch Formation varies between about 100 and 140 feet in thickness In the Broom Formation porosity and permeability are commonly
and forms a sheetlike sandbody. In the Brent field the Rannoch Formation commonly has reduced by the presence of extensive calcite cement. As a result,
net to gross ratios greater than 0.8 per cent. This reflects its relatively coarse, clean nature average porosity is commonly less than 20 per cent. whilst
(in contrast to Ninian for example). It is overlain by the Etive Formation which is a sheetlike permeability is generally less than 10 md. The overlying Rannoch
sandbody 50 to 60 feet thick. It consists of upper shoreface to foreshore sandstones which Formation is characterised by better porosity and permeability.
are locally incised by elongate, lenticular units of particularly coarse and clean tidal channel Average porosity is commonly within the range 20 to 25 per cent.
sandstones. whilst permeability is commonly greater than 50 md. Locally there
Within the Ness Formation (approximately 450 to 600 feet thick) there are a variety of are cemented horizons with severely reduced porosity and
sandbody types. The most favourable with regard to reservoir quality are distributary permeability. Porosity and permeability are often poor in the
channel, mouthbar and lagoon/bay shoreface sandstones. Channel sandstones have uppermost part of the Rannoch Formation due to an increase in mica
broadly ribbonlike geometry although lateral and vertical stacking and coalescence may and/or detrital clay content.
locally produce units with a tabular geometry. Mouth bar and lagoon/bay shoreface units Within the Etive Formation porosity and permeability are
have lenticular to sheetlike geometries. Locally, where incised by distributary channel generally good to excellent. This reflects the relatively clean, coarse
sandstones, interconnected sandbodies probably occur. However, in general, sand bodies nature of the sand body. Tidal channel sandstones display
are interbedded with and separated by laterally extensive mudstones. particularly favourable porosities (generally >30 per cent.) and
The uppermost unit of the Brent Group, the Tarbert Formation, forms a sheetlike permeabilities (often > 1000 md).
development of shallow marine sandstones approximately 70 to 100 feet thick. Within this Porosity and permeability are quite variable in the Ness
unit, two broad subunits can be distinguished: Formation, largely reflecting primary textural characteristics. In
a lower subunit comprising transgressive and tidal channel sandstones thicker distributary channel, mouthbar or lagoon/bay shoreface
an upper subunit comprising a progradational shoreface sequence. sandstones porosities are generally good to very good (20 to 25 per
cent.) and permeability is generally greater than 100 md.
FLUID PROPERTIES Within the Tarbert Formation average porosity and permeability
are generally moderate to good (porosity 15 to 20 per cent.,
Both Brent and Statfjord reservoirs contain high GOR volatile oils together with a gas permeability 100 md). However, there is commonly a good deal of
cap. Both reservoirs appear to show a compositional variation with depth. The Statfjord variation within a Tarbert Formation sequence, with the lower
reservoir also shows an unusual feature of a continuum between gas and oil phases. The transgressive/tidal channel unit having good to locally excellent
reservoir fluid changes from gas to oil without any distinct gas oil contact. average porosities and permeabilities, whilst the progradational
shoreface unit is characterised by vertical porosity and permeability
2500 2.5 0.8 profiles which increase upwards.
Statfjord B0
2000
Statfjord GOR 0.6
Brent B0
RESERVOIR PRESSURE
2.0
GOR (scf/stb)
1500
B0 (rb/stb)
Brent GOR
0.4 reservoirs within the Brent field. Both reservoirs are overpressured
1000 Brent 0 by about 1600 psi above normal hydrostatic pressure.
1.5
0.2
500 8000
Statfjord 0
0.25 psi/ft
The recovery factor in both Brent and Statfjord reservoirs is expected to be very good,
probably about 55 per cent. for the oil and 80 per cent. for the gas. This is due to the 9000
OWC @ 9050 ft TVDSS
following factors:- 0.46 psi/ft Statfjord
The high permeability, between 10 and 4000 md in the Brent reservoir and between 100 0.12 psi/ft
and 5000 md in the Statfjord reservoir GOC @ 9300 ft TVDSS
The moderate dip, about 9 degrees in both reservoirs, which assists gravity segregation
under immiscible displacement 9500 0.23 psi/ft
The favourable mobility ratio as a result of low oil viscosities
OWC @ 9680 ft TVDSS
The moderately low residual oil saturations, about 25 per cent 0.46 psi/ft
The nature of the fluid system in the Statfjord reservoir means that it is self miscible and
can be miscibly displaced by a lean injection gas. The production scheme for this
10000
reservoir uses crestal gas injection to ensure a high recovery.
5600 5800 6000 6200 6400
The planned lowering of the reservoir pressure after 1997, so maximising gas recovery
and oil recovery by way of extending the field life. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
Platform A B C D
UNITED KINGDOM
Water Depth -------------------- 459-466 ----------------------
(feet)
Brent
Platform Type steel jacket ------- concrete gravity---------
Function drilling/accommodation/production/storage
Well Slots 28 38 40 48
Wells 27 36 38 43
@@@
@
(Reproduced by permission of Shell U.K. Ltd)
PRODUCTION PERFORMANCE
HISTORICAL AND PROJECTED
500 1000
Liquid
@@@
Average Annual Daily Liquid Rate (Mbbl/day)
Net Present Value 10,167.26 4,959.18 3,323.02 2,560.94 1,976.80 1,335.14 662.68
Net Present Value (Deflated) 12,898.90 5,744.69 3,384.98 2,266.68 1,403.86 456.36 -517.73
300 600
Profit/Inv Ratio 1.66 1.37 1.17 1.04 0.91 0.73 0.46
Profit/Inv Ratio (Deflated) 0.96 0.61 0.43 0.31 0.21 0.08 -0.11
NPV/Unit Oil Equiv. 3.56 3.68 3.63 3.55 3.42 3.15 2.48
NPV/Unit Oil Equiv. (Deflated) 3.16 2.67 2.19 1.80 1.35 0.58 -0.98
@@@
Payback Year 1982 200 400
Nominal Rate Of Return % 31.59
Real Rate Of Return % 16.97
Earnings Data
LOCAL SETTING
The Britannia field is located at the southeastern end of the Witch Ground Graben associated basin margin uplift. This uplift led to the rejuvenation of sediment
UNITED KINGDOM
at the junction with the South Viking and Central Grabens. sources, either in the Fladen Ground Spur area to the north, or more likely the Witch
The reservoir is combination dip and stratigraphic closure, with sands pinching Ground Graben/Moray Firth area to the northwest. The Kopervik sandstones are
Britannia
out to the north against the Fladen Ground Spur, and dipping below the hydrocarbon localised in extent, and are thought to represent a regressive stage within the larger
water contact to the south. At the time of publication, no detailed top structure map Aptian transgression which culminated in the later deposition of the Upper
was available in published literature. Cretaceous chalk. The main seal for the reservoir are thick shale dominated
The reservoir is comprised of Lower Cretaceous Kopervik Member of the Sola sequences of the upper part of the Sola Formation. The reservoir is buried below a
Formation sands, which are Late Barremian to Late Aptian in age. The sandstone thick sequence of Upper Cretaceous chalk and Tertiary sandstones and shales.
deposition is believed to be initiated by Early Cretaceous tectonic movements and
TERTIARY
Chalk Group
UPPER CRETACEOUS
Cromer Knoll Gp
The Kopervik sandstone sequence represents deposition within an oxygenated, The Kopervik Sandstone Member comprises three informal units; the Reservoir
open marine, deep sea setting which matured into a more restricted environment. Unit at the base, which is then overlain by the shaley Hedbergella Marker, which is
Sediment was supplied via high density sand rich turbidity currents, either from the itself followed by the Ratty Unit. The Kopervik sands are generally poorly sorted,
north, northwest or a combination of the two. Turbidites flowed down sea-floor pale coloured, mainly fine to medium grained and are associated with dark grey, non-
palaeoslopes and concentrated their deposition in the seafloor topographic low in the calcareous shales. The sands show many features characteristic of deposition and
axis of the basin. Northward pinch out represents probable onlap of the sands onto deformation from high density turbidity currents. The sands are sharp based, often
the relatively high basin margin areas, where turbidite flows were uncommon and poorly sorted, often structureless, but locally with water escape structures, slump
where deposited sediment was unstable. Intervals of correlatable shale probably structures, current ripples and intraformational rip-up mudclasts.
reflect periods of quiescence in between periods of sand supply, allowing blankets of
marine shale to accumulate.
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) ROCK ( g/cc )
0 150 1.95 2.95
AGE
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT NEUTRON
(PERCENT) (md) (Inches) (Limestone units)
40 0 0.1 10000 5 25 45 -15
Marine chalky limestone forming a regionally
extensive blanket
Geometry
Sheet to lenticular geometry sands pinching
out to the north
and K
Moderate and poor in thin sands
Marine shale forming a sheet geometry,
laterally extensive unit
Geometry
CROMER KNOLL GROUP
12700
and K
Generally moderate in the sands, except
where locally cemented and argillaceous
Geometry
Sheet geometry sandstone, thinning to
the north
and K
Generally moderate in clean sands, poor
where cemented and/or muddy
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
15/29-3 15/30-2 16/26-2 16/26-9 16/27B-4Z
16/26-3 10000
4
Britannia
1
1000
PERMEABILITY (md.)
0
10
3
100 ft
1. Ratty unit
2. Hedbergella marker
3. Reservoir unit
1
4. Argillaceous unit
5. Kopervik sandstone 6
6. Unit V
The Kopervik Sandstone Member contains the deposits of a variety of gravity flow and 0.1
related facies. The section can be subdivided into three broad depositional events with a
basal part dominated by liquefied sands and slumped deposits associated with steep and
unstable slopes. The middle section is dominated by clean, high density turbidites, and the Well 16/26-3
upper part is characterised by thinly interbedded sands and shales reflecting sedimentation Well 15/30-3
from a waning sediment supply. 0.01
Within the three fold reservoir subdivision, additional sand and shale correlations can be 0 10 20 30
made, at least locally, further to subdivide the sequence. POROSITY (per cent.)
Reservoir quality is largely linked to facies type, with the best quality in the cleanest and
coarsest grained sands. However, overall the reservoir quality has been reduced to the
observed level due to a combination of deep burial and the development of a wide range of Porosity and permeability trends are principally controlled by
mineral cements and clays. As a result, reservoir quality shows a relatively restricted range primary facies variations. The liquefied sands and debris flow sands
of typically 10 to 18 per cent., and 0.1 to 10md. offer little in the way of reservoir quality material due to high detrital
The principal facies types are as follows: clay content and poor sorting. The laminated facies of the turbidites
Debris flow sands; these are rare and are possibly linked with localised fault movement offer intermediate reservoir quality sands and the cleaner turbidite
which penetrated the muddy sea bed substrate, or sediment instability on the basin floor. sands show the best reservoir quality.
Liquefied sands; these are common although their distribution is interpreted to be related However, deep burial and abundant authigenic cements and
to steep, active palaeoslopes. The sands appear grey in core due to high detrital clay clays have served to reduce the overall magnitude of reservoir
content with occasional off-white streaks which represent deformed water escape pillars. quality to that observed. Pervasive calcite and quartz cements,
High density turbidites; these represent the main reservoir quality sands and are the together with chlorite and kaolinite clays are the main cementing
most abundant sandstone facies. Detrital clay content is commonly minimal and porosities phases. Local concretionary calcite cements totally obliterate
and permeabilities are therefore optimal. These display water escape structures. porosity, but these are local effects only.
A more clay-prone facies comprises laminated sands with moderate reservoir quality and
the muddiest facies component comprises centimetre to decimetre scale interbedded sands
and shales.
The Britannia field contains a moderately rich gas condensate accumulation. There is The reservoir is slightly overpressured relative to a hydrostatic
some variation in gas properties across the field. Well 16/26-3, in the east of the field, has gradient to surface of 0.45 psi/ft. From released well data a
a dew point of 5902 psia, some 30 psi less than the initial reservoir pressure, and a gas hydrocarbon-water contact is identified at 13125 feet TVDSS,
gravity of 0.70 (air =1) whereas Well 15/30-1, in the west of the field, has a dew point of though some data suggest that different contacts may occur, and
5660 psia some 420 psi less than initial reservoir pressure.The gas expansion factor, Eg, at that there may be some field compartmentalisation.
the initial reservoir pressure is approximately 270 scf/rcf. Well condensate gas ratios varied
on test, typically in the range 60 to 120 stb/MMscf, and the field CGR is forecast to be 95
stb/MMscf at peak production. 11000
(mol %) (mol %)
GAS DEVIATION FACTOR, Z
1.1 300
N2 0.70 0.32
DEPTH (feet TVDSS)
14000
5700 5900 6100 6300 6500
CONTROLS ON RECOVERY INITIAL RESERVOIR PRESSURE (psig)
Recovery of wet gas should not be adversely affected if the field proves to be
compartmentalised providing that sufficient wells are drilled and the spacing adjusted so
that each compartment is adequately drained. Recovery factors of 70 to 75 per cent should
be possible by a process of natural depletion. The main control on the recovery will be the
degree of connectivity of the reservoir sands, both laterally and vertically. A combination of
faulting, layered shales and discrete sand bodies (turbidites) make this a highly complex
reservoir. The operator recognises this fact and has allowed for spare drilling slots should
extra wells be required to adequately drain the field.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 450
15/29a Texaco (feet)
Britannia
Platform Type steel jacket, 8 legged + remote subsea template
Function drilling/production/accommodation
Condensate Throughput
(Mbbl/day) 70
y
Condensate Export 12 x 45km spur to the Forties pipeline system
yyyy
Net Present Value (Deflated) 3,885.96 1,787.92 1,103.96 785.17 542.98 282.25 22.23
yyyy
Net Present Value 4,093.57 1,921.85 1,203.31 867.17 611.32 335.34 59.02
Net Present Value (Deflated) 2,562.57 1,135.65 661.93 439.79 270.64 88.59 -91.53
200
Profit/Inv Ratio 2.50 1.46 1.04 0.81 0.61 0.38 0.08
Profit/Inv Ratio (Deflated) 1.64 0.90 0.59 0.42 0.28 0.10 -0.12
NPV/Unit Oil Equiv. 6.67 5.86 5.11 4.52 3.87 2.80 0.75 25
NPV/Unit Oil Equiv. (Deflated) 6.07 4.77 3.78 3.04 2.25 0.96 -1.48
100
Nominal Rate Of Return % 21.66
Real Rate Of Return % 17.05
Earnings Data 0 0
Gross Revenue 10,792.37 5,364.44 3,723.51 2,972.78 2,403.48 1,783.45 1,134.83 1995 2000 2005 2010 2015 2020 2025 2030
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Corporation Tax 2,121.01 1,004.29 667.19 515.22 401.94 281.79 162.29
Capital Expenditure 1,636.18 1,312.10 1,160.46 1,073.04 994.81 892.10 752.15
Operating Costs 2,941.60 1,126.21 692.56 517.36 395.42 274.22 161.37
Gross Revenue (Deflated) 6,984.12 3,715.03 2,660.88 2,162.46 1,775.86 1,344.42 878.38
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 1,323.39 652.27 442.03 345.38 272.33 193.66 113.76
Capital Expenditure (Deflated) 1,565.18 1,264.89 1,123.15 1,041.05 967.33 870.15 737.02
Operating Costs (Deflated) 1,532.97 662.23 433.77 336.24 265.56 192.02 119.14
1993 0.0 0.0 0.0 35.0 0.0 0.0 0.0 -35.0 -45.5 0.0 0.0 0.0
1994 0.0 0.0 0.0 50.0 0.0 0.0 0.0 -50.0 -59.2 0.0 0.0 0.0
1995 0.0 0.0 0.0 165.0 0.0 0.0 0.0 -165.0 -176.6 0.0 0.0 0.0
Total To Start Of Discounting ( 1/JAN/1996)
0.0 0.0 0.0 250.0 0.0 0.0 0.0 -250.0 -281.3 0.0 0.0 0.0
1996 0.0 0.0 0.0 480.0 0.0 0.0 0.0 -480.0 -461.9 0.0 0.0 0.0
1997 0.0 0.0 0.0 416.0 0.0 0.0 0.0 -416.0 -356.4 0.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1998 135.8 0.0 23.9 243.4 0.0 0.0 0.0 -131.5 -100.3 10.6 125.0 0.0
1999 613.1 0.0 71.8 56.3 0.0 0.0 0.0 485.0 329.1 44.0 550.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 2000 628.7 0.0 74.1 35.1 0.0 0.0 0.0 519.5 313.7 41.3 550.0 0.0
2001 644.2 0.0 76.4 36.6 0.0 57.0 57.0 474.3 254.9 38.5 550.0 0.0
Pre Corporation Tax 2002 660.3 0.0 78.8 38.0 0.0 147.6 147.6 395.8 189.3 35.8 550.0 0.0
2003 676.3 0.0 81.2 39.6 0.0 158.9 158.9 396.6 168.8 33.0 550.0 0.0
Net Present Value 6,464.58 3,649.78 2,626.31 2,115.11 1,703.90 1,226.83 684.11 2004 692.8 0.0 83.8 41.2 0.0 168.4 168.4 399.5 151.4 30.3 550.0 0.0
Net Present Value (Deflated) 4,146.14 2,342.99 1,671.93 1,331.74 1,055.00 729.74 353.06 2005 711.7 0.0 86.5 0.0 0.0 176.6 176.6 448.7 151.3 28.1 550.0 0.0
NPV/Unit Oil Equiv. 10.54 9.61 8.85 8.28 7.69 6.74 5.05 2006 643.8 0.0 88.5 0.0 0.0 188.0 188.0 367.2 110.2 22.8 484.4 0.0
2007 584.2 0.0 90.9 0.0 0.0 169.5 169.5 323.8 86.5 18.8 426.6 0.0
Post Corporation Tax 2008 529.9 0.0 93.4 0.0 0.0 152.5 152.5 284.0 67.5 15.4 375.7 0.0
2009 482.3 0.0 96.3 0.0 0.0 136.3 136.3 249.7 52.8 12.9 330.9 0.0
Net Present Value 4,343.57 2,487.19 1,785.84 1,429.36 1,139.20 798.26 403.67 2010 439.1 0.0 99.5 0.0 0.0 121.6 121.6 218.0 41.0 10.8 291.4 0.0
Net Present Value (Deflated) 2,822.76 1,587.91 1,115.10 872.04 672.39 435.22 156.49 2011 399.6 0.0 102.8 0.0 0.0 107.7 107.7 189.1 31.7 9.0 256.6 0.0
NPV/Unit Oil Equiv. 7.08 6.55 6.02 5.60 5.14 4.38 2.98 2012 363.8 0.0 106.4 0.0 0.0 94.7 94.7 162.7 24.3 7.5 226.0 0.0
2013 333.4 0.0 110.3 0.0 0.0 82.5 82.5 140.6 18.7 6.6 199.1 0.0
Earnings Data 2014 305.4 0.0 114.6 0.0 0.0 71.8 71.8 119.0 14.1 5.8 175.3 0.0
2015 279.8 0.0 115.8 0.0 0.0 61.6 61.6 102.4 10.8 5.1 154.4 0.0
Gross Revenue 10,792.37 6,210.01 4,690.56 3,956.77 3,376.72 2,712.40 1,960.99 2016 256.4 0.0 117.4 0.0 0.0 53.1 53.1 86.0 8.0 4.5 136.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2017 235.2 0.0 118.9 0.0 0.0 45.1 45.1 71.2 5.9 4.0 119.8 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2018 215.4 0.0 120.4 0.0 0.0 37.8 37.8 57.2 4.2 3.5 105.5 0.0
Corporation Tax 2,121.01 1,162.59 840.47 685.76 564.70 428.57 280.44 2019 197.4 0.0 122.0 0.0 0.0 30.9 30.9 44.5 2.9 3.1 92.9 0.0
Capital Expenditure 1,386.18 1,256.50 1,191.82 1,153.06 1,117.29 1,068.52 998.03 2020 180.6 0.0 120.2 0.0 0.0 24.6 24.6 35.9 2.1 2.7 81.8 0.0
Operating Costs 2,941.60 1,303.73 872.43 688.60 555.53 417.05 278.85 2021 165.6 0.0 118.9 0.0 0.0 19.7 19.7 27.0 1.4 2.4 72.0 0.0
2022 151.8 0.0 117.2 0.0 0.0 15.2 15.2 19.3 0.9 2.1 63.5 0.0
Gross Revenue (Deflated) 6,984.12 4,300.61 3,351.94 2,878.24 2,494.96 2,044.70 1,517.85 2023 138.6 0.0 116.2 0.0 0.0 11.3 11.3 11.2 0.5 1.8 55.9 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2024 127.1 0.0 114.5 0.0 0.0 7.3 7.3 5.3 0.2 1.6 49.2 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 1,323.39 755.08 556.83 459.70 382.61 294.53 196.57 2025 0.0 0.0 280.7 0.0 0.0 -18.6 -18.6 -262.1 -8.6 0.0 0.0 0.0
Capital Expenditure (Deflated) 1,305.00 1,191.01 1,133.58 1,098.96 1,066.88 1,022.92 958.92
Operating Costs (Deflated) 1,532.97 766.61 546.43 447.54 373.09 292.04 205.87 Total 10,792.4 0.0 2,941.6 1,386.2 0.0 2,121.0 2,121.0 4,343.6 1,115.1 146.7 2,800.3 0.0
9/8b Rel. 9/9c Amoco 9/10a The Bruce field is located in Quadrant 9 approximately 350 km northeast
Total of Aberdeen in the UK Sector of the North Sea. The field was discovered in
1974 by Well 9/8a-1 and since that time over 25 wells have been drilled to
5(BP) delineate this complex structure which extends over Blocks 9/8a, 9/9b and
9/9a. It contains gas condensate in thick good quality Jurassic sands, with
minor oil in the Statfjord Formation.
The Annex B was accepted in September 1990, with start up of oil
9/9b BP 3 9/9a Total production in May 1993 and gas production in August 1993. The field is
4
3 9 developed by 2 bridge linked steel platforms on the eastern part of the field
11 (installed in May 1992), operating by simple pressure depletion.
7 9/10c
8 Rel. Phase 2 of the development was expected to be a subsea production
5 2
2 unit located in the western part of the field tied back to the Bruce production
9/8a 13 14 platform. However, good reservoir and production performance and the
Hamilton
13
12 7 6 1 current underlifting of gas by British Gas means there is no immediate need
6 for the Western Area Development (WAD) project. Therefore, the start-up
1 12 4
date has been deferred from 1997 to 1998. Further, there is a possibility that
BRUCE 10 1,1A the western area may now be developed by extended reach drilling from the
9 existing platform. Any future developments (such as WAD and the
3 exploitation of a recently discovered oil pool located in the North Central
8 area around Well A13) are likely to require modifications for handling
14
KEITH 10 additional quantities of oil.
11 9/10b
Wet gas from the field is transported to St. Fergus via the Frigg line.
15,17
9/9d Mobil Total Liquids are transported to Forties by a 24" pipeline and on to Cruden Bay.
9/13d Mobil 54 16 40 9/14a Total 9/15a A unitisation agreement between the participating companies has been
Total reached. The split of reserves between Blocks 9/8a, 9/9a and 9/9b is
LINNHE 0 4 km approximately 26:33:41.
The current interests in Blocks 9/8a, 9/9a and 9/9b in per cent. are:-
Rock Properties
Reserves
UNITED KINGDOM
Brent Group, Beryl C Formation sandstone, of Middle
Jurassic Bathonian age. These sediments overlie Dunlin 4
3750
3750
Bruce
0
sediments of the Triassic Group. The overlying sandstones
375
of the Beryl D Formation form poorer quality reservoir rocks. 3
3
Well 9/8-1 encountered 800 feet of gas condensate bearing
3500 9 3500
sands at a depth of around 12300 feet TVDSS. The structure
has a culmination more than 500 feet above this. The 0
400
3750
Heather Formation mudstones seal the reservoir. 2B
3750 13Z 8
The Bruce field is located in the Beryl Embayment close 5
3500
50
to the western margin of the South Viking Graben. Northeast 2 32
WESTERN
32
- southwest trending listric faults, sub-parallel to the margin
50
13
FLANK 7
of the East Shetland Platform and down throwing to the east CENTRAL 1
0
14
375
6
define the Beryl Embayment and dissect the Bruce field 6AZ PANEL
area.
3750
12
EASTERN
The Bruce structure is bounded by a complex 325
0
HIGH
combination of dip and fault closure. 4Z
4250
37 10 350
ENVIRONMENT 9 TOP BERYL FORMATION
DEPTH STRUCTURE
The lower part of Beryl C represents an interval of 8 9/9d 0 2 km
interbedded lagoonal back sandstones and mudstones
overlain by a unit of delta shoreline sandstones. This lower (Contours in metres)
9/8-5
Feet
W E
TERTIARY
5000
BASEMENT PALEOCENE UPPER CRETACEOUS
10000
JURASSIC
TRIASSIC
15000
Zechstein Group
20000
0 1 2 3 4 5 km
AGE
VF
12700
Geometry
Broad, sheetlike sediment body including
thin, laterally extensive mudstones.
and K
of sandstones poor to moderate, K of
sandstones very poor, locally good.
Mudstones and argillaceous horizons may
act as vertical K baffles.
12800
Geometry
Elongate, lenticular sandstones stacked and
coalesced to form sheet geometry sediment
body.
BERYL C FORMATION
and K
BRENT GROUP
Bruce
r
he
at
W He
9/8-1 1000
5
A. Heather Formation
B. Triassic Group
100
4
PERMEABILITY (md.)
E
3 9/9-2
10
A
Humber Group
2
1
TD
Beryl D
Dunlin Group 1
0
Statfjord Formation
100
Brent Group
Beryl C
Cormorant Formation 200 feet
0.1
TD
B
TD
0.01
0 10 20 30
The sediments of the Beryl C and D Formations which comprise the reservoir rocks in
POROSITY (per cent.)
the Bruce field can be subdivided into five reservoir zones based on the sedimentological
lithostratigraphic units. The basal zone corresponds to the interbedded lagoon and
backshore sediments at the base of Beryl C which occur mainly in the west of the area. The Porosities in Bruce field reservoir sandstones are generally
second zone comprises a laterally extensive sheet of delta shoreline sandstones capped by moderate to good, typically 10 to 20 per cent. Permeabilities are
a fieldwide coal or equivalent muddy horizon. commonly good, typically ranging from 10 to 2000 md.
The third zone corresponds to the principal reservoir horizon of delta shoreline The main controls on trends in porosity and permeability values
sediments and forms a relatively thick, sheetlike unit of stacked and coalesced broad, are the primary textural characteristics and hence facies. The better
elongate, lenticular sandbodies. The fourth and fifth zones, at the top of the reservoir reservoir quality sediments are the delta shoreline sandstones of
section, comprise laterally extensive units of poorer reservoir quality sandstones with minor units 2 and 3, with lower values observed in the finer grained, more
mudstones. The sediments become increasingly argillaceous towards the upper part of the argillaceous units 1, 4 and 5.
section and unit 5 may be non-reservoir over most of the area. Intervals of cleaner, coarser
sandstones in unit 4 are likely to represent lenticular sandbodies, isolated within the more
argillaceous sediments.
The Bruce field contains a rich gas condensate which probably exhibits a compositional Based on available well data, it is apparent that at least two
variation with depth. Samples from Well 9/8-7A exhibit a dew point pressure of around 5700 separate pressure regimes exist with different hydrocarbon-water
psig and a maximum retrograde liquid saturation of 17 per cent. contacts. Well 9/9-2 encountered a contact at 12418 feet TVDSS
whilst wells in the west of the field gas condensate was encountered
to at least 12864 feet TVDSS.
1.2 20
VOLUME OF RETROGRADE LIQUID (%)
1.1 15
1.0 10 9/9-2
12000
DEPTH (feet TVDSS)
0.8 0
HWC @ 12418 ft TVDSS
0 1000 2000 3000 4000 5000 6000
12500
PRESSURE (psig) 9/8-7A 0.45 psi/ft
13000
5000 5500 6000 6500 7000
CONTROLS ON RECOVERY INITIAL RESERVOIR PRESSURE (psig)
Wet gas recovery is primarily dependent upon the eventual reservoir abandonment
pressure. This is controlled by permeability which, in this geological setting, is likely to be
quite variable across a field as large as Bruce. In addition, the field is apparently
compartmentalised by faulting which may prevent efficient drainage if development well
density is insufficient. Taking these factors into account, the wet gas recovery factor for
Bruce is expected to be moderate to good.
Retrograde condensate liquid will drop out as the reservoir pressure is reduced and this
could adversely effect well productivity, although permeability is likely to be sufficiently high
to sustain adequate production rates.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth ---------------------------- 387 -------------------------
(feet)
Platforms 2 bridge linked steel jackets
Bruce
Function Production Utilities & Drilling
Accommodation
Well Slots 32
Wells 11 18
y
Liquid Export 24 x 248 km pipeline to Forties Unity Riser
yyyy
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
yyyy
Profit/Inv Ratio 1.87 1.09 0.75 0.56 0.40 0.20 -0.06
yyyy
Net Present Value 1,778.85 816.44 468.54 298.73 165.78 18.14 -134.89
Net Present Value (Deflated) 1,317.58 506.68 217.68 77.47 -31.72 -151.91 -273.71 200
Profit/Inv Ratio 1.22 0.69 0.44 0.30 0.18 0.02 -0.18
Profit/Inv Ratio (Deflated) 0.82 0.38 0.18 0.07 -0.03 -0.15 -0.32
NPV/Unit Oil Equiv. 2.74 2.25 1.75 1.35 0.90 0.13 -1.39
NPV/Unit Oil Equiv. (Deflated) 2.44 1.60 0.91 0.39 -0.19 -1.15 -2.99 25
100
Nominal Rate Of Return % 15.46
Real Rate Of Return % 11.37
Earnings Data
0 0
Gross Revenue 7,914.12 4,201.33 3,011.13 2,450.97 2,017.93 1,536.26 1,017.49
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1990 2000 2010 2020
Petroleum Revenue Tax 535.03 256.78 165.82 124.47 93.87 62.07 32.00
Corporation Tax 944.68 484.02 333.86 263.49 209.62 150.79 89.97 Year
Capital Expenditure 1,453.53 1,190.95 1,070.40 1,001.29 939.55 858.43 747.14
Operating Costs 3,202.04 1,453.14 972.51 762.99 609.10 446.83 283.26
Gross Revenue (Deflated) 6,312.55 3,544.23 2,609.74 2,157.77 1,801.57 1,396.89 948.29
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 398.17 186.76 120.15 90.16 68.05 45.11 23.40
Corporation Tax (Deflated) 737.26 387.70 270.98 215.56 172.74 125.50 75.94
Capital Expenditure (Deflated) 1,616.21 1,343.53 1,216.01 1,142.18 1,075.75 987.73 865.64
Operating Costs (Deflated) 2,243.32 1,119.57 784.92 632.39 516.75 390.45 257.02
1989 0.0 0.0 0.0 15.0 0.0 0.0 0.0 -15.0 -34.4 0.0 0.0 0.0
1990 0.0 0.0 0.0 205.0 0.0 0.0 0.0 -205.0 -403.4 0.0 0.0 0.0
1991 0.0 0.0 0.0 350.0 0.0 0.0 0.0 -350.0 -582.2 0.0 0.0 0.0
1992 0.0 0.0 0.0 465.0 0.0 0.0 0.0 -465.0 -677.1 0.0 0.0 0.0
1993 152.4 0.0 23.2 125.0 0.0 0.0 0.0 4.2 5.5 21.0 133.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1994 382.9 0.0 106.5 45.0 0.0 0.0 0.0 231.4 273.9 52.6 361.0 0.0
1995 448.8 0.0 122.0 25.0 0.0 0.0 0.0 301.8 323.0 47.7 500.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% Total To Start Of Discounting ( 1/JAN/1996)
984.0 0.0 251.7 1,230.0 0.0 0.0 0.0 -497.7 -1,094.7 44.3 362.8 0.0
Pre Corporation Tax
1996 470.2 0.0 122.4 10.0 0.0 0.0 0.0 337.8 325.1 48.7 500.0 0.0
Net Present Value 3,221.21 2,543.22 2,238.18 2,067.58 1,918.63 1,728.73 1,480.84 1997 495.4 0.0 127.3 0.0 0.0 40.2 40.2 327.9 280.9 48.7 500.0 0.0
Net Present Value (Deflated) 2,709.54 2,172.89 1,932.20 1,797.10 1,678.60 1,526.53 1,325.67 1998 515.2 0.0 132.4 10.8 0.0 98.2 98.2 273.7 208.6 48.7 500.0 0.0
NPV/Unit Oil Equiv. 5.93 6.36 6.53 6.62 6.69 6.78 6.88 1999 510.6 0.0 135.8 73.2 3.0 107.0 110.0 191.6 130.0 43.3 500.0 0.0
2000 507.7 0.0 139.4 111.3 0.0 103.9 103.9 153.1 92.5 38.5 500.0 0.0
Post Corporation Tax 2001 507.8 0.0 143.4 18.3 0.0 97.5 97.5 248.5 133.6 34.5 500.0 0.0
2002 509.2 0.0 147.7 0.0 104.9 100.7 205.6 155.8 74.5 30.9 500.0 0.0
Net Present Value 2,276.53 1,862.16 1,666.01 1,554.12 1,455.23 1,327.62 1,158.45 2003 453.3 0.0 139.9 0.0 107.9 62.0 170.0 143.4 61.1 26.7 426.4 0.0
Net Present Value (Deflated) 1,972.28 1,627.36 1,467.79 1,377.03 1,296.72 1,192.69 1,053.56 2004 403.8 0.0 133.2 0.0 85.1 58.4 143.6 127.0 48.1 23.1 363.5 0.0
NPV/Unit Oil Equiv. 4.19 4.66 4.86 4.97 5.07 5.20 5.38 2005 359.2 0.0 127.9 0.0 64.7 54.3 119.0 112.3 37.9 19.9 310.0 0.0
2006 319.9 0.0 123.4 0.0 46.2 50.1 96.3 100.2 30.1 17.2 264.3 0.0
Earnings Data 2007 285.1 0.0 119.7 0.0 29.4 46.1 75.5 89.9 24.0 14.9 225.4 0.0
2008 254.1 0.0 117.0 0.0 14.0 42.4 56.4 80.7 19.2 12.9 192.2 0.0
Gross Revenue 6,930.11 4,867.76 4,079.74 3,670.48 3,329.96 2,916.96 2,410.56 2009 226.1 0.0 114.9 0.0 76.0 29.5 105.4 5.8 1.2 11.1 163.9 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2010 200.7 0.0 113.6 0.0 45.8 16.4 62.2 24.9 4.7 9.5 139.7 0.0
Petroleum Revenue Tax 535.03 361.31 284.19 242.56 207.52 165.12 114.68 2011 179.5 0.0 112.8 0.0 35.3 12.9 48.2 18.6 3.1 8.3 119.2 0.0
Corporation Tax 944.68 681.06 572.17 513.46 463.39 401.11 322.39 2012 159.9 0.0 112.6 0.0 25.5 9.9 35.4 11.9 1.8 7.2 101.6 0.0
Capital Expenditure 223.53 184.32 165.10 153.75 143.42 129.61 110.33 2013 142.4 0.0 108.7 0.0 18.1 7.0 25.1 8.6 1.1 6.2 86.6 0.0
Operating Costs 2,950.34 1,778.91 1,392.27 1,206.58 1,060.39 893.50 704.72 2014 126.5 0.0 104.8 0.0 12.0 4.9 16.9 4.8 0.6 5.3 73.9 0.0
2015 113.5 0.0 101.4 0.0 7.0 3.1 10.1 2.1 0.2 4.7 63.0 0.0
Gross Revenue (Deflated) 5,283.18 3,894.46 3,341.07 3,046.94 2,798.07 2,490.43 2,103.07 2016 100.7 0.0 98.4 0.0 2.1 1.7 3.7 -1.4 -0.1 4.0 53.7 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2017 89.2 0.0 89.1 0.0 0.3 0.1 0.4 -0.3 -0.0 3.4 45.8 0.0
Petroleum Revenue Tax (Deflated) 398.17 262.79 205.92 175.70 150.44 120.00 83.85 Remain
Corporation Tax (Deflated) 737.26 545.54 464.41 420.07 381.88 333.84 272.11 2018 0.0 0.0 284.4 0.0 -142.2 -1.8 -144.0 -140.4 -10.4 0.0 0.0 0.0
Capital Expenditure (Deflated) 195.00 161.15 144.54 134.72 125.79 113.83 97.13
Operating Costs (Deflated) 1,980.47 1,297.64 1,058.41 939.42 843.24 730.07 596.42 Total 6,930.1 0.0 2,950.3 223.5 535.0 944.7 1,479.7 2,276.5 1,467.8 170.7 2,237.2 0.0
Fluid Properties The Buchan field is located in the Outer Moray Firth Basin. The
reservoir occurs in a horst block of the Devonian Old Red Sandstone
Oil Gravity (API) 33 underlying Lower Cretaceous formations. Buchan is the only field in the
Gas/Oil Ratio (scf/stb) 330 area producing from the Devonian. To the northwest are situated
Bubble Point Pressure, Pb (psig) 1350 several Jurassic fields in the Witch Ground Graben: Claymore, Piper
Formation Volume Factor at Pi (rb/stb) 1.20 and the Tartan group of fields. To the southeast the Forties field
Oil Compressibility (vol/vol/psi) 10 x 10-6 produces from the Paleocene Forties Formation.
Original Reservoir Pressure, Pi (psig) 7650
At Datum Depth of (ft TVDSS) 10000
Reservoir Temperature (F) 222
Rock Properties
Reserves
Production
FIELD DESCRIPTION
Water depth (feet) 387
Production Start Date May 1981 Buchan produces from Devonian sandstones developed within a
Peak Production (Oil) (stb/day) 32000 horst block bounding the southern margin of the Buchan Graben. The
Platform(s) Semi-Submersible reservoir occurs within alluvial plain deposits of Late Devonian age and
Number of Wells - Producers 5 up to 1500 feet in thickness. Porosity is low but the reservoir is highly
Subsea Satellite Producers 5 fractured and macroscopic permeabilities are much higher than those of
Oil and NGL Export Pipeline to Forties the matrix sandstone. The reservoir contains a black oil of moderate
Gas Export viscosity. Production start-up from the Buchan Alpha floating production
facility occurred in 1981 to a single buoy mooring with oil export by
tanker. This was superceded in 1986 by the installation of a 54 km
pipeline to Forties.
The recovery mechanism benefits from replenishment of the
fractures from the lower permeability matrix. A gas lift programme was
initiated in 1985 in order to maintain production levels.
Another accumulation, North Buchan, was discovered by Well
21/1a-12. Further appraisal is required to determine its size and
reserves.
To date some 90 per cent. of the Buchan reserves have been
produced.
STRATIGRAPHY AND STRUCTURE 20/5a 21/1a
UNITED KINGDOM
PRT FENCE
fractured Devonian sandstones which are referred to
as the Buchan Formation of the Upper Old Red
31
Buchan
Sandstone Group. These sediments are of 00 00 3400
33 OW
C3
uppermost Devonian age (upper Famennian to lower 165 3300 340
11 0
Tournaisian). 0
34
00 300 320 13 3200
3 0
Structurally the field is developed within a horst 270 3100
2800
block which bounds the southern margin of the 4 A
6
00 00
Buchan Graben. Definition of the structure began 00 32 31 1 7ST 2ST 3
3200
34
2900
2700
00
0
during the Oxfordian and it continued to be active into 33
300
1 14
3100
2900
3000
the Cretaceous. As a result, the Upper Devonian 00
28
10 270
0 31
00
9
Buchan Formation is draped by a thin sequence of
3200 30 3400
Lower Cretaceous and locally thin Kimmeridge Clay 8 00 00
31
31
00
Formation mudstones, which seal the reservoir. 0
310
00
34
00
3300
OWC 3165
33
SEDIMENTOLOGY AND DEPOSITIONAL 3200
ENVIRONMENT
POST PALEOCENE
2000
4000
PALEOCENE
6000
10000 DEVONIAN
(Buchan Formation)
LOWER CRETACEOUS
12000
Kimm. Clay Fm.
n
Formatio
14000 Heather
Piper/Sgiath Fm.
DEPTH (feet)
DENSITY
(API Units) ROCK ( g/cc )
DESCRIPTION 0 150 1.95 2.95
CLAY
AGE
VF
B C P 40 0 0 10000 5 25 45 -15
Geometry
9800
M
21/1-6 Lenticular to sheetlike sand units stacked
and coalesced to form thick, sheet
geometry sediment body, including thin,
frac. laterally impersistent mudstones.
rubble and K
poor to moderate, becoming moderate
in lower part.
K generally very poor to poor. Mudstones
UPPER OLD RED SANDSTONE GROUP
frac.
rubble
10000
frac.
rubble
(
)
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
10000
Buchan
1000
Ephemeral lake
Minor mudstone in mudstones
channel tract
100
PERMEABILITY (md.)
10
Stacked sheetflood
Stacked channel fill sandstones
sequences
The alluvial plain sediments of the Buchan Formation form a thick, sheetlike sediment 0.1
1.35 B0
1.25
B0 (rb/stb)
0 (cp)
1.15
8000
8500
9000
DEPTH (feet TVDSS)
0.34 psi/ft
9500
Buchan is being produced by primary depletion, a relatively efficient process by normal OWC @ 10380 ft TVDSS
standards due to the high degree of original over-pressure. Adequate well productivity is 10500
provided by the well distributed fracture system and it appears that productivity has been 0.478 psi/ft
sustained as reservoir pressure drops, implying no significant closure of fractures.
The oil production rate has declined less rapidly than originally anticipated. This is 11000
6500 7000 7500 8000 8500
probably due to some degree of aquifer pressure support, and/or a higher oil initially in place
than currently mapped. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
A Platform
Buchan
Water Depth 387
(feet)
Platform Type converted semi-submersible
Function production/accommodation
Displacement 19300
(tonnes)
Accommodation 112
Subsea Template:
Well Slots 8
Wells 4 on template + 5 subsea
Net Present Value 569.95 336.55 246.22 199.64 161.35 115.96 63.03
Net Present Value (Deflated) 725.42 379.50 244.74 175.15 118.02 50.52 -27.18
Net Present Value 329.11 190.50 135.53 106.87 83.16 54.83 21.53
Net Present Value (Deflated) 358.81 151.45 69.79 27.49 -7.25 -48.22 -94.99
Profit/Inv Ratio 1.00 0.70 0.56 0.47 0.39 0.28 0.13
Profit/Inv Ratio (Deflated) 0.43 0.21 0.11 0.05 -0.01 -0.09 -0.20
NPV/Unit Oil Equiv. 2.99 2.92 2.73 2.56 2.34 1.94 1.08 10
NPV/Unit Oil Equiv. (Deflated) 2.15 1.44 0.85 0.39 -0.12 -0.98 -2.65
Earnings Data
0
Gross Revenue 1,596.78 998.56 778.61 667.02 575.90 467.99 340.79 1980 1985 1990 1995 2000 2005
Royalty 128.10 80.74 63.01 53.95 46.52 37.70 27.26
Petroleum Revenue Tax 23.03 16.12 13.14 11.51 10.11 8.37 6.18 Year
Corporation Tax 240.84 146.06 110.69 92.76 78.20 61.13 41.51
Capital Expenditure 330.00 271.00 243.48 227.62 213.42 194.74 169.17
Operating Costs 531.41 282.86 202.90 165.28 136.22 103.94 69.20
Gross Revenue (Deflated) 2,556.18 1,682.55 1,344.37 1,168.06 1,021.28 843.68 628.20
Royalty (Deflated) 205.05 134.89 107.47 93.13 81.18 66.71 49.17
Petroleum Revenue Tax (Deflated) 40.46 28.42 23.22 20.36 17.91 14.85 11.00
Corporation Tax (Deflated) 366.61 228.06 174.96 147.66 125.27 98.74 67.80
Capital Expenditure (Deflated) 836.67 705.93 643.29 606.63 573.42 529.14 467.29
Operating Costs (Deflated) 717.93 409.56 304.48 253.39 212.96 166.79 115.13
ECONOMIC INDICATORS FROM 1/1/1996 1977 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -155.0 0.0 0.0 0.0
1978 0.0 0.0 0.0 50.0 0.0 0.0 0.0 -50.0 -618.2 0.0 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1979 0.0 0.0 0.0 75.0 0.0 0.0 0.0 -75.0 -792.4 0.0 0.0 0.0
1980 0.0 0.0 0.0 65.0 0.0 0.0 0.0 -65.0 -560.9 0.0 0.0 0.0
Pre Corporation Tax 1981 188.4 7.7 15.0 50.0 0.0 0.0 17.4 105.9 718.5 28.0 0.0 0.0
1982 152.7 16.6 25.0 5.0 0.0 0.0 20.8 101.9 571.3 22.0 0.0 0.0
Net Present Value 0.56 3.81 5.23 6.02 6.69 7.52 8.53 1983 233.0 18.8 30.0 5.0 14.5 0.3 33.9 164.1 785.0 32.0 0.0 0.0
Net Present Value (Deflated) 3.34 5.85 6.94 7.53 8.03 8.64 9.36 1984 150.5 18.4 35.0 25.0 3.4 79.0 100.7 -10.3 -43.6 18.0 0.0 0.0
NPV/Unit Oil Equiv. 0.06 0.42 0.61 0.72 0.83 0.99 1.21 1985 135.7 11.8 40.0 20.0 0.0 38.0 49.8 25.9 96.7 17.5 0.0 0.0
1986 83.0 8.1 20.0 15.0 4.2 30.0 42.3 5.8 18.8 23.0 0.0 0.0
Post Corporation Tax 1987 86.4 5.4 32.1 10.0 1.0 16.1 22.5 21.8 63.6 21.0 0.0 0.0
1988 62.1 3.7 33.1 0.0 0.0 14.6 18.3 10.7 28.2 20.0 0.0 0.0
Net Present Value -7.74 -4.09 -2.42 -1.49 -0.67 0.38 1.72 1989 48.7 2.6 28.7 0.0 0.0 7.4 10.0 9.9 22.8 12.0 0.0 0.0
Net Present Value (Deflated) -4.79 -1.87 -0.54 0.20 0.85 1.67 2.72 1990 86.7 5.4 32.0 0.0 0.0 4.5 9.9 44.9 88.3 18.0 0.0 0.0
NPV/Unit Oil Equiv. -0.77 -0.45 -0.28 -0.18 -0.08 0.05 0.24 1991 70.9 6.8 30.2 0.0 0.0 15.0 21.9 18.9 31.4 17.0 0.0 0.0
1992 51.7 4.9 27.6 0.0 0.0 10.8 15.7 8.4 12.3 13.0 0.0 0.0
Earnings Data 1993 45.5 3.8 25.0 0.0 0.0 6.1 9.8 10.7 13.9 11.0 0.0 0.0
1994 45.2 3.7 23.4 0.0 0.0 5.2 8.8 13.0 15.4 12.0 0.0 0.0
Gross Revenue 121.45 109.08 102.74 98.89 95.30 90.38 83.19 1995 34.7 3.3 20.4 0.0 0.0 5.6 8.9 5.4 5.8 9.0 0.0 0.0
Royalty 6.98 6.61 6.40 6.26 6.13 5.93 5.63 Total To Start Of Discounting ( 1/JAN/1996)
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1,475.3 121.1 417.5 330.0 23.0 232.5 391.0 336.8 301.7 99.8 0.0 0.0
Corporation Tax 8.30 7.89 7.66 7.51 7.36 7.14 6.81
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1996 30.4 2.6 19.3 0.0 0.0 3.6 6.1 5.0 4.8 7.6 0.0 0.0
Operating Costs 113.91 98.66 91.10 86.60 82.48 76.92 69.03 1997 27.5 2.2 18.9 0.0 0.0 2.7 4.9 3.7 3.2 6.4 0.0 0.0
1998 24.2 1.8 18.7 0.0 0.0 2.0 3.9 1.6 1.2 5.4 0.0 0.0
Gross Revenue (Deflated) 113.53 102.35 96.60 93.10 89.84 85.36 78.81 1999 20.9 1.4 18.6 0.0 0.0 1.2 2.6 -0.2 -0.1 4.5 0.0 0.0
Royalty (Deflated) 6.82 6.44 6.23 6.09 5.96 5.76 5.46 2000 18.4 1.1 17.1 0.0 0.0 0.3 1.4 -0.1 -0.1 3.8 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 8.13 7.72 7.48 7.33 7.18 6.97 6.64 2001 0.0 -2.2 21.3 0.0 0.0 -1.5 -3.6 -17.7 -9.5 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 103.37 90.06 83.43 79.48 75.86 70.96 63.99 Total 121.4 7.0 113.9 0.0 0.0 8.3 15.3 -7.7 -0.5 10.1 0.0 0.0
1 2,2a
1
5 44/28b
44/26c Amoco 44/28c Lasmo Shell
Fluid Properties The Caister field is located in the Silverpit Basin area of the Southern
Bunter Carboniferous North Sea Gas Basin and contains gas in both the Triassic Bunter
Gas Gravity S.G.(air=1) 0.625 0.696 Sandstone and the Carboniferous Westphalian horizons. The nearest
Condensate Gas Ratio (bbl/MMscf) 1.6 20 producing gas fields, other than the nearby Murdoch field, are the
Gas Expansion Factor (vol/vol) 135 285 Esmond Complex, some 60 km to the northwest, which produces from
Reservoir Pressure, Pi (psig) 2048 6155 the Triassic Bunter sandstone, and the Rotliegendes Ravenspurn and
at Datum Depth of (ft TVDSS) 4363 12000 Ann/Audrey fields which lie some 90 km to the west and 50 km to the
Reservoir Temperature (F) 130 235 south respectively. The Markham field lies approximately 50 km to the
southeast and also contains gas in the Rotliegendes. The Murdoch field
Rock Properties is located just to the northwest of Caister and contains gas in the
Carboniferous but not in the Triassic.
Rock Type Sandstone Sandstone
Stratigraphic Unit Bunter Sandstone Fm Westphalian B Fm
Geological Age Early Triassic Carboniferous
Porosity Range (per cent.) 10 to 35 5 to 16
Permeability Range (md) 1 to 1000 0.1 to 100
Connate Water Saturation (per cent.) 20 30
Lowest Tested Gas (ft TVDSS) 4484 12084
Highest Gas (ft TVDSS) 4357 11905
Gas Water Contact (ft TVDSS) 4545 12105
FIELD DESCRIPTION
Reserves
The Caister field structure at the Triassic reservoir horizon is a
Total Gas Reserves (Bcf) -------------------------- 300 --------------------------- northwest-southeast elongated dome that is dip closed. The Bunter
Est. Gas Production to 31.12.95 (Bcf) --------------------------- 83 ---------------------------- reservoir interval comprises a sequence of interbedded sandstones,
Remaining Gas Reserves (Bcf) -------------------------- 217 --------------------------- siltstones and claystones deposited in a distal braidplain environment.
Seal is provided by the overlying Haisborough Group shales. Porosity
Production and permeability values are good. The gas held in the Bunter sediments
is dry with a high nitrogen content. No condensate was recovered. The
Water Depth (feet) 141 discovery well, 44/23a-1, was abandoned due to a blow out after testing
Production Start Date October 1993 the Bunter horizon and Well 44/23a-2 was drilled to plug the well. The
Peak Gas Production (yrly average) (MMscf/day) 120 in 1995 reservoir exhibits some depletion as a result of this blow out and
Platforms 1 not normally manned therefore shows a shift in the position of the gas water contact.
steel jacket The Carboniferous structure is a faulted northwest to southeast
Number of Wells 8 (including one appraisal well) trending anticline which exhibits both dip and fault closure. The
Gas Export Pipeline to Theddlethorpe structure lies on the same structural trend as the Murdoch field. The gas
bearing horizons are fluvial sediments of early Westphalian 'B' age and
the main reservoir horizon is termed the Caister Sand. The Caister
Sand is probably a laterally impersistent equivalent of the Murdoch
Sandstone, which forms the reservoir in the Murdoch field. Top reservoir
seal is provided by the shales of the Permian Silverpit Formation.
Porosity and permeability values are moderate. The Carboniferous
structure contains a wet gas with a moderate nitrogen content and
minor condensate.
The field consists of a single, not normally manned platform, with a
10 slot capacity. Eight wells have been drilled including one appraisal
well. Conoco (UK) Ltd have invested in development of a new
compressor or platform to boost capacity and this is anticipated in the
late 1990's. The field is part of the Caister Murdoch system (CMS) and
gas is exported by pipeline to Theddlethorpe.
CAISTER CAISTER
44/23b TOP BUNTER SAND 44/23b TOP CAISTER SAND
UNITED KINGDOM
DEPTH STRUCTURE DEPTH STRUCTURE
00
0 2 km 0 2 km
39
Caister
0
380
36
(Contours in metres) (Contours in metres)
00
4
4
37
00
7 7 370
0
3800
19
00
18
00
36
17
00
00
16
2 9
2
00
15
1 6
00
9 1
14
6
00
3
37
3
00
40
00
38
00
38
5
00
14
5
00
39
15
00
39
00
16
00
00
17
00
18
4000
00
38
00
44/23a 44/23a
(After Ritchie JS & Pratsides P, 1986) (After Ritchie JS & Pratsides P, 1986)
The Caister field Carboniferous structure lies on the same structural trend as the Below the reservoir horizon lies the Bunter Shale Formation which overlies
Murdoch field. The strike slip faulting that generated the structural trap is interpreted the Permian Zechstein evaporites and Rotliegendes Group Silverpit Formation
as being of early Permian age and is oriented in a northwest-southeast trend, shales.
following a secondary Hercynian alignment. The structure shows a complex It is thought that the Bunter sandstone trap was charged by gas from the
combination of dip and fault closure. It is principally dip closed to the southwest and Carboniferous Coal Measures Group via a salt evacuation 'window' in the Zechstein
fault closed against a major reverse fault to the northeast. The anticline is faulted Group approximately 10 km east of the structure. The structure is not full to spill.
along its major axis (NW/SE) although the displacement still allows reservoir The Carboniferous gas bearing horizons are fluvial sediments of early
communication. The area of closure covers some 6 km2 and the centre of the Westphalian 'B' age. A single stacked sand body approximately 90 feet thick forms
accumulation is offset approximately 2 km to the northwest from the overlying the main reservoir horizon and is termed the Caister Sand. Correlation is facilitated
Triassic structure. The Triassic structure is a dip closed domal anticline elongated in by the presence of a strongly developed lower Westphalian 'B' coal horizon which
a northwest-southeast orientation and shows an area of closure of some 15 km2. It lies above the Caister Sand unit. Potential exists for other gas bearing sandstones
takes its shape from an underlying non-piercing salt swell. No significant faulting is in the Westphalian 'B' sequence although none have been encountered which are as
developed at this level. laterally extensive as the main sand horizon. Lateral seals to sandstone units are
The Triassic gas is encountered in the fluvial distal braidplain sediments of the provided by interformational Westphalian claystones.
Bunter Sandstone Formation of the Bacton Group. The cap rock is provided by the The shales of the Silverpit Formation form the cap rock to the Carboniferous
overlying conformable Haisborough Group shales and evaporites. The structure reservoir which subcrops below the Rotliegendes Group at the Hercynian
shows a total gas column of approximately 200 feet although the overall thickness of Unconformity surface.
the Bunter Sandstone is 500 feet.
DEPTH (feet)
CORE CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
DESCRIPTION 0 150 ROCK 1.95 2.95
AGE
CLAY
VF
HAISBOROUGH GROUP
DOWSING FORMATION
sheetfloods
4500
Geometry
Sheetlike sandbodies
UPPER MEMBER
and k
Variable but generally good. Halite cement
influences distribution
44/23a-3
4550
4600
Distal braid plain dominated by medial
sheetflood
Geometry
BUNTER SANDSTONE FORMATION
and k
Variable but good to excellent
4700
proximal sheetfloods
4750
Geometry
Laterally extensive sheetlike sand body
and k
Variable but generally good
4800
LOWER MEMBER
4850
4900
BUNTER SHALE
MURDOCH CAISTER
44/21-1 44/22a-3 44/22a-1 44/23a-2 44/23a-1 44/24-1
Feet W E
Caister 0
TERTIARY
roup
5000 Haisb orough G
TRIASSIC stone
r Sand
Bunte
ale
Bunter Sh
S
EROU
DEPTH (feet)
CORE CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
DESCRIPTION 0 150 ROCK 1.95 2.90
AGE
CLAY
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT NEUTRON
VC
VF
(PERCENT) (md) (Inches) (Limestone units)
B C P
M
C
F
40 0 0.1 10000 5 25 45 -15
CARBONIFEROUS
12450
WESTPHALIAN 'B'
Channel abandonment with coal (horizon)
Stacked fluvial sandstone complex with
CAISTER SAND
minor overbank sediments
Geometry
Tabular sand unit comprising incised fining
upwards cycles with localised
sheet like overbank sandy siltstones.
12500
and k
generally moderate, locally poor.
k variable but generally moderate Both
and k decrease towards top of fining
upwards sequences
Inter-channel delta plain muds
fines upwards. Patchy calcite, anhydrite and halite cements are present,
particularly in the upper parts of the formation.
The Carboniferous reservoir interval comprises a sequence of
sandstones, siltstones, claystones and coals that were deposited in an upper
Lower Member
well developed coal at the top of the Caister Sand unit. Underlying the
stacked channel unit is a laterally extensive horizontally laminated,
TD
argillaceous siltstone unit of Westphalian 'A' age that is interpreted as a
TD shallow water lacustrine deposit. Close to the base of this unit is a
correlatable coal horizon. This gross sediment package correlates with the
NON-SCALE NON-SCALE sequence observed in the Murdoch field. Above the Caister Sand are two
SECTION SECTION
thinner stacked channel units that developed during subsequent periods of
sediment influx that were less protracted than the Caister Sand unit event,
and have formed less laterally extensive sandstone units.
0
50 RESERVOIR GEOLOGY
100 feet
The available well data for the Bunter Sandstone interval indicate
Her
cyn
ian excellent lateral continuity of the depositional units. The sequence as a
Unc
onfo
rmit
whole shows a thickness of approximately 500 feet. An overall large scale
y lower, middle and upper Bunter subdivision can be made on the basis of
Permian
respectively. The Caister Sand probably extends over the entire area of
closure of the structure whilst the upper sand body is interpreted as being of
a more restricted lateral extent. Both these bodies are thickest in the region
of Well 44/23-7 and thin to the southeast. Potential exists for the presence of
other channel sand units. Thinner sandstone bodies such as levees and
crevasse splay sediments will show very restricted lateral development and
Caister Sand
Westph. 'A'
Westphalian 'A' Coal exhibit poor reservoir potential. The overall sequence, excluding the Caister
Sand unit, shows a complex reservoir architecture resulting in poor
connectivity between sand bodies.
POROSITY - PERMEABILITY CHARACTERISTICS
Porosity values in the Bunter sequence as a whole are good (10 to 35 per cent.) Porosity values in the Carboniferous stacked channel sandstone reservoir units
UNITED KINGDOM
and average approximately 20 per cent. Permeability values are also good (1 to over are poor to moderate (5 to 16 per cent.) and average approximately 12 per cent.
1000 md) and average approximately 100 md. Values are dependent both upon Permeability values are poor to moderate (0.1 to 100) and average approximately 5
primary depositional textures and subsequent development of diagenetic cements md. The Westphalian reservoir intervals show a complex pore development history
Caister
and pore filling clays. The presence of halite cements in the Bunter Sandstone and porosity is expected to be mostly mouldic secondary generated by labile grain
Formation results in the requirement for special core treatment to generate valid dissolution. Overbank and inter channel sediments are of non-reservoir quality.
results. Gas in the reservoir partly halted halite porosity occlusion, and the GWC
interface produces a seismic DHI (direct hydrocarbon indicator) as a result.
10000 10000
Bunter Carboniferous
1000 1000
100 100 +
+
++ +
+
+
PERMEABILITY (md.)
PERMEABILITY (md.)
+ + +
+ +
+ + ++
10 + ++
10 + +
+ +
+ ++ +
++
++
+ + ++
+ +
+
+ ++ +
1 1 + +++ + ++
+
+ ++ +
+ +
+
+ +++ + ++
+ +
+ +++ +
0.1 + +
0.1
44/23a-1
+ +
+
44/23a-3 +
+ +
44/23a-5
0.01 0.01
0 10 20 30 40 0 10 20 30
RESERVOIR PRESSURE
Initial reservoir pressure prior to the Well 44/23a-1 blow-out in the Bunter this horizon will behave as two separate pressure regimes.The reservoir appears to
reservoir is indicated by DST data from Well 44/23a-1 and was 2184 psig at a datum have been overpressured by approximately 220 psi at original reservoir conditions,
depth of 4363 feet TVDSS. Reservoir pressure at this depth is 2048 psig from based on a pressure gradient of 0.45 psi/ft.
interpretation of RFT data and indicates a pressure loss of 136 psig. Pressure Pressures from RFT and DST data in the Carboniferous interval indicate a gas
discontinuity is observed within the middle Bunter horizons across the sealing shale water contact at a depth of 12105 feet TVDSS. Reservoir pressure is 6155 psig at a
unit as a result of the blow-out. Residual gas saturations below the RFT defined datum depth of 12000 feet TVDSS. Some uncertainty exists concerning the
contact at 4545 feet TVDSS suggest that the contact has elevated by at least some continuity of this contact over the area of closure. The Carboniferous reservoir is
29 feet in response to the blow-out related pressure depletion. The middle Bunter overpressured by approximately 700 psi, based on a pressure gradient of 0.45 psi/ft.
shale horizons that are present at the base of the gas leg in the crestal areas of the
structure are permeability barriers and suggest that the reservoir above and below
Bunter Carboniferous
4300 11800
136 psi
4450
4500
4650 13000
2000 2050 2100 2150 2200 5800 6000 6200 6400 6600
INITIAL RESERVOIR PRESSURE (psig) INITIAL RESERVOIR PRESSURE (psig)
Bunter Carboniferous
Z factor
1.10 0.03
Viscosity Viscosity
0 (cp)
0 (cp)
0.95 0.015
1.00 0.02
FLUID PROPERTIES
The Bunter accumulation gas is a dry gas with negligible condensate and a high
nitrogen content. Gas viscosity is 0.016 cp. The Carboniferous gas is a wet gas with a
moderate condensate ratio and moderate nitrogen content. The viscosity is 0.028 cp.
Bunter Carboniferous
Composition 44/23a-3 44/23a-5
(mol. %)
CONTROLS ON RECOVERY
Recovery from the Bunter interval above the present gas water contact is Recovery from the Carboniferous interval is also expected to be moderate. The
expected to be moderate, in the region of 80 per cent. Some additional gas may be main controls on recovery are:
recovered from the interval between the present gas water contact and the pre blow- poor to moderate reservoir quality
out contact. Ultimate recovery depends upon the following: good internal communication within the sand unit facilitates recovery by
common good permeabilities in sheetlike sandstone units depletion
water influx drive, facilitated by simple unfaulted domal structure, as evidenced restricted aquifer volume resulting from the fault bounded nature of the structure
by the rise in gas water contact following the blowout of Well 44/23-1 capacity for installation of compression facilities - anticipated in the late 1990s
presence of laterally continuous sheetlike, impermeable mudstone at base of the
gas bearing interval
installation of compression facilities - anticipated in the late 1990s
the potential for trapped gas mobilisation below the current gas water contact
FACILITIES SPECIFICATIONS
UNITED KINGDOM
CAISTER (feet)
PLATFORM SCHEMATIC Platform Type 4 leg steel jacket
Caister
Function Production
Net Present Value 275.98 205.10 165.66 140.27 115.43 78.87 18.85
Net Present Value (Deflated) 231.05 162.91 124.30 99.15 74.32 37.37 -24.31
Profit/Inv Ratio 1.38 0.88 0.65 0.52 0.41 0.26 0.05
Net Present Value 182.68 128.21 96.57 75.73 54.97 23.81 -28.79
Net Present Value (Deflated) 149.67 95.29 63.26 41.96 20.59 -11.76 -67.06 50
Profit/Inv Ratio 0.91 0.55 0.38 0.28 0.19 0.08 -0.08
Profit/Inv Ratio (Deflated) 0.68 0.37 0.23 0.14 0.07 -0.03 -0.17
NPV/Unit Oil Equiv. 3.65 2.83 2.24 1.80 1.34 0.60 -0.76
NPV/Unit Oil Equiv. (Deflated) 3.20 2.22 1.53 1.04 0.52 -0.30 -1.79
25
Nominal Rate Of Return % 17.28
Real Rate Of Return % 13.91
Earnings Data
0
Gross Revenue 610.20 542.71 512.82 496.20 481.78 463.59 440.54 1990 1995 2000 2005 2010
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Corporation Tax 93.29 76.89 69.09 64.55 60.46 55.07 47.64
Capital Expenditure 200.00 232.51 253.77 268.71 284.28 308.87 353.24
Operating Costs 134.22 105.10 93.39 87.22 82.07 75.85 68.45
Gross Revenue (Deflated) 562.19 509.28 485.78 472.71 461.39 447.15 429.28
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 81.38 67.62 61.03 57.19 53.72 49.12 42.76
Capital Expenditure (Deflated) 219.61 255.55 279.07 295.60 312.84 340.06 389.24
Operating Costs (Deflated) 111.53 90.83 82.41 77.96 74.23 69.72 64.34
These cash flows include Caister Carboniferous and Caister Bunter ring fences only
14/13 Rel. 14/14a Texaco 14/15a Texaco 14/15b SUMMARY
1 Rel.
4
The Claymore and Scapa fields are located in Quadrant 14,
2
1 approximately 180 km northeast of Aberdeen, in the Outer Moray Firth. The
Claymore field was discovered by Well 14/19-2 in 1974 which encountered
3 oil in the Upper Jurassic, Claymore Sandstone Member and the Lower
Cretaceous Spey Sandstone Formation. Subsequent appraisal showed the
field to extend into Block 14/20. The Scapa field was discovered by Well
14/18a 14/19 Elf-Enterprise 14 14/20 Texaco 14/19-9 in 1975 encountering oil in the Lower Cretaceous, Spey Sandstone
Elf-Ent. 16
WEST 8 Formation.
CLAYMORE NORTH
23 B Development of Claymore began in 1976 with one steel platform, with
29
6A,7 first oil production in November 1977. Scapa was developed using a subsea
24 17 template tied back to the Claymore platform in 1986. First production from
19 23
CLAYMORE Scapa via a deviated well from Claymore was in September 1985. In mid
3 1
A 4 1995, the new Claymore Accommodation platform was installed in order to
WEST 5 2 24 replace facilities on the existing production platform. This provides
25,28 4
SCAPA 15 temporary safe refuge in line with recent UK offshore safely regulations, as
18,20 19 SOUTH 20 recommended in the Cullen report. It also provides accommodation for 250
6 8 22 9 17 and is linked to the production platform via 100m connecting bridge.
HIGHLANDER 8 Further subsea templates were installed in the north and south of the
SCAPA 26
12,13, Claymore field proper, for water injection purposes. The North Template
14/18b Rel. 11 14,15 also acts as a manifold to remotely completed subsea injectors.
12,12A
5 The current interests in the Claymore and Scapa fields in per cent. are:-
30
18,21,28 CLAYMORE SCAPA
D PROSPECT
10
27 10 Elf Enterprise Caledonia Ltd * 23.40 36.50
1,16
0 4 km
PETRONELLA Texaco Britain Ltd 17.70 23.50
2
11
Union Texas Petroleum Ltd 20.00 20.00
Lasmo (TSP) Ltd 20.00 20.00
Atlantic Resources (UK) Ltd 0.50
AGIP (UK) Ltd 2.50
Croft Exploration Ltd 0.69
Brabant Oilex Ltd 1.00
DNO Offshore Ltd 1.00
DSM Energy (UK) Ltd 5.00
Ranger Oil (UK) Ltd 4.19
Total Oil Marine plc 0.60
Sands Petroleum 3.43
operator *
RESERVOIR CHARACTERISTICS
Note: all percentages rounded to two decimal places
Fluid Properties CLAYMORE* SCAPA
* Jurassic fluid and rock properties illustrated for Claymore The Claymore and Scapa fields comprise four tilted fault-blocks - three
within the Claymore field, and one in the Scapa field. There are four oil-
Reserves bearing horizons, of which two are of good reservoir quality and contain the
majority of the reserves. The Upper Jurassic Claymore Sandstone member
Total Oil Reserves (MMstb) 560 90 is the main reservoir sand in the Claymore field, where porosities and
Est. Production to 31.12.1995 (MMstb) 427 74 permeabilities are moderate to good. The Cretaceous Spey Sandstone
Remaining Oil Reserves (MMstb) 133 16 Formation is the reservoir sand in the Scapa field, and the secondary
reservoir in the Claymore field, with good porosities and permeabilities.
Production The Jurassic reservoir contains a relatively viscous oil with a gas oil ratio
of about 120 scf/stb, and the Cretaceous reservoir contains a rather less
Water depth (feet) 361-397 385 viscous oil with a gas oil ratio of about 250 scf/stb. Both reservoirs are very
undersaturated and, due to the low natural energy of the reservoir, gas lift
Production Start Date November 1977 September 1985
and water injection are essential to achieve reasonable recovery factors.
Peak Production (Oil and NGL) (stb/day) 100000 28000
Gas is imported from Tartan for use as fuel and to facilitate start up of gas
Platform (s) 2 Steel jacket 2 Sub-sea templates
lift. Most of the gas volume used, however, originates from Claymore and is
Number of Wells - Producers 32 8 (inc. deviated well
recycled.
from Claymore)
Production began in November 1977 and to date approximately 76 per
Water injectors (including template cent. of the reserves have been produced. Minor oil accumulations are
& remote wells) 16 4 present in Upper Permian carbonates and Carboniferous sandstones.
Gas injectors Further accumulations have been discovered since 1990 in the form of
Oil and NGL Export Pipeline to Flotta Pipeline to Claymore West Claymore and West Scapa. Appraisal drilling still continues on West
Gas Export Gas imported from Claymore; if viable, reserves maybe exploited via subsea tieback to the
Tartan Claymore platform. West Scapa on the other hand is already being
developed using two wells tied back through the subsea template manifold.
Owing to the extension of drilling and new discoveries in the area, as well
as a tightening of UK offshore safety regulations, there has been the
installation of a new 250 bed accommodation platform on Claymore.
STRATIGRAPHY AND STRUCTURE 14/19
UNITED KINGDOM
13
Upper Jurassic Claymore Sandstone Member, and the Lower Cretaceous Spey DEPTH STRUCTURE
Sandstone Formation. Relatively minor accumulations exist in the Carboniferous 16
0 2 km 90
O
Forth Formation and the Permian Halibut Bank Formation (Zechstein). Well 14/19-9 00
W
8
C
discovered oil in the Spey Sandstone Formation in a separate accumulation to the (Contours in feet TVDSS)
93
950
98
south of Claymore (Scapa Field). The Claymore field can be areally sub-divided into
00
0
95
the Main Area Claymore (MAC), Central Area Claymore (CAC) and the Northern 7
0
Template
00
Area Claymore (NAC). The main area is developed on the dip-flank of a tilted fault
10
85
00
block, the crest of which occupies CAC (Wells 14/19-1 and 14/19-6a). The northern, 6A
faulted margin of this fault block defines the southern margin of NAC. As a result of NORTHERN
fault-block rotation and crestal erosion, the stratigraphic units display complex AREA
900
onlapping relationships towards the crest of the tilted fault block. The Scapa field is C 0
700
situated between the Claymore Horst (to the southwest) and the Claymore field (to
EN
0
R
T
the northeast) and is developed within a major fault trough to the northeast of the AL 1
Claymore Horst. In the Claymore field, the Jurassic reservoir is sealed by the 75 AR
mudstones of the Kimmeridge Clay Formation and the Cretaceous reservoir is 3
00 EA
sealed by the overlying mudstones of the Valhall Formation.
5
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
8000 2
Alluvial plain deposits of the Lower Carboniferous Forth Formation form a 4
reservoir in CAC. Fining-upwards fluvial channel sequences of varying scale with 15 MAIN AREA
laterally equivalent thin bedded, current rippled channel margin and sheet flood OWC 8655
9000
sandstones and associated overbank mudstones and coals comprise the reservoir 18
section. The overlying Zechstein Group was deposited within an evaporitic marine 0
9500 19 900
basin and hydrocarbons are produced in CAC from limestones with dissolution
porosity. The principal reservoir units in the Claymore field are the Upper Jurassic 17
9
Claymore Sandstone Member and the Lower Cretaceous Spey Sandstone
Formation. These both consist of thickly and thinly bedded, sharply bounded,
commonly massive submarine gravity flow (ie turbidites) sandstones interbedded NORTHERN AREA - TOP LOWER CRETACEOUS SAND STRUCTURE
CENTRAL AREA - BASE VALHALL STRUCTURE
with and laterally equivalent to fan margin sandstones, siltstones and mudstones. MAIN AREA - TOP JURASSIC SAND STRUCTURE
Concurrent with rapid, fault-controlled subsidence, submarine fan progradation into CLAYMORE PRT BOUNDARY
the area took place during the Late Kimmeridgian to Early Volgian, sourced largely
from the Claymore Horst to the southwest. Fan sequences thin onto the flanks of the (After Maher CE & Harker SD, 1987)
CAC fault block and thicken towards the southwest. In the rapidly subsiding trough
to the north of CAC crest (NAC), a thick Kimmeridge Clay Formation with a well
developed Claymore Sandstone Member sequence was deposited. The Lower After initial progradation of the Spey Sandstone Formation fan across CAC during
Cretaceous sequence thickens to the southwest, towards the Scapa field, and thins the latest Ryazanian to Hauterivian, submarine fan sedimentation was largely
onto the crest of CAC, where the contact between the Kimmeridge Clay and Lower restricted to the area immediately adjacent to the Claymore Horst.
Cretaceous becomes increasingly unconformable, as a result of crestal erosion.
0
POST PALEOCENE
2000
4000 PALEOCENE
6000 Tay F
orma
tion
12000
Piper/Sgiath Fm.
14000 0 1 2 3 km
CORE
DEPTH (feet)
AGE
VF
Geometry
Elongate lenticular sandbodies forming
8850
Py
HUMBER GROUP
LOWER VOLGIAN
frac.
Geometry
M Elongate, lenticular and lobate to sheetlike
M M sandbodies with minor, thin sheetlike
frac. mudstones, forming part of clastic wedge.
and K
8650
M
Py
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
Albian
1000
Aptian
Cromer Knoll Group
Valhall 'A' Fm.
100
Bar.
Hauterivian-Upmst. Ryaz.
PERMEABILITY (md.)
Spey Sst. Fm.
10
14/19-2
F
0.1
14/19-4
Kim.-L. Volgian
2
Humber Group
Cretaceous
1 100 Jurassic
3
0.01
200 feet 0 10 20 30
POROSITY (per cent.)
1. Kimmeridge Clay Formation
2. Claymore Argillaceous Member
3. Claymore Sandstone Member Formation properties vary among the four reservoirs. The
Jurassic reservoir exhibits porosities from 15 to 25 per cent. and the
permeabilities vary between 10 md and 1000 md. The Cretaceous
reservoir porosities vary between 18 per cent. and 27 per cent., and
The Claymore Sandstone Member reservoir sandstones
permeabilities between 200 md and 700 md. In the Zechstein
comprise elongate, lenticular high density turbidite
reservoir, porosity and permeability are variable; porosity varies
sandstones, commonly stacked and coalesced into part of a
between 5 per cent. and 19 per cent. and permeabilities between 20
clastic wedge. Sediment gravity flow sandstones form
md and 900 md. However, matrix porosities and permeabilities in the
discrete sandbodies with lobate to sheetlike geometry and are
Zechstein are generally low, with values at the higher ends of the
only locally stacked into thick units. Interbedded, thin mudstones have sheet geometry and
scale being accounted for by local fracturing. The Zechstein and
are of variable lateral extent. Overall, the sequence forms two main clastic wedges, to the
Carboniferous is generally taken to be non reservoir.
northeast of the Claymore Horst and to the northeast of the CAC fault block. Geometries of
The primary controls on porosity and permeability in the two main
sandbodies are similar for the Spey Sandstone Formation.The Carboniferous reservoir has,
reservoir bodies are textural. Thus, both porosity and permeability
in general, poor reservoir potential, with poor connectivity and low permeability.
increases with increasing grain size, sorting and decreasing detrital
The Zechstein reservoir, restricted in occurrence to CAC, occurs within carbonates
clay content. Superimposed on these textural controls are the effects
containing solution porosity and makes only minor contributions to overall field productivity.
of diagenesis, which are principally compaction and quartz
overgrowth cementation in the Claymore field.
FLUID PROPERTIES
RESERVOIR PRESSURE
The oil in the main Claymore Upper Jurassic reservoir is relatively viscous, varying from
4 cp at initial reservoir pressure to 2.8 cp at bubble point pressure. The Cretaceous reservoir
The Claymore field is divided into two pressure regimes with
fluid is less viscous, at about 1 cp at initial reservoir pressure, as are the oils in the
different oil water contacts. These are the main reservoir and the
Carboniferous and Zechstein formations. All oils are very undersaturated. The gas oil ratio
northern area reservoir. Both areas are normally pressured, with a
is about 120 scf/stb in the Jurassic reservoir, and about 250 scf/stb in the Cretaceous
gradient to surface of 0.47 psi/ft.
reservoirs.
0.35 psi/ft
0 (cp)
All reservoirs are very undersaturated. Because of the low natural energy of the 12000
reservoir, gas lift and water injection are essential to achieve reasonable well rates 3000 4000 5000 6000
and recovery factors. The Zechstein and Carboniferous formations are generally non INITIAL RESERVOIR PRESSURE (psig)
reservoir.
The Jurassic reservoir recovery is expected to be moderate to good for the
reasons listed below: sands to poor in the lower sands for the following reasons:
it is a layered system which results in selective sweeping of the reservoir. the upper massive sands have good potential for secondary recovery, with good
reservoir porosities and permeabilities vary from moderate to very good. reservoir continuity and favourable reservoir characteristics.
the oil water mobility ratio is unfavourable. the mobility ratio is favourable.
the lower sands have much poorer reservoir characteristics and have limited
The Cretaceous reservoir recovery potential varies from good in the upper recovery potential.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
NORTH SOUTH ACCOMMODATION
PLATFORM (CAP)
Net Present Value 2,199.24 1,194.47 850.04 682.71 550.46 399.79 232.37 125
Net Present Value (Deflated) 3,285.52 1,695.70 1,123.18 837.57 608.00 342.33 43.33
Profit/Inv Ratio 1.66 1.49 1.34 1.23 1.12 0.95 0.69
Profit/Inv Ratio (Deflated) 1.07 0.75 0.58 0.47 0.37 0.23 0.03
NPV/Unit Oil Equiv. 3.38 3.73 3.78 3.75 3.68 3.50 3.03
Net Present Value 1,233.50 660.89 463.79 367.73 291.51 204.12 105.86
Net Present Value (Deflated) 1,704.80 780.89 446.06 278.22 142.81 -14.53 -192.17
Profit/Inv Ratio 0.93 0.82 0.73 0.66 0.59 0.49 0.31
Profit/Inv Ratio (Deflated) 0.55 0.35 0.23 0.16 0.09 -0.01 -0.15 50
NPV/Unit Oil Equiv. 1.90 2.06 2.06 2.02 1.95 1.79 1.38
NPV/Unit Oil Equiv. (Deflated) 1.70 1.37 1.04 0.77 0.47 -0.06 -1.12
Earnings Data
Gross Revenue 9,215.20 4,605.26 3,263.68 2,650.63 2,182.77 1,666.34 1,110.81 Claymore only
Royalty 705.33 384.05 279.83 229.94 190.79 146.42 97.37 0
Petroleum Revenue Tax 1,629.84 941.85 689.27 563.90 463.90 349.46 222.93
Corporation Tax 965.74 533.58 386.24 314.98 258.95 195.67 126.51 1975 1985 1995 2005 2015
Capital Expenditure 1,326.85 803.97 634.82 554.33 491.26 419.44 337.87
Operating Costs 3,154.85 1,146.96 703.11 527.85 406.93 287.09 174.78 Year
Gross Revenue (Deflated) 14,269.84 8,120.58 6,081.82 5,090.59 4,302.65 3,395.29 2,365.33
Royalty (Deflated) 1,174.56 692.71 522.08 437.05 368.56 288.86 197.72
Petroleum Revenue Tax (Deflated) 2,761.58 1,614.02 1,191.00 979.24 809.19 613.14 394.23
Corporation Tax (Deflated) 1,580.72 914.80 677.12 559.35 465.19 356.86 235.50 CASH FLOW REPORT
Capital Expenditure (Deflated) 3,084.10 2,249.79 1,942.34 1,783.61 1,651.16 1,488.76 1,283.74
Operating Costs (Deflated) 3,550.57 1,589.64 1,081.18 861.62 700.12 528.33 351.23 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1974 0.0 0.0 0.0 35.0 0.0 0.0 0.0 -35.0 -1,070.7 0.0 0.0 0.0
1975 0.0 0.0 0.0 55.0 0.0 0.0 0.0 -55.0 -1,440.1 0.0 0.0 0.0
1976 0.0 0.0 0.0 140.0 0.0 0.0 0.0 -140.0 -2,730.0 0.0 0.0 0.0
1977 22.5 0.0 7.5 115.0 0.0 0.0 0.0 -100.0 -1,549.2 6.8 0.0 0.0
1978 158.4 2.9 31.5 50.0 0.0 0.0 2.9 73.9 914.1 59.7 0.0 0.0
1979 284.0 19.8 43.9 30.0 0.0 0.0 19.8 190.3 2,010.6 79.6 0.0 0.0
1980 481.0 39.0 51.4 55.0 0.0 0.0 39.0 335.6 2,895.9 87.5 0.0 0.0
1981 602.1 57.8 62.1 75.0 20.4 127.1 205.3 175.2 1,188.4 89.5 0.0 0.0
1982 663.0 67.8 74.0 25.0 164.8 118.7 351.2 108.7 609.4 95.5 0.0 0.0
1983 680.8 72.3 75.6 25.0 307.5 104.9 484.7 85.0 406.7 93.5 0.0 0.0
1984 831.7 82.7 79.9 25.0 389.3 113.9 585.9 140.8 596.6 99.5 0.0 0.0
1985 687.2 82.8 83.4 20.0 337.3 104.1 524.3 59.5 222.2 88.6 0.0 0.0
1986 309.8 50.3 90.3 75.0 143.0 81.7 275.0 -130.6 -425.9 85.8 0.0 0.0
1987 436.4 31.0 107.6 30.0 133.2 23.2 187.3 111.5 325.5 106.1 0.0 0.0
1988 145.9 20.9 87.8 25.0 26.3 45.7 92.8 -59.7 -157.7 47.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1989 64.9 3.2 70.2 30.0 0.0 10.0 13.2 -48.5 -111.1 16.0 0.0 0.0
1990 313.2 5.2 94.2 45.0 0.0 -10.6 -5.4 179.3 352.9 65.0 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1991 317.2 17.5 103.1 120.0 0.0 60.0 77.5 16.6 27.5 76.0 0.0 0.0
1992 294.5 15.6 108.7 70.0 0.0 47.8 63.5 52.3 76.2 74.0 0.0 0.0
Pre Corporation Tax 1993 306.3 14.2 108.5 100.0 0.0 38.0 52.2 45.6 59.2 74.0 0.0 0.0
1994 256.3 12.5 105.6 65.0 0.0 38.1 50.6 35.1 41.6 68.0 0.0 0.0
Net Present Value 195.62 193.81 186.73 181.13 175.28 166.50 152.77 1995 231.3 10.2 100.9 60.0 0.0 24.2 34.4 36.0 38.6 60.0 0.0 0.0
Net Present Value (Deflated) 199.40 187.05 177.79 171.57 165.50 156.85 143.90 Total To Start Of Discounting ( 1/JAN/1996)
NPV/Unit Oil Equiv. 1.31 1.70 1.88 1.98 2.07 2.18 2.32 7,086.4 605.8 1,486.2 1,270.0 1,521.7 926.9 3,054.4 1,076.7 2,280.6 500.8 0.0 0.0
Post Corporation Tax 1996 209.4 9.5 97.2 30.0 21.7 17.0 48.1 34.0 32.7 52.3 0.0 0.0
1997 197.5 8.9 97.9 10.4 26.4 8.1 43.4 45.8 39.2 45.9 0.0 0.0
Net Present Value 156.81 157.66 152.04 147.37 142.40 134.86 122.99 1998 181.2 8.5 98.6 10.8 23.7 6.1 38.3 33.5 25.6 40.5 0.0 0.0
Net Present Value (Deflated) 162.00 152.25 144.39 139.06 133.82 126.34 115.13 1999 167.5 8.1 99.6 5.6 21.4 5.0 34.5 27.7 18.8 36.0 0.0 0.0
NPV/Unit Oil Equiv. 1.05 1.39 1.53 1.61 1.68 1.76 1.86 2000 155.3 8.0 101.2 0.0 19.6 3.3 30.9 23.2 14.0 32.1 0.0 0.0
2001 144.4 7.8 98.8 0.0 17.4 1.8 27.0 18.6 10.0 28.7 0.0 0.0
Earnings Data 2002 122.5 7.8 101.0 0.0 15.1 1.6 24.5 -3.1 -1.5 23.4 0.0 0.0
2003 117.0 7.8 83.7 0.0 13.1 -6.1 14.8 18.5 7.9 21.5 0.0 0.0
Gross Revenue 2,128.79 1,558.85 1,332.20 1,212.37 1,111.52 987.78 833.83 2004 111.5 7.6 82.5 0.0 11.1 1.7 20.4 8.6 3.3 19.7 0.0 0.0
Royalty 99.55 76.27 66.02 60.36 55.46 49.30 41.41 2005 105.9 7.2 81.2 0.0 9.2 1.6 18.1 6.6 2.2 18.0 0.0 0.0
Petroleum Revenue Tax 108.13 117.42 114.43 111.01 107.05 100.75 90.52 2006 101.0 6.1 98.0 0.0 1.7 1.5 9.2 -6.3 -1.9 16.5 0.0 0.0
Corporation Tax 38.81 36.16 34.69 33.76 32.88 31.64 29.78 2007 96.8 5.2 91.9 0.0 0.0 -1.8 3.4 1.4 0.4 15.2 0.0 0.0
Capital Expenditure 56.85 53.27 51.36 50.18 49.06 47.49 45.13 2008 92.0 5.1 86.3 0.0 0.0 -0.9 4.2 1.5 0.4 13.9 0.0 0.0
Operating Costs 1,668.65 1,118.08 913.66 809.69 724.67 623.74 504.00 2009 87.4 4.9 80.8 0.0 0.0 0.0 4.9 1.7 0.4 12.7 0.0 0.0
2010 83.8 4.8 76.0 0.0 1.1 0.0 5.9 1.8 0.3 11.7 0.0 0.0
Gross Revenue (Deflated) 1,683.00 1,282.68 1,118.60 1,030.28 954.94 861.01 741.37 2011 79.7 4.7 71.1 0.0 1.9 0.0 6.6 1.9 0.3 10.7 0.0 0.0
Royalty (Deflated) 81.83 63.76 55.83 51.43 47.62 42.78 36.54 2012 75.9 4.5 66.9 0.0 2.2 0.3 7.1 2.0 0.3 9.8 0.0 0.0
Petroleum Revenue Tax (Deflated) 119.78 114.69 108.50 104.04 99.57 93.11 83.42 Remain
Corporation Tax (Deflated) 37.40 34.80 33.39 32.51 31.68 30.51 28.76 2013 0.0 -17.2 155.8 0.0 -77.5 -0.3 -95.0 -60.8 -8.1 0.0 0.0 0.0
Capital Expenditure (Deflated) 55.01 51.64 49.85 48.74 47.68 46.21 43.98
Operating Costs (Deflated) 1,226.99 865.54 726.64 654.51 594.57 522.05 433.53 Total 2,128.8 99.5 1,668.6 56.8 108.1 38.8 246.5 156.8 144.4 149.1 0.0 0.0
CLEETON RAVENSPURN Cleeton and Ravenspurn South lie in the northern part of the
SOUTH Southern Gas basin. Ravenspurn North and Johnston lie to the north
Fluid Properties and east of the fields and the Wollaston and Frobisher accumulations
are situated to the northwest and southwest respectively. The Rough
field lies approximately 30 km to the southwest and contains gas in
Gas Gravity S.G (air =1) 0.608 0.595
Lower Permian Rotliegendes sandstone. West Sole lies a similar
Condensate Gas Ratio (bbl/MMscf) 2.6 2.0 distance to the southeast and produces from the same horizon. The
Gas Expansion Factor (vol/vol) 245 250 nearest fields to the northeast are the Bunter sandstone fields of Lower
Reservoir Pressure, Pi (psig) 4136 4486 Triassic age that make up the Esmond complex.
at Datum Depth of (ft TVDSS) 9207 9705 Cleeton and Ravenspurn make up two of the four accumulations
Reservoir Temperature (F) 172 200 known as the 'Village Area'. The remaining fields in this group are Hyde
and Hoton.
Rock Properties
Reserves
Production
FIELD DESCRIPTION
Water Depth (feet) ----------------- 118-150 --------------
Production Start Date October 1988 October 1989 The Cleeton and Ravenspurn South accumulations are anticlinal,
Peak Gas Production (yrly average) (MMscf/day) 208 in 1991 fault and dip closed structures. The larger Ravenspurn South structure
Platform(s) 2 3 exhibits particularly high relief. The principal gas reservoir is the Lower
Leman Sandstone Formation of the Rotliegendes Group. The
1 compression platform
sandstones are mainly fluvial wadi and sheetflood deposits with minor
(due to be installed in 1996) playa lake mudstones. Similar, more thickly developed playa lake
Number of Wells ---------------------- 31 ------------------ mudstones of the Silverpit Formation form the overlying reservoir seal.
Gas and NGL Export Gas pipeline direct to Dimlington Reservoir quality is variable but generally poor to moderate. Fracture
stimulation of Ravenspurn South wells has been successful resulting in
a much lower number of wells required for field development. The
reservoir quality of the Cleeton field is generally better than that of the
Ravenspurn South field.
The fields contain dry gases. The Cleeton field is normally pressured
and the Ravenspurn South field is overpressured by approximately 120
psi.
The Wollaston accumulation to the northwest of Cleeton is currently
being appraised and may be tied back to the Cleeton facility.
Cleeton & Ravenspurn South
STRUCTURE AND STRATIGRAPHY
The Ravenspurn South gas field lies in Block 42/30. The CLEETON AND
UNITED KINGDOM
Cleeton gas field is in the southeast corner of Block 42/29. RAVENSPURN SOUTH
The Ravenspurn South structure is a high relief, TOP ROTLIEGENDES
northwest-southeast trending anticline with a series of DEPTH STRUCTURE
similar trending faults. Structural closure is by a 3
31
0 4 km
00
combination of limiting faults and dip closure. The areally
smaller Cleeton field is a similar anticlinal structure with (Contours in metres)
30
axial trending faults and a combination of dip and fault
00
RAVENSPURN
closure. R-C
SOUTH
Gas is encountered in the Ravenspurn South structure in 3
3Z C1 GD 3200
the Lower Leman Sandstone Formation (Rotliegendes T3
100
Group), at around 9055 feet TVDSS towards the crest of the 3000
R-B
structure. The thickness of the formation varies between 1
GW
B1 30
200 feet and 330 feet. The gas bearing sandstones are 00
30
C
28C4 29
00
29
generally sealed above and below by the Silverpit 48 B2 00
00
31
Formation and Carboniferous mudstones respectively. A 2
31 2 00
C2Z 00 A2
similar situation occurs in the Cleeton structure with the
29
32
00
A1
crestal areas of the structure at around 9090 feet TVDSS, 00
C5 C1 R-A
and a formation thickness of 200 to 390 feet. The Silverpit 4 CLEETON
30 0
31
00
Formation and Carboniferous mudstones form seals above
0
C3 4
and below.
2900
42/29 42/30 43/26a
SEDIMENTOLOGY AND DEPOSITIONAL 47/4b 47/5a 48/1
ENVIRONMENT
0
Chalk Group
2000 Cromer Knoll Group
JURASSIC
4000
Haisbor
ough G
roup
TRIASSIC
6000
Bacton
Group
8000
Zechstei
n Group
10000 PERMIAN
Rotliegendes Group
12000
CARBONIFEROUS
0 1.5 3 km
to moderate.
Fluvial and aeolian dune sandstones with
ROTLIEGENDES GROUP
Geometry
Laterally extensive sheet sandstones.
PERMIAN
and K
mainly good but decreasing upward,
9450
1. CARBONIFEROUS
Cleeton & Ravenspurn South
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
E
RAVENSPURN NORTH
10000
42/30-2
RAVENSPURN SOUTH
Silverpit Formation
42/30-1
ULS
1000
Rotliegendes Group
p
rou
in G
W hste
Zec
sst. Formation
Lower Leman
CLEETON 100
42/29-2
PERMEABILITY (md.)
ULS - Upper Leman 10
Sandstone Formation
0
200
OUS
IFER
BON 1
CAR
400 feet
0.1
A series of six facies units can be recognised and correlated in most wells on the
Ravenspurn South structure. These reflect variations in the proportions of quartzose
sandstone, argillaceous sandstone and mudstone and have contrasting reservoir quality.
The sandstone units are laterally extensive across the structure and the individual thin 0.01
bedded mudstones are likely to be impersistent and not provide field-wide permeability 0 10 20 30
barriers. Communication exists within the reservoir, both horizontally and vertically. A POROSITY (per cent.)
complex internal sediment architecture exists resulting from the interstratification and
stacking of extensive fluvial sheetflood and aeolian sandstones and more laterally restricted
fluvial channel sandstones and individual thin playa lake mudstones. This produces a Porosity values in the Cleeton structure are mainly moderate to
preferential direction of transmissibility in the horizontal plane and along dune slip face good (10 to 20 per cent.), averaging about 14 to 15 per cent. The
laminae through the sandstone-dominated intervals. better porosity is encountered in the lower part of the Lower Leman
Facies and reservoir zones are less well defined in the Cleeton structure and the interval Sandstone Formation. Permeability varies markedly from very poor
can be treated as a single reservoir sandstone. Sandstone sequences are thickly developed to good (less than 1 md to greater than 2000 md). Trends in porosity
with minor, thin, laterally impersistent mudstones. Horizontal reservoir communication will values are controlled by the primary textural characteristics, grain
be better than in the vertical plane due to the interdigitating sedimentary relationships. size, sorting and detrital clay content i.e. facies distribution. A
Vertical reservoir quality contrasts are less marked than in the Ravenspurn South structure diagenetic overprint is present on this control which severely
with better vertical communication. reduces permeability. Heavy carbonate cementation destroys
reservoir quality in an interval towards the base of the formation in
Well 42/29-2, although this may be concretionary cementation.
Fibrous pore lining and pore filling authigenic illite may be the cause
of low permeability in some sandstones higher in the formation.
Minor quartz, anhydrite and carbonate cements and authigenic
kaolinite are also expected to be present.
Porosity in the Ravenspurn South structure is generally poor to
moderate with similar poor to moderate permeability. Permeability
FLUID PROPERTIES may be locally high in aeolian sandstone horizons. Controls on
porosity and permeability are the primary textural characteristics and
The two fields contain dry gases. The gas gravities are 0.608 in Cleeton and 0.595 in hence, facies distribution as in the Cleeton structure. Similar
Ravenspurn South. diagenetic characteristics are also expected. The poorer reservoir
quality of the Ravenspurn South structure, compared to the Cleeton
structure, is due mainly to the increased argillaceous content of the
1.00
reservoir interval.
Ravenspurn South
Zi = 0.97
GAS DEVIATION FACTOR Z
0.95
0.45 psi/ft
CONTROLS ON RECOVERY
9600
Recovery from the Cleeton and Ravenspurn South fields is expected to be fair to
moderate. The principal factors affecting the recovery are as follows.
9800 Ravenspurn South
poor to good reservoir properties in Cleeton and poor to moderate reservoir
properties in Ravenspurn South
areally extensive sheet geometry reservoir sandstones, interbedded with 10000 0.23 psi/ft
some impersistent mudstones in Ravenspurn South
significant faulting in the area reducing the probability of water influx but GDT@ 10170 ft TVDSS
0.45 psi/ft
increasing the possibility of reservoir compartmentalisation 10200
installation of compression in 1996 4100 4200 4300 4400 4500 4600 4700
moderate well productivity greatly enhanced by hydraulic fracturing INITIAL RESERVOIR PRESSURE (psig)
Cleeton & Ravenspurn South
FACILITIES SPECIFICATIONS
RAVENSPURN
UNITED KINGDOM
CLEETON CLEETON SOUTH
P/Q W A, B, C
Well Slots 9 54
Wells 5 26
(This is a BP photograph)
A wellhead tower bridge linked to the central processing and accommodation platform
to accommodate compression facilities will be installed in 1996.
Net Present Value 907.05 351.52 163.92 75.96 9.29 -61.72 -129.98
Net Present Value (Deflated) 643.25 126.58 -43.12 -120.94 -178.60 -237.69 -289.17
Average Annual Daily Gas Rate (MMscf/day)
Profit/Inv Ratio 1.37 0.63 0.32 0.16 0.02 -0.15 -0.35
Profit/Inv Ratio (Deflated) 0.67 0.15 -0.06 -0.17 -0.26 -0.38 -0.52 200
NPV/Unit Oil Equiv. 5.39 3.62 2.26 1.26 0.18 -1.55 -4.73
NPV/Unit Oil Equiv. (Deflated) 3.72 1.23 -0.55 -1.83 -3.18 -5.33 -9.19
Net Present Value 593.83 201.66 65.01 0.22 -49.16 -101.88 -152.17 100
Net Present Value (Deflated) 355.25 -12.75 -135.64 -192.06 -233.67 -275.72 -310.33
Profit/Inv Ratio 0.90 0.36 0.13 0.00 -0.11 -0.24 -0.41
Profit/Inv Ratio (Deflated) 0.37 -0.02 -0.18 -0.27 -0.34 -0.44 -0.56
NPV/Unit Oil Equiv. 3.53 2.08 0.90 0.00 -0.97 -2.56 -5.53
NPV/Unit Oil Equiv. (Deflated) 2.06 -0.12 -1.73 -2.91 -4.16 -6.18 -9.87
50
Nominal Rate Of Return % 10.01
Real Rate Of Return % 4.75
Earnings Data
0
Gross Revenue 2,219.25 1,208.79 875.47 716.65 592.95 454.33 303.71 1985 1990 1995 2000 2005 2010
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 42.90 20.74 12.78 9.21 6.63 4.06 1.82 Year
Corporation Tax 313.22 149.86 98.91 75.75 58.45 40.16 22.19
Capital Expenditure 660.00 560.19 511.71 483.08 456.95 421.80 372.02
Operating Costs 609.29 276.34 187.06 148.40 120.08 90.19 59.84 CASH FLOW REPORT
Gross Revenue (Deflated) 2,195.89 1,240.75 916.19 758.95 634.94 493.99 337.66 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
Petroleum Revenue Tax (Deflated) 40.78 18.23 11.01 7.87 5.63 3.43 1.54 MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
Corporation Tax (Deflated) 288.00 139.32 92.51 71.11 55.07 38.02 21.16
Capital Expenditure (Deflated) 965.01 826.04 757.54 716.77 679.38 628.79 556.60 1985 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -37.3 0.0 0.0 0.0
Operating Costs (Deflated) 546.84 269.91 190.77 155.25 128.53 99.47 68.70 1986 0.0 0.0 0.0 55.0 0.0 0.0 0.0 -55.0 -179.4 0.0 0.0 0.0
1987 0.0 0.0 0.0 315.0 0.0 0.0 0.0 -315.0 -919.4 0.0 0.0 0.0
1988 13.8 0.0 10.0 150.0 0.0 0.0 0.0 -146.2 -386.3 0.0 27.0 0.0
1989 50.3 0.0 20.0 60.0 0.0 0.0 0.0 -29.7 -68.1 0.0 115.0 0.0
1990 102.8 0.0 20.0 20.0 0.0 0.0 0.0 62.8 123.6 0.0 196.0 11.5
1991 144.7 0.0 21.0 10.0 0.0 0.0 0.0 113.7 189.1 0.0 208.0 41.0
1992 131.9 0.0 20.0 0.0 0.0 0.0 0.0 111.9 163.0 0.0 191.0 42.5
ECONOMIC INDICATORS FROM 1/1/1996 1993 142.5 0.0 20.0 0.0 0.0 0.0 0.0 122.5 159.1 0.0 204.0 46.2
1994 149.2 0.0 20.0 1.0 0.0 0.0 0.0 128.2 151.7 0.0 206.0 34.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1995 132.5 0.0 20.0 14.0 0.0 19.2 19.2 79.3 84.9 0.0 185.0 33.3
Total To Start Of Discounting ( 1/JAN/1996)
Pre Corporation Tax 867.6 0.0 151.0 635.0 0.0 19.2 19.2 62.4 -719.2 0.0 486.2 76.1
Net Present Value 825.46 700.19 636.43 598.73 564.56 519.25 456.94 1996 153.7 0.0 20.0 25.0 0.0 29.8 29.8 78.9 76.3 0.0 200.0 50.0
Net Present Value (Deflated) 775.38 656.84 598.11 563.62 532.45 491.16 434.32 1997 152.7 0.0 20.8 0.0 0.0 36.5 36.5 95.3 83.4 0.0 190.0 50.0
NPV/Unit Oil Equiv. 9.46 10.01 10.20 10.30 10.38 10.46 10.54 1998 147.9 0.0 21.6 0.0 0.0 37.8 37.8 88.4 69.9 0.0 177.0 46.7
1999 132.3 0.0 22.5 0.0 0.0 37.4 37.4 72.4 51.8 0.0 151.7 41.5
Post Corporation Tax 2000 118.6 0.0 23.4 0.0 0.0 33.0 33.0 62.1 40.1 0.0 130.1 37.0
2001 105.8 0.0 24.4 0.0 0.0 29.0 29.0 52.4 30.6 0.0 111.6 31.8
Net Present Value 531.41 463.54 425.74 402.73 381.53 352.99 313.08 2002 93.8 0.0 25.4 0.0 14.4 25.1 39.5 29.0 15.3 0.0 95.1 27.5
Net Present Value (Deflated) 507.13 438.79 402.93 381.43 361.78 335.44 298.70 2003 84.3 0.0 26.4 0.0 14.1 15.4 29.5 28.5 13.6 0.0 82.3 23.6
NPV/Unit Oil Equiv. 6.09 6.62 6.83 6.93 7.01 7.11 7.22 2004 74.6 0.0 27.4 0.0 9.8 13.7 23.5 23.6 10.2 0.0 69.8 20.4
2005 67.2 0.0 27.1 0.0 6.4 11.8 18.2 21.9 8.5 0.0 60.6 17.6
Earnings Data 2006 59.2 0.0 26.7 0.0 3.2 10.8 14.0 18.5 6.5 0.0 51.3 15.0
2007 52.9 0.0 26.6 0.0 8.3 9.4 17.8 8.6 2.7 0.0 44.0 13.1
Gross Revenue 1,351.66 1,050.18 921.75 851.26 790.33 713.29 613.46 2008 46.7 0.0 26.2 0.0 8.0 5.2 13.2 7.3 2.1 0.0 38.4 9.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2009 41.2 0.0 25.9 0.0 6.0 4.0 10.0 5.2 1.4 0.0 32.5 7.8
Petroleum Revenue Tax 42.90 35.48 29.80 26.26 23.05 18.89 13.56 2010 4.0 0.0 27.4 0.0 1.1 3.0 4.0 -27.4 -6.5 0.0 0.0 6.8
Corporation Tax 294.04 236.66 210.69 196.00 183.03 166.26 143.86 2011 3.6 0.0 3.4 0.0 0.0 -8.0 -8.0 8.1 1.7 0.0 0.0 5.8
Capital Expenditure 25.00 24.40 24.06 23.84 23.62 23.31 22.82 2012 3.2 0.0 3.0 0.0 0.0 0.0 0.0 0.2 0.0 0.0 0.0 5.1
Operating Costs 458.29 290.11 231.46 202.44 179.09 151.84 120.14 2013 2.9 0.0 2.7 0.0 0.0 0.0 0.0 0.2 0.0 0.0 0.0 4.4
2014 2.6 0.0 2.0 0.0 0.0 0.0 0.0 0.6 0.1 0.0 0.0 3.8
Gross Revenue (Deflated) 1,209.67 955.76 846.06 785.37 732.59 665.38 577.41 2015 2.4 0.0 2.1 0.0 0.0 0.2 0.2 0.1 0.0 0.0 0.0 3.3
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2016 2.1 0.0 2.0 0.0 0.0 0.1 0.1 0.1 0.0 0.0 0.0 2.8
Petroleum Revenue Tax (Deflated) 40.78 31.18 25.68 22.44 19.59 15.96 11.41 Remain
Corporation Tax (Deflated) 268.25 218.06 195.18 182.18 170.67 155.72 135.62 2017 0.0 0.0 71.1 0.0 -28.4 -0.2 -28.6 -42.5 -4.9 0.0 0.0 0.0
Capital Expenditure (Deflated) 25.14 24.53 24.19 23.97 23.75 23.44 22.95
Operating Costs (Deflated) 368.37 243.21 198.09 175.34 156.80 134.83 108.73 Total 1,351.7 0.0 458.3 25.0 42.9 294.0 336.9 531.4 402.9 0.0 523.6 154.4
These cash flows include Cleeton and Ravenspurn South fields, plus Ravenspurn North and Johnston tariff income.
30/11b Amoco 30/12b Amoco SUMMARY
6 2
4 The Clyde field is located in Quadrant 30 some 280 km east
HALLEY southeast of Aberdeen in the UK Sector of the Northern North Sea. The
3 field was discovered in 1975 by Well 30/17b-2 which encountered oil in
Upper Jurassic sands of the Fulmar Formation.
30/16 Shell A 30/17b BP Development of Clyde began in 1984 and involves one steel
6
AD platform. First oil was produced in March 1987 and peak oil production
FULMAR LEVEN was achieved in 1988. Oil is piped to the Fulmar oil field where it is
7 9 loaded onto tankers.
7 The current interests in the Clyde field in per cent. are:-
5 8 6
2 CLYDE
BP Petroleum Development Ltd * 51.00
5
13
3
RD/Shell UK Ltd 24.50
4
Esso Exploration & Production Ltd 24.50
MEDWIN
4 operator *
1 3 AUK
A 1
2 9 10
12 8 JANICE
AUK SE
10
30/17a Phillips
30/21 Shell 30/22b Mobil
0 5 km
Fluid Properties The Clyde field is located in a fault-bounded terrace on the western
margin of the South West Central Graben. The nearest fields are
Oil Gravity (API) 37-38 Fulmar, approximately 7 km to the west, which produces oil from
Gas/Oil Ratio (scf/stb) 340-490 Jurassic sandstones, and Auk some 10 km to the southwest which
Bubble Point Pressure, Pb (psig) 1722-2370 contains oil in Zechstein dolomites and Rotliegendes sandstone. The
Formation Volume Factor at Pi (rb/stb) 1.25-1.32 Argyll and Innes fields lie 45 km and 35 km to the southeast
Oil Compressibility (vol/vol/psi) 14.6 x 10-6 respectively. The Josephine and J-Block discoveries, 25 km to the
north, contain hydrocarbons in a series of formations ranging from the
Original Reservoir Pressure, Pi (psig) 6405
Paleocene to the Triassic. In the Norwegian sector some 50 km to the
At Datum Depth of (ft TVDSS) 12000
east lie a number of chalk reservoirs including Ekofisk and Valhall.
Reservoir Temperature (F) 290
Rock Properties
CLYDE The Clyde field is situated on the southwestern margin of the Central
UNITED KINGDOM
TOP FULMAR FORMATION Graben, to the southeast of the Fulmar field. Upper Jurassic sandstones of
DEPTH STRUCTURE the Fulmar Formation comprise the reservoir rocks. These sands are
underlain by Triassic sandstones and overlain by mudstones of the
Clyde
0 1 km
Kimmeridge Clay Formation which, in conjunction with complex faulting,
(Contours in feet TVDSS) form the seal. A series of northwest-southeast trending en-echelon fault
terraces stepping down from the Auk Ridge and complemented by antithetic
faults characterise the structural framework of the area. The trap is a dip
Edge of truncation of Fulmar Formation and fault closed structure on a down faulted terrace adjacent to the Auk
OWC 12570
Ridge fault system, which forms the main graben boundary in the area.
130
30/17b-9Y 00
12
75
0
12750 12
0 50
1250 0
30/17b-7
12
25
0 30/17b-2
O W C1
125
125
00
127
30/17b-6Z
00 0
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
25
50
7
0
50
12
The sandstones of the Fulmar Formation are generally very fine and fine
2570
grained, argillaceous, locally glauconitic, burrowed and bioturbated.
Rhaxella sponge spicules and macrofossils are locally present. The
C1
0
0 75 sandstones lack primary sedimentary structures except for locally
50 O W12
12 preserved planar horizontal lamination and current ripples. The sandstones
are organised into weakly defined coarsening and fining upwards units.
Locally, the sequence includes silty, bioturbated mudstones. These
sediments are interpreted as a sequence of storm emplaced, sublittoral
30/17b-3
sandstones, representing the lateral migration of a shelf sand sheet
complex. The Fulmar Formation sandstones pass laterally into basinal
12500 mudstones of the Kimmeridge Clay and Heather Formations to the east and
12750 northeast of the field.
7000
8000 TERTIARY/QUATERNARY
Fulmar Formation
13000
Kimmeridge Clay Formation TRIASSIC
0 1 2 km
14000
CORE
DEPTH (feet)
AGE
VF
and K
and K range between moderate and
very good, largely reflecting original
textural characteristics (grain size, detrital
clay content).
FULMAR FORMATION
UPPER JURASSIC
HUMBER GROUP
12600
12700
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
30/17b-7
Chalk 10000
Group
Clyde
n
io
at
n
io
m
at
r
Fo
rm
100
ay
Fo
Cl
Humber Group
ay
ge
Cl
id
er
eg
id
m
Fulmar Formation
PERMEABILITY (md.)
er
m
Ki
m
m
Ki
10
Fulmar
Formation
Triassic Grp.
30/17b-5
TRIASSIC 0.1
0
0.01
0 10 20 30
TD
200 feet Porosities are generally moderate to good typically ranging from
30/17b-2 15 to 25 per cent. Permeabilities are commonly moderate to good,
typically from 1 to 500 md.
Primary textural characteristics control trends in porosity and
30/17b-8 permeability values and finer, more argillaceous sediments have
poorer reservoir quality. Locally, porosity and permeability may be
In the Clyde field area, the Fulmar Formation is composed of thin, sheetlike sand units, significantly enhanced by secondary dissolution of sponge spicules
stacked and coalesced to form thick, laterally extensive sheet geometry sediment bodies, and other macrofossils. This may provide the explanation for a high
locally including thin mudstones of variable lateral extent. More extensive mudstones and permeability streak observed within the sequence in some wells.
argillaceous horizons probably form vertical permeability baffles or barriers. Zonation of the
reservoir may be possible on the basis of stratigraphic correlation. However, in sandstone
dominated sequences, the petrophysical distinctions between layers are likely to be of less
significance.
If the high permeability streaks recognised in some wells are due to secondary
dissolution of sponge spicules, they are likely to comprise lensoid sediment bodies of limited
lateral extent.
The Clyde field contains two types of black oil. In the west and south of the field, the The Clyde field is overpressured by some 920 psi at the oil water
uppermost sand unit is separated from the underlying sands by a shale and contains, a 37 contact based on a hydrostatic gradient to surface of 0.45 psi/ft. The
degrees API gravity oil with a gas oil ratio of 340 scf/bbl. The oil within the bulk of the plot below shows the pressure regime in the bulk of the reservoir.
reservoir has an API gravity of 38 degrees and a gas oil ratio of 490 scf/bbl. The pressure There is evidence for an OWC some 40 feet higher in the west and
dependent properties of this latter oil type are illustrated below. south of the field corresponding to the area of different PVT
properties.
B0
400 1.4 0.6
GOR (scf/stb)
B0 (rb/stb)
0 (cp)
0
200 1.2 0.4
12500
OWC @ 12570 ft TVDSS
@ 297 F
100 1.1 0.3
0 2000 4000 6000 8000
13000
CONTROLS ON RECOVERY 6300 6500 6700 6900
INITIAL RESERVOIR PRESSURE (psig)
The majority of the oil in place in Clyde is contained in two sand units separated by
shales and interbedded silty sands of non-reservoir quality. Although the structure is
relatively simple, at least two different oil water contacts have been identified suggesting
large scale reservoir compartmentalisation.
The two reservoir quality sand units exhibit good porosity and permeability
characteristics which, combined with a favourable mobility ratio to water-flooding, should
lead to a good recovery factor.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type steel jacket
Function drilling/production/
Clyde
accommodation
Accommodation 205
Well slots 30
Wells 21
(A Britoil Photograph)
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@
@@@
Average Annual Daily Liquid Rate (Mbbl/day)
@@
@
@@@
Net Present Value 207.51 64.37 9.29 -18.16 -39.78 -63.68 -87.43
Net Present Value (Deflated) 123.97 -42.04 -102.38 -131.32 -153.32 -176.29 -196.06
Profit/Inv Ratio 0.37 0.14 0.02 -0.05 -0.12 -0.21 -0.33 20
Profit/Inv Ratio (Deflated) 0.14 -0.06 -0.16 -0.22 -0.27 -0.35 -0.45 Clyde only
NPV/Unit Oil Equiv. 1.41 0.73 0.14 -0.32 -0.84 -1.70 -3.38 25
NPV/Unit Oil Equiv. (Deflated) 0.71 -0.39 -1.22 -1.85 -2.52 -3.64 -5.75
10
Nominal Rate Of Return % 8.63
Real Rate Of Return % 3.42
Earnings Data
0 0
Gross Revenue 1,643.64 978.58 737.38 616.86 519.88 407.34 279.38 1985 1990 1995 2000 2005
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Corporation Tax 138.61 75.36 53.38 42.76 34.46 25.19 15.34
Capital Expenditure 555.00 447.52 397.55 368.83 343.16 309.51 263.68
Operating Costs 742.51 391.33 277.16 223.43 182.04 136.32 87.79
Gross Revenue (Deflated) 1,932.60 1,190.23 912.92 772.01 657.20 522.06 365.21
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 145.85 80.12 57.08 45.89 37.11 27.26 16.71
Capital Expenditure (Deflated) 880.17 719.53 643.72 599.77 560.26 508.09 436.35
Operating Costs (Deflated) 782.61 432.62 314.50 257.67 213.15 163.00 108.21
The Cormorant fields are located on the western side of the North
Fluid Properties NORTH SOUTH & Viking Graben. They lie in the western part of the Brent province. The
CENTRAL closest producing fields are North West Hutton to the southeast, Eider
to the north, Tern to the northwest and the Pelican discovery to the
Oil Gravity (oAPI) ----------------------------------- 36 -------------------------------- south.
Gas/Oil Ratio (scf/stb) ---------------------------------- 375 -------------------------------
Bubble Point Pressure, Pb (psig) --------------------------------- 1700 ------------------------------
Formation Volume Factor at Pi (rb/stb) ---------------------------------- 1.3 --------------------------------
Oil Compressibility (vol/vol/psi)
Original Reservoir Pressure, Pi (psig) 5243 4890
At Datum Depth of (ft TVDSS) 9200 8800
Reservoir Temperature (F)
Rock Properties
Reserves
UNITED KINGDOM
defined by north northwest-south southeast or north northeast-south southwest
9000
Cormorant
4A trending faults. Within the major accumulations there are north-south to
northeast- southwest trending faults which further compartmentalise the
3A
reservoir.
The reservoir is formed of Brent Group sandstones. The Brent Group
consists of a Middle Jurassic shallow-marine and deltaic complex which
B
prograded northwards over the offshore mudstones of the Dunlin Group. The
6 lower four formations (Broom, Rannoch, Etive, Ness) of the Brent Group are
usually present. The uppermost formation, the Tarbert Formation, is commonly
5 absent. This is mainly due to erosion of the section from the crestal areas of the
field overlying Upper Jurassic mudstones form the seal.
9000
2
1A The Brent Group forms an overall northward prograding shallow marine and
8 deltaic complex. The Broom Formation at the base consists of stacked
sublittoral sheet sandstones which have been thoroughly bioturbated. The
overlying Rannoch and Etive Formations comprise a coarsening and cleaning
6 upward shoreface sequence which starts with the micaceous and argillaceous
211/26b 211/26a 211/27
C lower to middle shoreface sandstones of the Rannoch Formation and is capped
by the coarser, strongly cross-bedded upper shoreface, foreshore and
10000
7
0
2
DEPTH STRUCTURE Mid Ness shale.
A
0 4 km The upper parts of the Ness Formation comprise interbedded channel and
crevasse splay sandstones and floodplain/bay mudstones.
3 (Contours in feet TVDSS)
Locally the top of the Brent Group is formed by the transgressive shallow
marine sandstones of the Tarbert Formation.
Feet
211/21-4A 211/21-3A 211/21-2 211/26a-6 211/26-1 211/26-2
N S
8000
LOWER CRETACEOUS
UPPER CRETACEOUS
9000
UPPER JURASSIC
Brent Group
10000
Cormorant Formation
Statfjord Fm.
Dunlin Gp.
11000
BASEMENT
0 1 2 3 4 km
12000
AGE
VF
Py
Geometry
Lenticular to lobate and sheetlike
sandstones, interbedded with laterally
Py persistent mudstones.
and K
and K good to very good in thicker
sandstones, poor to moderate in thin
9400
S sandstones.
S S
Py
MIDDLE JURASSIC
Py
BRENT GROUP
Geometry
Lenticular to lobate sandstones coalesced
into a more sheetlike unit.
Py and K
Py Generally good to very good.
Py
Geometry
9500
Py
RANNOCH FM.
and K
LOWER JURASSIC
Geometry
Sheetlike sandbody.
and K
Generally good, poor to moderate where
9600
calcite cemented.
Py
S
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
10000
211/21-2 211/21-1A 211/26-1 211/26-2 211/26-3
Cormorant
1
211/21-3A
NESS FM
MIDDLE JURASSIC
BRENT GROUP
1000
? 2
3
100
4
JURASSIC
DUNLIN
GROUP
LOWER
PERMEABILITY (md.)
1. Tarbert Formation
2. Etive Formation
0 3. Rannoch Formation
4. Broom Formation 10
100 feet
1
The Broom Formation consists of sandstones which form a sheetlike sandbody 15 to 40
feet thick. This sand sheet thins towards Well 211/26-1. The sands are often poorly
cemented and may give rise to sand production problems.
The Rannoch Formation, together with the overlying Etive Formation, forms a thick
sandbody which developed broadly parallel to the palaeo-shoreline. Locally, there are thin 0.1
mudstones at the base of the Rannoch Formation which form a vertical permeability barrier.
The top of the Rannoch Formation is commonly marked by a thin (<3 feet), highly
micaceous horizon which probably acts as a vertical permeability baffle. Cemented horizons
are present within the Rannoch Formation, probably largely reflecting the early dissolution
of shell debris and precipitation of carbonate cement. Both the Rannoch and Etive 0.01
Formations thin towards the southwest. Within the Ness Formation, lagoon shoreface 0 10 20 30 40
sequences are expected to have a broad, lobate to sheetlike geometry with an upward POROSITY (per cent.)
increasing vertical permeability profile. These are sealed by the Mid Ness Shale. In the
Upper Ness Formation sandbodies vary from 2 to 15 feet in thickness and consist of
channel mouth bar, levee and crevasse splay sandstones with ribbonlike, lobate and Within the Broom Formation porosity and permeability vary from
sheetlike geometries. Interbedded mudstones probably restrict sandbody interconnectivity. good (20 to 30 per cent., greater than 100 md) to poor (less than 10
Where present, the Tarbert Formation forms a sheetlike sandbody which may per cent., less than 10 md) reflecting the presence of calcite
incorporate thin mudstones. cemented horizons. Early calcite cement, derived from shelly
material, locally forms 'doggers' or more extensive horizons with little
or no porosity. Similar horizons may locally occur in the Etive and
Rannoch Formations. Within the Rannoch Formation porosity and
permeability generally increase upwards, from about 10 per cent.
and 10 md near the base of the unit to about 20 per cent. and 100
md near the top. At the top of the unit there is a thin, relatively low
RESERVOIR PRESSURE permeability horizon (generally less than 50 md). The cleaner and
coarser grained Etive Formation displays the most favourable
Data indicate separate pressure regimes in North Cormorant and South Cormorant. porosities and permeabilities, with porosity commonly about 25 per
Based on a hydrostatic gradient to surface of 0.451 psi/ft, the North and South cent. and permeability often exceeding 1000 md, and locally
Cormorant reservoirs are overpressured by 1050 and 880 psi respectively. approaching 4000 md.
The reservoir pressure is 5243 psig at 9200 feet TVDSS in the North Cormorant Within the Ness Formation the range of porosity and permeability
reservoir and 4890 psig at 8800 feet TVDSS in the South Cormorant reservoir. is commonly 10 to 20 per cent., less than 10 md to 100 md. However,
in lagoon shoreface sequences porosity may be greater than 25 per
cent. with permeability 1000 md or more.
8600
8800
SOUTH
0.309 psi/ft
9000
FLUID PROPERTIES
DEPTH (feet TVDSS)
OWC @ 9106 ft TVDSS The Cormorant field contains a conventional black oil with a
9200 solution gas oil ratio of 375 scf/stb and a stock tank oil gravity of 36
0.451 psi/ft
NORTH degrees API. The formation volume factor of 1.3 rb/stb and the
bubble point pressure of 1700 psig have been determined from
0.309 psi/ft
9400 correlations.
ODT @ 9498 ft TVDSS
9800
4800 4900 5000 5100 5200 5300 5400 5500
CONTROLS ON RECOVERY
UNITED KINGDOM
Cormorant
Water Depth 528 499 492
(feet)
Platform Type steel jacket subsea concrete
manifold gravity
Function drilling/production/ drilling/production/ drilling/production/
accommodation satellite tie in accommodation/
storage
Well slots 40 9 36
Wells 32 9 19
Gas Throughput 30 25 30
(A Shell Photograph)
(MMscf/d)
FULL FIELD ECONOMIC INDICATORS N. Cormorant exports gas to Tern and receives Tern oil.
@
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00%
20.00%
PRODUCTION PERFORMANCE
Pre Corporation Tax
HISTORICAL AND PROJECTED
Net Present Value 2,838.58 1,233.32 736.31 511.61 344.67 169.50 1.21
Net Present Value (Deflated) 2,791.93 805.10 196.72 -73.79 -270.43 -468.48 -638.57 175 100
Profit/Inv Ratio 1.39 0.87 0.63 0.50 0.38 0.22 0.00 Liquid
Profit/Inv Ratio (Deflated) 0.60 0.24 0.07 -0.03 -0.11 -0.22 -0.37
NPV/Unit Oil Equiv. 4.43 4.00 3.51 3.09 2.61 1.77 0.02 Gas
@@
NPV/Unit Oil Equiv. (Deflated) 3.21 1.78 0.62 -0.29 -1.30 -3.03 -6.51 150
@@@
Profit/Inv Ratio (Deflated) 0.30 0.03 -0.09 -0.17 -0.23 -0.32 -0.44 75
NPV/Unit Oil Equiv. 2.72 2.36 1.92 1.55 1.11 0.33 -1.32
NPV/Unit Oil Equiv. (Deflated) 1.59 0.26 -0.84 -1.70 -2.67 -4.33 -7.71
Earnings Data 25
Gross Revenue 9,228.05 4,533.31 3,132.65 2,493.84 2,009.87 1,482.91 931.80
Royalty 212.66 102.14 69.16 54.29 43.15 31.21 19.02
Petroleum Revenue Tax 1,464.26 749.85 520.70 413.56 331.40 241.23 146.82 0 0
Corporation Tax 1,095.07 505.46 332.62 255.58 198.50 138.30 78.78
Capital Expenditure 2,045.00 1,413.80 1,161.36 1,027.67 915.17 777.45 607.61 1975 1980 1985 1990 1995 2000 2005 2010
Operating Costs 2,655.18 1,025.68 638.25 480.74 370.27 259.25 154.05
Year
Gross Revenue (Deflated) 12,786.37 6,835.17 4,903.69 3,985.37 3,270.03 2,468.09 1,597.76
Royalty (Deflated) 285.96 147.19 103.18 82.62 66.82 49.39 30.93
Petroleum Revenue Tax (Deflated) 2,094.40 1,120.47 793.90 637.62 515.89 380.04 234.79
Corporation Tax (Deflated) 1,411.64 688.77 464.96 362.39 284.97 201.65 117.14 CASH FLOW REPORT
Capital Expenditure (Deflated) 4,637.76 3,417.60 2,905.20 2,626.34 2,386.94 2,086.95 1,704.12
Operating Costs (Deflated) 2,952.03 1,328.05 891.17 700.82 560.56 411.80 260.43 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1975 0.0 0.0 0.0 25.0 0.0 0.0 0.0 -25.0 -654.6 0.0 0.0 0.0
1976 0.0 0.0 0.0 65.0 0.0 0.0 0.0 -65.0 -1,267.5 0.0 0.0 0.0
1977 0.0 0.0 0.0 115.0 0.0 0.0 0.0 -115.0 -1,782.0 0.0 0.0 0.0
1978 0.0 0.0 0.0 125.0 0.0 0.0 0.0 -125.0 -1,545.5 0.0 0.0 0.0
1979 3.6 0.0 5.0 130.0 0.0 0.0 0.0 -131.4 -1,388.6 1.0 0.0 0.0
1980 124.8 0.0 30.0 255.0 0.0 0.0 0.0 -160.2 -1,382.7 23.0 0.0 0.0
1981 104.2 0.8 35.0 205.0 0.0 0.0 0.8 -136.6 -926.5 15.7 0.0 0.0
1982 313.3 3.9 68.0 250.0 0.0 0.0 3.9 -19.4 -108.9 45.5 1.0 0.0
1983 586.1 12.3 75.0 200.0 49.0 0.0 61.3 248.3 1,187.8 80.7 8.0 0.0
ECONOMIC INDICATORS FROM 1/JAN/1996 1984 1,102.6 23.0 82.0 150.0 98.6 0.0 121.6 749.0 3,173.1 132.1 15.0 0.0
1985 1,195.9 28.5 90.0 125.0 419.2 100.0 547.6 433.2 1,617.3 153.9 23.0 0.0
1986 590.4 20.5 96.0 95.0 156.9 233.8 411.2 -11.8 -38.6 160.2 29.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1987 552.3 11.0 100.0 85.0 177.9 112.8 301.6 65.7 191.9 132.3 21.0 0.0
1988 420.6 10.5 104.0 35.0 39.7 87.0 137.1 144.5 381.8 133.4 16.0 5.0
Pre Corporation Tax 1989 294.6 4.5 105.0 35.0 66.3 56.8 127.6 27.0 61.9 73.1 1.0 56.6
1990 426.1 1.8 103.0 35.0 85.2 30.2 117.3 170.8 336.2 88.8 3.0 75.0
Net Present Value 624.58 592.48 565.17 545.98 526.72 498.50 454.87 1991 244.0 7.1 95.0 20.0 17.1 62.9 87.2 41.8 69.5 59.0 0.3 88.0
Net Present Value (Deflated) 612.62 564.66 534.02 514.02 494.69 467.25 426.16 1992 209.5 6.5 93.0 15.0 0.0 35.3 41.8 59.7 86.9 52.8 2.0 106.0
NPV/Unit Oil Equiv. 4.25 5.02 5.38 5.59 5.76 5.99 6.28 1993 215.2 5.5 90.0 15.0 4.8 25.9 36.2 74.0 96.1 50.6 2.8 131.0
1994 249.1 5.4 80.0 50.0 2.4 29.4 37.2 81.9 97.0 65.0 1.0 129.0
Post Corporation Tax 1995 282.8 7.8 70.0 15.0 56.5 39.8 104.1 93.7 100.3 62.9 3.6 121.7
Total To Start Of Discounting ( 1/JAN/1996)
Net Present Value 343.25 358.22 353.19 346.89 339.20 326.22 303.44 6,915.0 149.1 1,321.0 2,045.0 1,173.6 813.7 2,136.4 1,400.3 -1,694.8 485.5 46.2 260.0
Net Present Value (Deflated) 365.24 356.54 344.57 335.41 325.83 311.30 287.96
NPV/Unit Oil Equiv. 2.33 3.04 3.36 3.55 3.71 3.92 4.19 1996 279.0 8.8 70.0 0.0 60.5 37.7 107.0 101.9 98.1 56.2 2.5 132.7
1997 278.5 8.8 72.8 0.0 55.6 39.1 103.5 102.2 87.6 50.3 1.6 121.9
Earnings Data 1998 256.6 8.7 75.7 0.0 48.3 41.7 98.8 82.1 62.6 45.2 0.7 99.8
1999 232.1 8.6 78.8 0.0 41.2 37.4 87.1 66.2 44.9 40.6 0.0 77.7
Gross Revenue 2,313.03 1,835.79 1,624.92 1,507.14 1,404.13 1,272.31 1,098.92 2000 211.4 8.4 82.0 0.0 34.7 31.7 74.8 54.6 33.0 36.5 0.0 60.5
Royalty 63.59 55.48 50.96 48.16 45.54 41.97 36.89 2001 193.6 8.3 85.3 0.0 28.9 26.7 63.9 44.4 23.9 32.9 0.0 47.1
Petroleum Revenue Tax 290.67 260.73 243.74 233.10 223.06 209.17 188.96 2002 177.3 7.9 88.7 0.0 23.4 22.2 53.5 35.0 16.8 29.6 0.0 33.8
Corporation Tax 281.33 234.26 211.98 199.09 187.52 172.28 151.44 2003 163.3 7.3 87.8 0.0 19.3 18.0 44.7 30.8 13.2 26.7 0.0 26.4
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2004 143.5 6.2 86.7 0.0 15.8 15.5 37.6 19.2 7.3 24.2 0.0 15.6
Operating Costs 1,334.18 927.10 765.06 679.91 608.81 522.67 418.21 2005 134.2 5.3 85.7 0.0 12.7 11.2 29.3 19.2 6.5 21.9 0.0 12.2
2006 125.8 5.0 84.7 0.0 10.0 9.8 24.8 16.4 4.9 19.9 0.0 9.5
Gross Revenue (Deflated) 1,955.00 1,583.08 1,416.36 1,322.44 1,239.74 1,133.06 991.03 2007 117.8 4.8 83.7 0.0 7.1 8.4 20.4 13.7 3.7 18.0 0.0 3.1
Royalty (Deflated) 58.20 50.23 46.04 43.50 41.16 37.99 33.53 Remain
Petroleum Revenue Tax (Deflated) 271.91 241.98 225.90 216.04 206.84 194.22 176.03 2008 0.0 -24.7 352.2 0.0 -66.8 -18.2 -109.7 -242.5 -57.9 0.0 0.0 2.5
Corporation Tax (Deflated) 247.38 208.12 189.46 178.61 168.85 155.96 138.20
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total 2,313.0 63.6 1,334.2 0.0 290.7 281.3 635.6 343.3 344.6 146.7 1.8 234.6
These cash flows include Cormorant S+C+N, and tariff income from Eider, Tern, Hudson and Pelican
211/18b Enterprise 211/18a 211/19a 33/9b SUMMARY
BP Conoco Statoil
17 6
6 3 The Dunlin field is located in Quadrant 211 some 180 km northeast
4
19,20
of the Shetland Islands in the UK Sector of the Northern North Sea. The
THISTLE 2 A field was discovered in 1973 by Well 211/23a-1 which encountered oil
8 MURCHISON in Middle Jurassic sands of the Brent Group. The smaller Osprey field
33/9c
3 Mobil to the north was discovered in 1974 by Well 211/23a-3.
7 Development of Dunlin began in 1974 and involves one concrete
A
1
1 211/19b Rel. gravity platform. First oil was produced in August 1978 and peak oil
2 5 production was achieved in 1979. Oil is piped to the Sullom Voe
DEVERON 4 terminal via the Cormorant field. This has proved to be very successful.
7
The Osprey field has been developed as a subsea tie back to Dunlin.
9 First oil production occurred in January 1991.
211/23b Amerada 4 211/24a OMV 211/24c Conoco The current interests in the Dunlin field in per cent. are:-
8
7
OSPREY
3 RD/Shell UK Ltd * 10.93
2 Esso Exploration & Production Ltd 10.93
Oryx (UK) Energy Ltd 26.05
5
Aran Energy Exploration (Statoil) 26.05
DUNLIN A
OMV 26.05
7
11 211/23a Shell 1 operator *
3
0 4 km
12 6
Fluid Properties Dunlin / Osprey The Dunlin and Osprey fields are located in the North Viking Graben,
close to the median boundary with Norway. Dunlin and Osprey are
Oil Gravity (API) 31-36 surrounded by fields such as Ninian, Brent, Hutton and North West
Gas/Oil Ratio (scf/stb) 100-240 Hutton, Statfjord, Don, Thistle and Murchison, all of which lie within a 20
Bubble Point Pressure, Pb (psig) 560-960 km radius. Fields within a 50 km radius include Alwyn North, Lyell,
Formation Volume Factor at Pi (rb/stb) 1.07-1.15 Heather and Cormorant. All these fields contain oil in sandstones of the
Oil Compressibility (vol/vol/psi) 7.75 x 10-6 Brent Group and/or Statfjord Formations.
Original Reservoir Pressure, Pi (psig) 6020/5900
At Datum Depth of (ft TVDSS) 9000/8800
Reservoir Temperature (F) 210
Rock Properties
Reserves The Dunlin field comprises a series of tilted, fault bounded horst
Dunlin Osprey blocks, the main horst containing 90 per cent. of the oil initially in place.
Total Reserves (Oil and NGL) (MMstb) 406 94 In common with other fields in the North Viking Graben, oil production
Est. Production to 31.12.95 (MMstb) 345 49 is from sands of the Brent Group of Middle Jurassic age. The best
Remaining Reserves (Oil and NGL) (MMstb) 61 45 reservoir characteristics are found in the Etive and Ness Formations,
although the latter is highly stratified. The Rannoch Formation is highly
Production micaceous and has poor reservoir quality. In the Dunlin field the Tarbert
is absent in parts of the east and south due to erosion.
Water depth (feet) 495 The oil is highly undersaturated and its properties vary by fault block.
Production Start Date August 1978/January 1991 The average oil API gravity is 35.7 degrees and the average gas/oil ratio
Peak Production (Oil and NGL) (stb/day) 116000 is 220 scf/stb. The highly stratified nature of the reservoir has led to high
Platform(s) 1 Concrete Gravity water cut production over the life of the field, though this is not expected
Number of Wells - Producers 32 to result in loss of ultimate recovery. Gas production from Osprey is
Water Injectors 7
used as fuel on Dunlin A.
Gas injectors
In July 1990 a successful horizontal well was drilled to a total depth
Oil and NGL Export 36" Pipeline to Sullom Voe
via Cormorant of 12770 ft with 2010 ft drilled horizontally. Production rates of 5000
Gas Export Flared stb/day are three times better than would be expected from a
conventional well in this reservoir. As a result, other horizontal wells
have been drilled successfully to exploit oil development in the poorer
quality reservoir intervals. Production began in 1978 and to date
approximately 85 per cent. of the Dunlin and Osprey reserves of 406
MMstb have been produced. Osprey has estimated oil and NGL
reserves of 94 MMstb.
In 1994, there was a seven-week shutdown to permit upgrading of
some platform facilities - the main element of this being the replacement
of part of the living quarters with a new unit incorporating the temporary
safe refuge recommended by the Cullen Report. Platform refurbishment
should be largely complete by the end of 1995.
STRATIGRAPHY AND STRUCTURE
Brent Group (Middle Jurassic) sandstones form the reservoir of the Dunlin field.
UNITED KINGDOM
211/23 211/24
The Brent Group is sibdivided into five formations; Broom, Rannoch, Etive, Ness and 9
4 DUNLIN
8
Tarbert. These are present across most of the field. However, Middle-Upper Jurassic 7 TOP BRENT SAND
erosion of the crestal parts of the Dunlin structure have resulted in the local absence OSPREY
Dunlin
DEPTH STRUCTURE
of the upper part of the Brent Group (Tarbert Formation, upper part of Ness 0 (Contours in feet)
950
Formation). The Brent Group ovelies the Lower Jurassic offshore mudstones of the 3
Dunlin Group and is in turn overlain by offshore mudstones of the Heather 9 30
0
9400
Formation. 9300
0
920 9300
The Dunlin structure is a highly faulted broadly north-south trending fault block. It 9200
2
is defined by north-south trending faults to the east and west and by an east-west
trending fault complex to the south. Minor faults which parallel the trend of these 9000
major faults may lead to some compartmentalisation of the reservoir.
93
00
Erosional limit
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT 00 of Brent Group
94
95
00
95
After the deposition of the offshore marine mudstones of the Lower Jurassic
00
A
Dunlin Group, the Brent Group represents the progradation and abandonment of a DUNLIN
1
major shallow marine and deltaic complex.
0
970
The Broom Formation at the base of the Brent Group consists of medium to very
coarse grained, pebbly sandstones which are wavy laminated and/or cross-bedded. 8700
These may either represent stacked storm generated sublittoral sheet sandstones or
94
0
else their nearshore equivalent.
960
00
3
Overlying these is the coarsening-upward, prograditional sequence of the
93
00
Rannoch Formation. In the lower part thin, wavy laminated, burrowed mudstones are
interbedded with wave and current rippled, burrowed, very fine grained, argillaceous
sandstones. These are overlain by very fine to fine grained, variably argillaceous and
9500
micaceous, planar laminated and cross-bedded sandstones. These sediments form 5
a progradational shoreface sequence, from offshore/transition zone at the base to
9200
Onset of Brent Group
middle shoreface at the top. erosion
The Etive Formation, which overlies the Rannoch Formation, consists of less 2
grained sandstones. Locally the base of the Etive Formation is marked by a pebbly,
6
erosive base overlain by fining upward sequences. Generally, the Etive Formation
consists of planar laminated and/or cross-bedded sequences.
The Etive Formation represents the upper shoreface to backshore part of the
(After Baube, 1983)
progradational shoreface. Locally tidal inlet or tidally influenced distributaries may
have been active. Continued progradation resulted in the shallow marine sediments
being overlain by the delta plain sediments of the Ness Formation. Lagoon/bay to medium grained, locally coarse grained and pebbly, variably argillaceous and
shoreface, distributary channel, mouth bar and crevasse splay sandstones are micaceous, planar laminated and/or cross bedded sandstones. These are
interbedded with lagoon/bay floodplain mudstones and coals. interpreted as shallow marine sandstones deposited during the transgression and
The uppermost part of the Brent Group (the Tarbert Formation) consists of fine abandonment of the Brent delta.
UPPER CRETACEOUS
LOWER CRETACEOUS Brent Group UPPER JURASSIC
8000
10000
Dunlin Group
Statfjord Formation Cormorant Formation
12000
0 1 2 3 km
AGE
VF
Geometry
NESS FM.
9350
and K
Generally moderate to good.
MIDDLE JURASSIC
backshore sandstones.
Geometry
ETIVE FM.
and K
generally good, K good to very good.
M
Middle shoreface sandstones.
RANNOCH FM.
Geometry
Laterally extensive sheetlike sandbody.
M Py
M
and K
Py
9550
Dunlin 100
1000
211/23-7
211/24-2 200 feet
N 211/23-1 211/23-2
211/23-3 Heather Fm. S
F
211/23-6 100
Tarbert Fm. 1
Ness Formation
PERMEABILITY (md.)
10
Etive
Formation
MIDDLE JURASSIC
Brent Group
Rannoch
Formation 1
2 3
1. Humber Group
2. Dunlin Group
3. Lower Jurassic 0.01
0 10 20 30
The Broom Formation consists of a sheetlike development which varies from 20 feet to The Broom Formation is characterised by good porosity (average
70 feet in thickness. Locally concretionary calcite cements are developed, consequently net c.25 per cent.) and generally good permeability (generally >500 md).
to gross ratios range between 0 .75 and 1.0. Overlying this is the Rannoch Formation. Locally, porosity and permeability are severely reduced by
Thickness ranges between 140 feet and 220 feet. The relatively low net gross ratios concretionary calcite cements.
(generally about 0.6) reflect the very argillaceous nature of the lower part of the formation. The Rannoch Formation is characterised by upwards increasing
The Etive Formation is a sheetlike sandbody which ranges between 80 feet and 110 feet porosity and permeability trends. In the lower part of the formation,
in thickness. The high net to gross ratios (up to 0.95) reflect the good reservoir quality of the sandstones generally display poor to moderate porosity (<20 per
unit. Within the heterolithic Ness Formation there are a variety of sand bodies. The lower cent.) and permeability (<100 md). Thin mudstones form vertical
part of the Ness Formation commonly has relatively thick (30 to 40 feet), sheetlike mouth permeability barriers.
bar sandstones. The middle and upper parts of the Ness Formation are typified by thinner The upper part of the Rannoch Formation displays moderate to
sand bodies which are interbedded with laterally extensive mudstones and coals. The net good porosity (averages range between 20 and 33 per cent.) and
to gross ratio (0.25 to 0.5) reflect the heterolithic nature of the Ness Formation. permeability (100 to 500 md).
The Tarbert Formation ranges between zero and 75 feet in thickness. Thickness The Etive Formation has good to very good average porosities
variation largely reflects post-Brent Group erosion. The Tarbert Formation generally fines (25 to 30 per cent.) and permeabilities (generally >1000 md). This
upward, being coarser and less argillaceous in the lower part. The upper part of the reflects the relatively coarse, clean nature of the unit.
formation is commonly very fine to fine grained and argillaceous. As a result net to gross Within the Ness Formation both porosity and permeability are
ratios range between about 0.75 and 0.9. variable, largely reflecting primary textural characteristics (grain size,
detrital clay content).
Thicker sandstones (>10 feet) commonly display good to very
good porosity (25 to 30 per cent.) and permeability (>1000 md).
Porosities and permeabilities in the Tarbert Formation range
Fluid Properties between good and excellent (20 to 30 per cent.; 250 md to 5000 md),
largely reflecting primary textural variations. Locally, concretionary
The Dunlin and Osprey fields contain a low shrinkage undersaturated black oil. Fluid calcite cements occlude virtually all porosity and severely reduce
properties vary between Dunlin and Osprey and between different fault blocks in the Dunlin permeability.
field. Oil gravity is between 31 and 36 degrees API and GOR varies between 100 and 240
scf/stb. RESERVOIR PRESSURE
0 (cp)
100 1.2
8700
1.05
50 0 1.0
Osprey
8800
Recovery in the Dunlin field is expected to be good, between 40 and 45 per cent. The
OWC @ 9165 ft TVDSS
good recovery is due to the following:-
9200 0.451 psi/ft
average permeabilities are generally good, although wide variations exist within zones
favourable water oil mobility ratio ensuring good displacement under water flooding.
9300
5850 5900 5950 6000 6050 6100 6150
As with similar Brent type reservoirs, wells will have to produce to high water cuts to
ensure that low permeability strata are swept. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type concrete gravity
Dunlin
Function drilling/production/
accommodation/storage
Accommodation 164
Well slots 48
Wells 39
125
Net Present Value 1,652.20 959.84 712.64 588.76 488.46 370.88 234.91
Net Present Value (Deflated) 2,826.79 1,622.46 1,165.13 929.82 736.37 506.64 238.28
Profit/Inv Ratio 2.50 2.05 1.79 1.63 1.48 1.27 0.96 75
Profit/Inv Ratio (Deflated) 1.46 1.05 0.85 0.73 0.62 0.47 0.25
NPV/Unit Oil Equiv. 4.07 4.29 4.30 4.27 4.21 4.07 3.71
NPV/Unit Oil Equiv. (Deflated) 3.93 3.68 3.41 3.19 2.93 2.50 1.63
Net Present Value 899.95 525.40 389.51 320.70 264.48 197.83 119.37 25
Net Present Value (Deflated) 1,516.81 829.58 563.90 425.78 311.39 174.47 13.05
Profit/Inv Ratio 1.36 1.12 0.98 0.89 0.80 0.68 0.49
Profit/Inv Ratio (Deflated) 0.78 0.54 0.41 0.33 0.26 0.16 0.01
NPV/Unit Oil Equiv. 2.22 2.35 2.35 2.33 2.28 2.17 1.89
NPV/Unit Oil Equiv. (Deflated) 2.11 1.88 1.65 1.46 1.24 0.86 0.09 0
1975 1980 1985 1990 1995 2000 2005 2010
Nominal Rate Of Return % 37.05
Real Rate Of Return % 20.52
Year
Earnings Data
2
N
6,6A 6,6A CENTRAL
210/25a Shell 210/25d Rel. 5 CORMORANT
Fluid Properties TERN EIDER The Eider and Tern fields produce from the Middle Jurassic Brent
Group sands of the North Viking Graben. The Cormorant field to the
Oil Gravity (API) 35 34 south also produces from the Middle Jurassic Brent and is of similar
Gas/Oil Ratio (scf/stb) 177 195 quality. To the east in Blocks 211/18 and 211/23 the Thistle, Don,
Bubble Point Pressure, Pb (psig) 963 880 Deveron and Dunlin fields all produce from the Middle Jurassic. The
Formation Volume Factor at Pi (rb/stb) 1.1 1.1 Hudson field is west of Tern in Block 210/24 and produces oil from
Oil Compressibility (vol/vol/psi) Jurassic Brent Group sands.
Original Reservoir Pressure, Pi (psig) 3656 5205
At Datum Depth of (ft TVDSS) 8000 8750
Reservoir Temperature (F) 200 225
Rock Properties
Reserves
EIDER AND TERN The reservoir in these fields is formed by Brent Group (Middle Jurassic)
UNITED KINGDOM
94
00
TOP BRENT
92
Group (Lower Jurassic) and are in turn overlain by shallow marine
00
OWC 9033 DEPTH STRUCTURE
5
mudstones of the Heather Formation. The Brent Group is sub-divided into
0 2 km
five formations, which are, from top to bottom:
9200
930
6 (Contours in feet TVDSS) - Tarbert Formation
0
- Ness Formation
910
- Etive Formation
0
8800
- Rannoch Formation
2
EIDER - Broom Formation
A Locally the Tarbert Formation is absent, due to Middle Jurassic erosion
associated with the early rotation of fault blocks.
0
890
0
4
920
211/16a
211/21a 0
0
00
930
10 SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
3
The Brent Group represents the deposits of a northward prograding
deltaic and shallow marine complex and, in the upper part, delta
00
85
00 abandonment and marine transgression. The Broom Formation at the base
78
210/25b comprises stacked sublittoral sheet sands which mark the onset of delta
210/25a 210/25c progradation shoreface sequence of offshore mudstones to lower/middle
1 A shoreface sandstones. The overlying Etive Formation comprises the upper
part of the progradational shoreface sequence, consisting of upper
shoreface, foreshore and backshore sandstones which, at least locally (eg.
00
95 8100 Well 211/16-2) overlie tidal channel sandstones.
0
5
00
These shallow marine sandstones are succeeded by the delta plain
10
0
90
00 50
8200 10 sediments of the Ness Formation. This unit comprises fluvial channel, mouth
bar and crevasse splay sandstones which are interbedded with lagoon/bay
00 and floodplain mudstones. The uppermost part of the Brent Group, the
TERN 83 2
85 ODT 8233
Tarbert Formation, marks the onset of marine transgression and consists of
00
shallow marine sandstones.
87
00 WUT 8284
(Modified after Wensrich MD, Eastwood KM, van Panhuys CD, Smart JM, 1991
and van Panhuys-Sigler M, Baumann A, Holland TC, 1991)
SCHEMATIC WELL CORRELATION - EIDER FIELD SCHEMATIC WELL CORRELATION - TERN FIELD
211/16-1 211/16-4 211/16-2 210/25-2 210/25-1 210/25-3
Feet SW NE S N Feet
7500 7000
Humber Group
8500 8000
Humber Group
Brent Group
9000 Dunlin Group 8500
Brent Group
Offshore mudstones. 1 2
MIDDLE JURASSIC
8950
sandstones.
Geometry
Sandstones stacked into a sheetlike
sandbody.
and K
Expected moderate due to compaction
9000
and diagenesis.
1. HUMBER GROUP
2. HEATHER FORMATION
Geometry
Sheetlike sandbody.
MIDDLE JURASSIC
M M
BRENT GROUP
and K
Expected good.
RANNOCH FM.
Geometry
Thick, sheetlike sandbody.
M
and K
Expected poor to locally moderate,
reflecting detrital clay, mica and local
calcite cement.
M
3. NESS FORMATION
4. ETIVE FORMATION
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
TERN EIDER
SW NE 10000
1 2
3 ?
1000
?
Ness
Middle Jurassic
Brent Group
100
PERMEABILITY (md.)
4 ? ?
TRIASSIC
10
8 7
0
1
F 1. Humber Group
F 50
2. Heather Formation
3.Tarbert Formation
4. Etive Formation
The Broom Formation consists of about 20 5. Rannoch Formation
100 feet 0.1
feet of fine to coarse grained, locally pebbly 6. Broom Formation
sandstones. It forms a sheetlike sandbody 7. Dunlin Group
8. Lower Jurassic
which is succeeded by the basal Rannoch
Shale. Eider
The Rannoch Formation ranges from about 50 to 100 feet in thickness. It typically Tern
consists of very fine to fine grained, variably argillaceous and micaceous sandstones which 0.01
0 10 20 30
coarsen upwards from a basal offshore mudstone.
The Etive Formation consists of a sheetlike sandbody which ranges from about 10 to 600 POROSITY (per cent.)
1.10
B0 (rb/stb)
Tern B0
porosity and permeability.
0 (cp)
100 1.2
1.08
Eider 0
50
1.06
RESERVOIR PRESSURE
@ ??? F
0 1.04 1.1
0 1000 2000 3000 4000 5000 The Eider field is overpressured by about 1000 psi relative to a
PRESSURE (psig) hydrostatic gradient of 0.45 psi/ft. The depth of the oil water contact
is 9033 feet.
The Tern field is normally pressured with a gradient to surface of
CONTROLS ON RECOVERY 0.45 psi/ft. The depth of the oil water contact is difficult to determine
but is around 8260 feet in the south of the field. It may be as shallow
Eider as 8064 feet in the north of the field.
A good recovery factor of 45 to 50 per cent. is expected in the Lower Brent, with lower
recovery (ca 35 per cent.) in the Upper Brent. 7800
The good recovery factor in the Lower Brent is due to the following:- TERN
0.34 psi/ft
The mobility ratio of about unity.
The moderately good permeability of between 1 and 600 md.
OWC @ 8064 (North) - 8260 (South) ft TVDSS
The moderate residual oil saturations of 28 per cent. leading to a microscopic recovery 8200
factor of about 65 per cent.
DEPTH (feet TVDSS)
The moderate recovery factor in the Upper Brent is due to the lower overall permeability 0.45 psi/ft
and poorer sand continuity compared with the Lower Brent.
8600
Tern
A moderately good recovery factor of some 40 per cent. of oil in place is expected in the
EIDER
Tern field in both Upper and Lower Brent formations. This is due to: 0.37 psi/ft
9000
A water/oil mobility ratio of approximately unity. OWC @ 9033 ft TVDSS
A permeability varying between 1 md and 2 Darcies, with 50 per cent. of oil in rock of
permeability less than 50 md. 9400
The low relief of the reservoir, which has a dip angle of only 2 degrees. 3500 4000 4500 5000 5500
The low natural energy of the reservoir. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
EIDER TERN
UNITED KINGDOM
Eider & Tern
Water Depth 517 548
(feet)
Function unmanned,drilling drilling/prod.
& prod. satellite & accom.
Well Slots 24 30
Wells producers 7 12
water injectors 7 10
(A Shell Photograph)
Net Present Value 1,835.51 982.40 667.98 511.81 387.64 246.88 95.30
Net Present Value (Deflated) 1,712.28 849.83 535.35 380.31 257.90 120.59 -23.97
Net Present Value 1,200.66 631.76 417.07 309.42 223.39 125.50 20.02 50
Net Present Value (Deflated) 1,081.99 497.55 281.65 174.86 90.55 -3.74 -101.68
Profit/Inv Ratio 1.45 0.94 0.70 0.56 0.43 0.27 0.05
Profit/Inv Ratio (Deflated) 0.89 0.50 0.32 0.21 0.12 -0.01 -0.17
NPV/Unit Oil Equiv. 3.43 3.04 2.67 2.38 2.04 1.48 0.35
NPV/Unit Oil Equiv. (Deflated) 2.92 2.20 1.64 1.21 0.74 -0.04 -1.54
25
Nominal Rate Of Return % 21.37 Eider only
Real Rate Of Return % 14.86
Earnings Data
0
Gross Revenue 4,324.39 2,524.86 1,879.36 1,559.24 1,303.25 1,008.60 678.06 1985 1990 1995 2000 2005 2010
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 409.80 228.17 163.20 131.35 106.22 77.92 47.49 Year
Corporation Tax 634.85 350.64 250.92 202.39 164.25 121.38 75.28
Capital Expenditure 830.00 673.27 598.86 555.62 516.69 465.24 394.49
Operating Costs 1,249.08 641.01 449.32 360.47 292.69 218.56 140.78
Gross Revenue (Deflated) 4,520.66 2,712.77 2,048.77 1,715.09 1,445.64 1,131.99 774.34
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 412.35 230.53 165.27 133.21 107.88 79.30 48.49
Corporation Tax (Deflated) 630.30 352.28 253.70 205.45 167.36 124.33 77.70
Capital Expenditure (Deflated) 1,216.37 994.45 888.12 826.02 769.94 695.51 592.58
Operating Costs (Deflated) 1,179.67 637.96 460.04 375.55 309.92 236.60 157.24
Earnings Data 1996 377.6 0.0 63.0 10.0 88.6 68.5 157.1 147.5 141.9 83.7 0.0 35.0
1997 319.6 0.0 65.5 0.0 68.8 65.3 134.1 120.0 102.8 64.9 0.0 32.0
Gross Revenue 1,762.49 1,508.09 1,387.64 1,317.64 1,254.56 1,170.97 1,055.21 1998 257.2 0.0 67.7 0.0 39.4 56.7 96.1 93.4 71.2 50.3 0.0 24.5
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1999 207.6 0.0 70.1 0.0 14.0 46.7 60.7 76.8 52.1 39.1 0.0 18.8
Petroleum Revenue Tax 212.55 198.49 190.99 186.32 181.91 175.70 166.36 2000 167.1 0.0 72.5 0.0 1.8 38.8 40.6 54.0 32.7 30.3 0.0 14.4
Corporation Tax 319.82 281.15 261.88 250.37 239.79 225.46 204.99 2001 134.7 0.0 75.1 0.0 0.0 28.6 28.6 31.0 16.7 23.5 0.0 11.1
Capital Expenditure 10.00 9.76 9.62 9.53 9.45 9.33 9.13 2002 93.7 0.0 108.4 0.0 0.0 17.7 17.7 -32.5 -15.6 15.4 0.0 8.5
Operating Costs 789.08 603.06 522.46 477.97 439.43 390.69 327.74 2003 75.7 0.0 57.1 0.0 0.0 -8.0 -8.0 26.6 11.3 12.0 0.0 6.5
2004 52.6 0.0 49.4 0.0 0.0 5.5 5.5 -2.2 -0.8 9.3 0.0 0.0
Gross Revenue (Deflated) 1,583.79 1,371.38 1,269.70 1,210.23 1,156.39 1,084.62 984.39 2005 42.4 0.0 41.4 0.0 0.0 0.6 0.6 0.4 0.1 7.2 0.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2006 34.3 0.0 34.2 0.0 0.0 -0.1 -0.1 0.2 0.1 5.6 0.0 0.0
Petroleum Revenue Tax (Deflated) 205.12 191.89 184.81 180.41 176.24 170.37 161.53 Remain
Corporation Tax (Deflated) 293.88 259.90 242.89 232.71 223.33 210.58 192.32 2007 0.0 0.0 84.7 0.0 0.0 -0.5 -0.5 -84.2 -22.6 0.0 0.0 0.0
Capital Expenditure (Deflated) 10.00 9.76 9.62 9.53 9.45 9.33 9.13
Operating Costs (Deflated) 646.97 504.79 442.34 407.59 377.29 338.67 288.20 Total 1,762.5 0.0 789.1 10.0 212.6 319.8 532.4 431.0 390.0 124.6 0.0 55.0
These cash flows include Eider and Tern fields and Tariff income from Hudson
2/9 2/10c Rel. 3/6a Rel. SUMMARY
1
1
The Emerald field is located in Quadrants 2 and 3 some 110 km due
west of the Shetland Islands in the UK Sector of the North Sea. The field
2
extends over four UK blocks and was discovered in 1978 by Well 2/10a-
5 4 which encountered oil and an overlying gas cap in sandstones of
2/10a 3/6b Amoco Jurassic age.
Chevron
The current interests in the Emerald field in per cent. are:-
0 4 km
1
3/11d Rel.
Fluid Properties The Emerald field is located on a broad, faulted terrace between the
East Shetland Platform and the East Shetland Basin. The nearest fields
Oil Gravity (API) 24 are the oil producing Heather, Lyell, Ninian and Alwyn fields of the Brent
Gas/Oil Ratio (scf/stb) 220 Group, all of which lie within a 30 km radius to the north and west of
Bubble Point Pressure, Pb (psig) 2195 Emerald. Emerald is one of the most westerly of all the fields in the
Formation Volume Factor at Pi (rb/stb) 1.086 Brent Group dominated region, and is unusual in that production is from
Original Reservoir Pressure, Pi (psig) 2375 a Callovian reservoir, and not the Brent Group.
At Datum Depth of (ft TVDSS) 5300
Reservoir Temperature (F) 145
Rock Properties
Reserves
Production The Emerald field structure, which is of low relief, is bounded to the
east by a major northwest-southeast trending fault and is dip closed
Water depth (feet) 500 elsewhere. Hydrocarbons are found in thin Jurassic, Callovian
Production Start Date August 1992 sandstones at depths of between 5250 and 5580 feet TVDSS overlain
Peak Production (Oil) (stb/day) 18000 by silts and shales of the Heather and Kimmeridge Clay Formations.
Platform(s) Semi-submersible Gross reservoir thickness is in the order of 50 feet and the reservoir
Number of Wells - Producers 7 quality is moderate to good with porosities of between 25 and 30 per
Water injectors 4 cent. and permeabilities of between 100 and 1000 md.
Gas injectors The reservoir contains a saturated black oil of 24 degrees API gravity
and a gas oil ratio of 220 scf/stb. Because of the structural topography
Oil and NGL Export Tanker loaded from FSU
of the field there are two separate gas caps.
Gas Export
A horizontal well drilled into the field in 1989 had double the
productivity of a conventional well in the field. Highly deviated wells
have played a significant role in field development.
The main production mechanism for the Emerald field is water
injection, which has been used from the outset. Abandonment, due to
disappointing oil production rates, was anticipated for early 1995.
However, following the drilling of infill wells, the decline in oil rate has
been less steep and field life is now expected to extend into 1996.
Recovered gas is not being sold but will be used for lift purposes to aid
oil recovery.
650
STRATIGRAPHY AND STRUCTURE
0
6300 The Emerald field is located on the eastern edge of the Transitional Shelf,
UNITED KINGDOM
a broad faulted terrace on the west of the East Shetland Platform. Emerald
comprises one of the rotated fault blocks into which the Transitional Shelf has
00
Emerald
58
560
0 been subdivided. It is bounded to the east by a major northwest-southeast
trending fault. The field is compartmentalised by broadly sub-parallel
61
00
northwest-southeast trending faults and by faults which trend north-south.
00
Because of the structural topography of the field there are two separate gas
59
54
00
caps, one in the northwest and one in the central and eastern part of the field.
4 5700 The basement consists of metamorphosed Devonian Old Red Sandstone
OWC 5580
and Precambrian gneiss. These are overlain by transgressive, shallow
54
0
40
00
5 5300 marine Lower Jurassic calcareous sandstones, conglomerates, mudstones,
siltstones and limestones. These are unconformably overlain by the Emerald
54
5400
00 Sandstone. This unit, which forms the reservoir of the Emerald field, is of
GO
5200
Callovian age. It consists of transgressive and shallow marine sediments
C5
580 7
0 deposited as a sublittoral sandsheet which correspond to the post-Brent
375
5300
2/10a 3/6b Group transgression observed in the East Shetland Basin.
2/15a 3/11b During Oxfordian times continued transgression/subsidence resulted in
1 5200
55 offshore mudstones of the Heather Formation becoming widespread. The
00
550
0 subsequent development of an anoxic basin in the Kimmeridgian resulted in
Kimmeridge Clay deposition, which continued into the Ryazanian. These
56
00
5500 Upper Jurassic formations form a seal to the underlying reservoir.
540
0 Following a phase of Lower Cretaceous fault block rotation which
550
5800
0
3
produced southwestward tilting in the Emerald area, the Shetland Group
(Upper Cretaceous) was deposited. The area remained stable during the
55
5700
00
Late Cretaceous. Uplift of the Scottish mainland and the East Shetland
Platform during the Paleocene resulted in subsidence in the area and tilting
540
5800
to the northeast. The resumption of clastic supply to the area in the Tertiary
0
is represented by a thick development of deltaic and submarine fan type
EMERALD sediments.
TOP EMERALD SANDSTONE
DEPTH STRUCTURE 570
0
0 1 km
5250
TERTIARY
5350
UPPER CRETACEOUS
Kimmeridge Clay Formation
5450
ation
Form
ther
5550 Hea
ne
dsto
San
rald
Eme
5650
5750
0 2 km
5850
(After Wheatly et al, 1987)
The Emerald Sandstone is of shallow marine origin, deposited during a Callovian nearby land mass) whilst the upper part represents a more offshore setting. The
transgression of the Transitional Shelf. Basal conglomerates lie unconformably on base of the upper unit is often marked by a thin and poorly sorted sandstone, this
the basement in all wells. Overlying the conglomerates the Emerald Sandstone often appears as a peak on the gamma ray, due to the presence of heavy minerals.
consists of medium to very fine grained, bioturbated sandstones which contain shell Over the Emerald field area the sandstones retain a constant thickness and
fragments and woody material. The basal part of the Emerald Sandstone is coarser nature. Due to the fining upwards from the Lower to the Upper Sandstone the lower
and cleaner than the upper part, with a low clay content. It is possible that the lower unit is more porous and permeable.
part was deposited in a near-shore environment (the woody fragments suggesting a
2/15-1
Humber Group
Oxfordian-Volgian
1
Humber Gp.
Emerald
Humber Gp.
Callovian
Old Red Sandstone 100
(Devonian)
Basement
PERMEABILITY (md.)
?
0
50
100 feet 1
The Emerald Sandstone is a sheetlike sandbody, generally between 40 and 60 feet in 0.1
thickness across the Transitional Shelf. Most of this thickness variation is ascribed to
topography of the underlying basement surface.
0.01
0 10 20 30 40
The Emerald field contains a saturated black oil of 24 degrees API gravity with Data indicate the presence of a gas cap overlying the black oil.
associated gas caps, and a gas oil ratio of approximately 220 scf/stb. A plot of the fluid Based on a water pressure gradient to surface of 0.45 psi/ft the
properties has been derived from correlations and is shown below. Emerald field is normally pressured with a reservoir pressure of 2375
psig at 5300 feet TVDSS.
300 1.10 12
B0 5200
1.08 10
Rs
200
1.06 8
B0 (rb/stb)
Rs (scf/stb)
0 (cp)
5400
1.04 6
DEPTH (feet TVDSS)
1.02 0 4
@ 145F
0 1.00 2 OWC @ 5580 ft TVDSS
0 1000 2000 3000 4000 5600
PRESSURE (psig)
0.45 psi/ft
5800
2300 2400 2500 2600
CONTROLS ON RECOVERY
Recovery in the Emerald field is expected to be low. This is due to the following factors:
the heavy nature of the reservoir fluid and the unfavourable oil water mobility ratio which
will limit recovery under waterflood.
the reservoir is thin and there is significant faulting and structural discontinuity.
permeability increases towards the base of the reservoir, which will tend to increase
under-running of water and promote early water break through in producing wells.
the presence of the gas caps and the shallow relief of the field has led to early gas
breakthrough and excess gas production.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type semi-submersible
Emerald
Function floating production facility
+ accommodation
Topsides weight
(tonnes)
Total Weight
(tonnes)
Accommodation 100
Well slots
Wells 11
-Producers 7
-Injectors 4
Gas Export
Net Present Value -118.95 -108.96 -103.36 -99.79 -96.35 -91.44 -83.88
Net Present Value (Deflated) -156.58 -142.86 -135.26 -130.45 -125.83 -119.27 -109.26
Profit/Inv Ratio -0.60 -0.64 -0.66 -0.67 -0.69 -0.71 -0.73
Profit/Inv Ratio (Deflated) -0.64 -0.68 -0.70 -0.71 -0.73 -0.74 -0.77
NPV/Unit Oil Equiv. -6.79 -8.37 -9.42 -10.16 -10.92 -12.14 -14.34
NPV/Unit Oil Equiv. (Deflated) -8.42 -10.32 -11.58 -12.47 -13.39 -14.85 -17.49
Earnings Data
10
Gross Revenue 190.45 141.60 119.49 107.03 96.10 82.10 63.83
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Capital Expenditure 199.50 171.13 156.83 148.25 140.33 129.57 114.17
Operating Costs 109.90 79.44 66.02 58.58 52.12 43.97 33.54
5
Gross Revenue (Deflated) 202.33 150.65 127.23 114.02 102.43 87.58 68.17
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Capital Expenditure (Deflated) 243.89 210.14 193.08 182.83 173.36 160.47 141.97
Operating Costs (Deflated) 115.02 83.38 69.40 61.64 54.90 46.38 35.46 0
1991 1992 1993 1994 1995 1996 1997
Year
Net Present Value -10.39 -9.66 -9.26 -9.01 -8.76 -8.42 -7.90
Net Present Value (Deflated) -9.99 -9.28 -8.90 -8.66 -8.43 -8.10 -7.60
NPV/Unit Oil Equiv. -9.49 -9.04 -8.79 -8.63 -8.47 -8.25 -7.91
CASH FLOW REPORT
Post Corporation Tax
Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Net Present Value -10.39 -9.66 -9.26 -9.01 -8.76 -8.42 -7.90 Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
Net Present Value (Deflated) -9.99 -9.28 -8.90 -8.66 -8.43 -8.10 -7.60 MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
NPV/Unit Oil Equiv. -9.49 -9.04 -8.79 -8.63 -8.47 -8.25 -7.91
1988 0.0 0.0 0.0 5.0 0.0 0.0 0.0 -5.0 -13.2 0.0 0.0 0.0
Earnings Data 1989 0.0 0.0 0.0 30.0 0.0 0.0 0.0 -30.0 -68.7 0.0 0.0 0.0
1990 0.0 0.0 0.0 35.0 0.0 0.0 0.0 -35.0 -68.9 0.0 0.0 0.0
Gross Revenue 12.01 11.72 11.56 11.45 11.35 11.20 10.96 1991 0.0 0.0 0.0 94.5 0.0 0.0 0.0 -94.5 -157.2 0.0 0.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1992 27.9 0.0 15.0 25.0 0.0 0.0 0.0 -12.1 -17.7 7.0 0.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1993 74.5 0.0 25.0 10.0 0.0 0.0 0.0 39.5 51.3 18.0 0.0 0.0
Corporation Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1994 45.2 0.0 25.0 0.0 0.0 0.0 0.0 20.2 24.0 12.0 0.0 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1995 30.8 0.0 22.5 0.0 0.0 0.0 0.0 8.3 8.9 8.0 0.0 0.0
Operating Costs 22.40 21.38 20.81 20.46 20.11 19.62 18.87 Total To Start Of Discounting ( 1/JAN/1996)
Gross Revenue (Deflated) 12.01 11.72 11.56 11.45 11.35 11.20 10.96 178.4 0.0 87.5 199.5 0.0 0.0 0.0 -108.6 -241.5 16.4 0.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1996 12.0 0.0 12.0 0.0 0.0 0.0 0.0 0.0 0.0 3.0 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1997 0.0 0.0 10.4 0.0 0.0 0.0 0.0 -10.4 -8.9 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 22.00 21.01 20.46 20.11 19.78 19.30 18.56 Total 12.0 0.0 22.4 0.0 0.0 0.0 0.0 -10.4 -8.9 1.1 0.0 0.0
43/17a
BG 43/20b Premier
Reserves
Gas Initially in Place (Bcf) ---------------------------- 643 ------------------------------
Total Gas Reserves (Bcf) 326 46 137
Est. Gas Production to 31.12.95 (Bcf) 326 46 137
Remaining Gas Reserves (Bcf) 0 0 0 FIELD DESCRIPTION
Production All three fields in the Esmond complex are salt induced domal
structures with four way dip closure. The reservoirs occur within
Water depth (feet) 100 80 55 sandstones of the Lower Triassic, Middle Bunter Sandstone which
Production Start Date June 1985 averages 400 to 500 feet in thickness. Reservoir sandstones form
Peak Gas Production (yrly average) (MMscf/day) --------------------- 215 in 1987 ----------------------- laterally continuous sheetlike units. The desert-lake mudstones present
Platform(s) 2 steel 1 steel 1 steel towards the top of the reservoir section form the only widespread barrier
jackets jacket jacket to vertical communication. Porosities and permeabilities are generally
Number of Wells 7 3 3 moderate to good, but reservoir quality is adversely affected by the
Gas Export Pipeline to Bacton shore terminal presence of halite cement.
The reservoirs contain a very dry gas with only small amounts of
condensate recovered during testing of the exploration wells. All three
fields contain high levels of nitrogen of between 8 and 15 mol. per cent.
with no reported hydrogen sulphide.
Production began in June 1985 and averaged 213 MMscf/day until
1991 when production went into decline.
The Forbes field was significantly affected by water influx. This led to
a reduction in the reserves attributed to the complex.
Production from Forbes ceased in February 1993 and from Esmond
and Gordon at the end of March 1995. The platforms are likely to be
decommissioned and removed in 1996. The pipeline will remain in
place. Gas from the Trent and Tyne fields will be evacuated through the
pipeline, which has been renamed EAGLES (East Anglia Gas and
Liquids Evacuation System).
43/8a STRATIGRAPHY AND STRUCTURE
Esmond Complex
The Esmond complex fields are relatively simple salt induced, domal
UNITED KINGDOM
ESMOND COMPLEX FORBES FIELD anticlines with no faulting apparent at top reservoir level. The local
TOP STRUCTURE stratigraphy is summarised below.
5900
(Contours in feet) The Middle Bunter Sandstone reservoir is some 400 to 500 feet thick and
5800
is sealed by the Rt Halite. The presence of gas in the Esmond complex
GWC
structures was indicated by a bright spot on the seismic sections which
delineated the extent of the gas-bearing sandstones.
43/12 43/13a 5700
3 1
GWC
2
1
3
4500 43/13a 43/13b
4600
4700
4800
2
UPPER
ESMOND FIELD CRETACEOUS
GEOSEISMIC CROSS-SECTION ACROSS
43/13b
3
THE ESMOND FIELD
43/15a JURASSIC W E
4
IC TWT
JURASS (secs)
KEUPER
TRIASSIC
1.0
helkalk
MUSC 5 Intra-Musc
TRIASSIC
1 nter
RT Middle Bu
MIDDLE
1.5
BUNTER 6
43/20a 5 2 44/16
G 30
55 WC0 1 Zechstein Group
00 LOWER
BUNTER
GORDON FIELD
7 2.0
PERMIAN Rotliegendes Group
(After Bifani ,1986) (Scale in 1000' s feet)
The Bunter Sandstone in the Southern North Sea area is generally recognised as Sediment was most probably sourced from the south and west, off the Pennine
having been deposited by fluviatile processes in an arid or semi-arid, continental High. To the north of the Esmond area, the Bunter Sandstones pass laterally into a
setting. mudstone dominated succession indicating the development of a permanent desert
The reservoir section present within the fields of the Esmond complex is lake. Sediment sourcing from a generally southerly direction is further indicated by
consistent with this overall braid-plain setting, and comprises cross-bedded channel regional thickness and facies distribution patterns.
fill sandbodies interstratified with non-channelised sheet-flood deposits. Towards the
top of the reservoir section, a regionally extensive mudstone horizon represents the
widespread development of a perennial desert lake.
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
0 (API Units) 150 ROCK 1.95 (g/cc) 2.95
LITH INTERPRETATION
AGE
H and K
and K controlled by the distribution of halite,
H carbonate and anhydrite cements.
H
6100
H
Alluvial plain,braided channel and minor sheet
H
flood sandstone.
H Geometry
H Forms a laterally extensive sheetlike sandbody.
H
and K
H and K controlled principally by the distribution
H
of halite,carbonate and anhydrite cements.
6200
H
H H
H
H H
H
H
Esmond Complex
GORDON Rt Fm.
10000
ESMOND FORBES 43/20a-1
43/13a-2 43/8a-1
Haisb. Gp.
t. 1000
in ss
al pla sert
Alluiv y de
in antl nes
Do m sto
mud Dominantly sheetflood
lake
Sheetflood and channel fill
Bacton Group
ds ?
san
l fill
nne lood
Cha sheetf
s
PERMEABILITY (md.)
and stone
d
san Dom
inan
tly s
hee 10
tfloo
0 d sa
nds
tone
s an
d sil
tsto
nes
100
1
200 feet
?
0.1
The braid plain depositional model developed for the greater Esmond
area predicts excellent lateral continuity of reservoir layers.
The reservoir layers recognised in the Esmond field as constituting
significant large-scale sequences can be correlated with confidence
Cores affected by Halite Dissolution
throughout the area. The reservoir sequence as a whole and each reservoir 0.01
T.D. layer, with the exception of the desert-lake mudstone horizon, show a 0 10 20 30
thickening to the south. POROSITY (per cent.)
Local thickness variations may reflect subtle controls exerted by
contemporaneous halokinesis. Concomitant with the thickness variations
resulting from early salt movement, lateral facies variations are to be Porosity and permeability show a wide range of values. Both are
expected, with sequences containing a higher proportion of channel fill, as strongly influenced by the textural characteristics of the reservoir
opposed to sheetflood deposits, developed in areas away from any sandstone, these reflecting variations in depositional process. Grain
developing salt induced structure. size, sorting, detrital clay and mica content will provide the most
significant controls on porosity and permeability.
Secondary diagenetic controls are exerted by the variable
FLUID PROPERTIES development of halite and carbonate cements, together with the
effects of compaction and the growth of illite rims around detrital
The Esmond complex fields contain a very dry gas with only traces of condensate grains.
recovered during testing of the exploration wells. Listed below are reported gas Halite cementation is locally significant and requires the use of oil
compositions in mol per cent. showing high nitrogen levels in Esmond, similar to those based muds and special core treatment to produce valid core
recorded in the Bunter sands of the Hewett field. analysis results. The above results indicate where incorrect
treatment of the cores has resulted in halite dissolution.
1.05
GAS DEVIATION FACTOR Z
RESERVOIR PRESSURE
PRESSURE (psig)
ESMOND GWC @ 4783 ft TVDSS
COMPOSITION ESMOND FORBES GORDON
(mol. %) 43/13a-1 43/8-1 43/20-1
5000 0.53 psi/ft
DEPTH (feet TVDSS)
6000
2000 2500 3000
CONTROLS ON RECOVERY
INITIAL RESERVOIR PRESSURE (psig)
The recovery factor achieved for the fields of the Esmond complex, which are
now abandoned, ranged from poor (in the case of Forbes) to very good (in the case
of Esmond):
common moderate to good permeabilities in braided fluvial and sheet flood relatively simple sheet geometry reservoir sandstones, separated by a laterally
sandstones persistent, vertically impermeable mudstone sequence, which is not detrimental
the impact of water influx which occurred in the all three fields due to the simple to overall recovery, as permeabilities are equally good above and below the
domal structures and lack of faulting in the aquifer, the Forbes field which is the mudstone
smallest of three, was most adversely affected by water influx compression facilities
very high offtake rates reducing the impact of water influx
FACILITIES SPECIFICATIONS
Esmond Complex
ESMOND ESMOND FORBES GORDON
UNITED KINGDOM
'CP' 'CW' 'AW' 'BW'
Accommodation 51 8 8
(emergency) (emergency)
Well Slots 12 9 9
Wells 7 3 3
Net Present Value 327.90 372.05 380.80 374.42 354.66 291.33 52.82
Net Present Value (Deflated) 365.53 366.44 325.00 270.60 187.90 -5.45 -593.24
Average Annual Daily Gas Rate (MMscf/day)
Profit/Inv Ratio 1.01 0.66 0.50 0.40 0.31 0.19 0.02 200
Profit/Inv Ratio (Deflated) 0.65 0.38 0.25 0.17 0.09 -0.00 -0.14
NPV/Unit Oil Equiv. 3.87 3.14 2.64 2.27 1.89 1.28 0.17
NPV/Unit Oil Equiv. (Deflated) 3.11 2.20 1.59 1.15 0.70 -0.02 -1.30
Net Present Value 211.56 224.63 211.68 189.42 152.56 61.11 -231.57 100
Net Present Value (Deflated) 223.23 185.45 116.89 42.57 -61.62 -290.40 -946.67
Profit/Inv Ratio 0.65 0.40 0.28 0.20 0.13 0.04 -0.09
Profit/Inv Ratio (Deflated) 0.40 0.19 0.09 0.03 -0.03 -0.11 -0.22
NPV/Unit Oil Equiv. 2.50 1.90 1.47 1.15 0.81 0.27 -0.74
NPV/Unit Oil Equiv. (Deflated) 1.90 1.11 0.57 0.18 -0.23 -0.88 -2.07 50
Earnings Data 0
Gross Revenue 892.06 1,246.16 1,520.18 1,734.09 1,976.67 2,402.15 3,310.77 1980 1985 1990 1995 2000
Royalty 28.52 42.85 54.24 63.26 73.59 91.92 131.62
Petroleum Revenue Tax 23.64 30.14 34.71 38.07 41.69 47.65 59.16 Year
Corporation Tax 116.34 147.42 169.11 185.00 202.10 230.22 284.40
Capital Expenditure 325.10 560.95 769.28 945.30 1,157.57 1,558.85 2,519.96
Operating Costs 186.90 240.17 281.15 313.05 349.16 412.39 547.20
Gross Revenue (Deflated) 1,234.80 1,749.56 2,150.97 2,465.74 2,823.90 3,454.68 4,809.90
Royalty (Deflated) 43.26 65.06 82.40 96.14 111.89 139.83 200.40
Petroleum Revenue Tax (Deflated) 29.27 37.42 43.15 47.36 51.91 59.41 73.91
Corporation Tax (Deflated) 142.30 180.98 208.12 228.03 249.52 284.94 353.43
Capital Expenditure (Deflated) 558.91 966.18 1,326.39 1,630.97 1,998.51 2,693.86 4,361.24
Operating Costs (Deflated) 237.83 314.47 374.03 420.66 473.69 567.03 767.59
Net Present Value -36.23 -35.36 -34.86 -34.54 -34.23 -33.78 -33.07 1983 0.0 0.0 0.0 50.0 0.0 0.0 0.0 -50.0 -239.2 0.0 0.0 0.0
Net Present Value (Deflated) -36.23 -35.36 -34.86 -34.54 -34.23 -33.78 -33.07 1984 0.0 0.0 0.0 150.0 0.0 0.0 0.0 -150.0 -635.4 0.0 0.0 0.0
NPV/Unit Oil Equiv. 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1985 56.3 0.6 10.0 100.0 0.0 0.0 0.6 -54.2 -202.4 0.0 85.0 0.0
1986 114.0 5.6 18.0 15.1 0.1 0.0 5.7 75.2 245.2 0.0 180.5 0.0
Post Corporation Tax 1987 141.3 10.7 17.1 10.0 0.1 0.0 10.7 103.5 302.1 0.0 215.1 0.0
1988 127.3 11.7 16.0 0.0 -0.1 0.0 11.6 99.7 263.5 0.0 185.1 0.0
Net Present Value -25.57 -24.96 -24.61 -24.38 -24.16 -23.85 -23.35 1989 107.4 0.0 16.0 0.0 0.0 22.1 22.1 69.4 158.9 0.0 200.1 0.0
Net Present Value (Deflated) -25.57 -24.96 -24.61 -24.38 -24.16 -23.85 -23.35 1990 122.1 0.0 16.0 0.0 15.0 28.4 43.4 62.7 123.4 0.0 196.1 0.0
NPV/Unit Oil Equiv. 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1991 102.9 0.0 15.6 0.0 6.1 27.7 33.9 53.4 88.9 0.0 156.1 0.0
1992 57.5 0.0 15.0 0.0 0.6 26.1 26.7 15.7 22.9 0.0 83.0 0.0
Earnings Data 1993 36.2 0.0 12.4 0.0 1.8 12.1 13.9 9.9 12.9 0.0 51.3 0.0
1994 25.6 0.0 11.8 0.0 0.0 6.9 6.9 7.0 8.3 0.0 38.0 0.0
Gross Revenue 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1995 1.9 0.0 4.0 0.0 0.0 3.8 3.8 -5.9 -6.3 0.0 2.7 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total To Start Of Discounting ( 1/JAN/1996)
Petroleum Revenue Tax -1.77 -1.73 -1.70 -1.69 -1.67 -1.65 -1.62 892.6 28.5 151.9 325.1 23.6 127.0 179.2 236.5 142.8 0.0 508.4 0.0
Corporation Tax -10.66 -10.40 -10.25 -10.16 -10.07 -9.94 -9.73
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Operating Costs 38.00 37.08 36.57 36.23 35.91 35.44 34.69 1996 0.0 0.0 38.0 0.0 -1.8 -10.7 -12.4 -25.6 -24.6 0.0 0.0 0.0
Gross Revenue (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total 0.0 0.0 38.0 0.0 -1.8 -10.7 -12.4 -25.6 -24.6 0.0 0.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) -1.77 -1.73 -1.70 -1.69 -1.67 -1.65 -1.62
Corporation Tax (Deflated) -10.66 -10.40 -10.25 -10.16 -10.07 -9.94 -9.73 These cash flows include Esmond, Forbes and Gordon fields only
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 38.00 37.08 36.57 36.23 35.91 35.44 34.69
22/4a Phillips 22/5a 22/5c SUMMARY
Amoco Rel.
0 4 km
The Everest gas condensate field was discovered in 1982 by Well
22/10a-2 which encountered gas condensate in Forties Formation
22/9 Amoco 22/10a 22/10c Rel. submarine fan sandstones. Further appraisal drilling identified four
Amoco structures and encountered further hydrocarbons in Andrew Formation
NORTHEAST sandstones to the North. Annex B approval was granted in 1991, and
2,2a first gas was achieved in 1993. Four separate accumulations can be
EVEREST
EVEREST 1 identified: North and South Everest whose reservoirs are located in the
Forties Formation, and East and North East Everest whose reservoirs
are located in the Andrew Formation. The field has been developed by
NORTH
means of two steel, bridge linked platforms and exports wet gas to
EVEREST 2
Teesside by means of the Central Area Transmission System ('CATS')
3 pipeline. Heavier hydrocarbons are evacuated to the Forties complex.
5 The field straddles three blocks with agreed unitisation.
EAST Current interests in the field are as follows:
3 EVEREST
4
22/9 22/10a 22/14a Everest
22/10b
SOUTH Amerada
EVEREST
British Gas plc 61.11 61.11 5.75 57.79
4 1 Amoco UK Petroleum Ltd* 22.22 22.22 4.25 21.14
Amerada Hess Ltd 16.67 16.67 50.00 18.67
Phillips Petroleum Co. UK Ltd 16.89 1.01
Fina Exploration Ltd 14.48 0.87
Agip (UK) Ltd 8.63 0.52
6
Assumed
22/14c 22/14a Amerada
2
22/15 Total unitisation split 44% 50% 6%
Rel.
operator *
Rock Properties
UNITED KINGDOM
trap, with gas condensate being trapped in Paleocene DEPTH STRUCTURE DEPTH STRUCTURE
turbiditic sandstone of the Montrose Group, Forties and 22/4
GDT 8779
0 4 km 0 4 km
Andrew Formations. The trap is formed by pinch out and
Everest
GWC @ 8617
shaling out of the sandstones to the north and east against (Contours in feet TVDSS) (Contours in feet TVDSS)
the Jaeren Basin Margin High against which the sandstone
2,2a
lobes abut, with dip closure down the gentle southwesterly Northeast Everest
00 22/4 22/5a
plunging anticlinal nose. 89 00
88 22/9 22/10a 22/10b
86 00
Lista Formation hemipelagic shales act as the seal for
87
00
2
the Andrew Formation. The Forties Formation is sealed by ? Pressure Barrier
8500
the Upper Paleocene Sele Formation.
89 9000
2,2a
00
The hydrocarbons have been sourced from the Upper 3
1
Jurassic Kimmeridge Clay Formation, which was deeply 3 5
83
buried in the Central Graben. Generation occurred during
00
2
the Tertiary, with migration probably via the graben 4 North Everest 00
South 85
boundary faults.
84
Everest
00
850 3
0
0 5
SEDIMENTOLOGY AND DEPOSITIONAL 1 850 00 3 850
86 0 0
ENVIRONMENT
00
4 870
87
4 00
86
850
0 0
Maureen, Andrew and Forties Formations were 87
0
deposited by turbidity currents on a submarine ramp, East
86
00
0 Everest
00
during the Paleocene. Post chalk deposition occurred in 1 90
88
22/9 22/10a 22/10b 8
4
three main phases: 22/14a 22/15
2 OWC @ 8741
(1) Maureen Formation: Mid to outer fan deposition in GDT 8610
an open marine environment. As a result of the similar
depositional environments and facies, Maureen Formation Depositional Limit of Quality Reservoir Sandstones
Northern Limit of Forties Formation (Shale out) Northern Limit of Andrew Formation (Shale out)
sediments are very difficult to distinguish from sediments
of the overlying Andrew Formation. (Modified after O'Connor and Walker, 1993)
7500
Horda Formation
Rogaland Group
8500 Forties Formation
Andrew Formation
9500
DEVONIAN
12500
N
PERMIA
13500
0 1 2 km
14500
VF
Geometry
Laterally extensive sheetlike mudstones,
ANDREW FORMATION
and k
Fair to good in the clean sandstones.
Mudstones act as vertical permeability
barriers.
Calcite and silica cementing common.
slk.
8750
Geometry
8900
frac. sandstones.
and k
MONTROSE GROUP
Geometry
Ribbon sandstones laterally linked into
sheets. Laterally impersistent mudstones
9000
4 3
1. ROGALAND GROUP 2. LISTA FORMATION 3. CHALK GROUP 4. UPPER CRETACEOUS
5. UPPER PALEOCENE 6. ANDREW FORMATION
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
East Everest
22/10a-3
10000
NW SE
North Everest East Everest
Everest
22/9-2 22/10a-4
South Everest
22/9-1 1000
An
dre
w
Low
er A
ndr
ew
100
Ma
ure
Fo en
PERMEABILITY (md.)
rtie
s
10
An
dre
w
1
Low
er A
ndr 0.1
ew
0
Mau
reen Andrew
100
Maureen
0.01
200 feet 0 10 20 30
POROSITY (per cent.)
8200
0 (cp)
8617 ft TVDSS
GOC @ 8690 ft TVDSS
0.27 psi/ft
0.89 0.1 OWC @ 8741 ft TVDSS
8800
0 1000 2000 3000 4000 5000 6000
PRESSURE (psig)
0.45 psi/ft
9000
CONTROLS ON RECOVERY
9200 0.45 psi/ft
The better reservoir quality of the Forties and Lower Andrew sandstones as a result of
grain dissolution and limited pore clogging by argillaceous and chloritic material should
result in good recovery factors for those units, despite the low structural relief of the field.
9400
The poorer permeability of Upper Andrew, however, will result in only fair to moderate
recovery. 3800 3900 4000 4100 4200 4300
Across the field in general the gas recovery factor is expected to be over 65 per cent. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 289 289
(feet)
Everest
Platform Type 2 bridge linked steel jackets
Function Drilling/prod/comp/accom. Riser for CATS
Jacket Weight 5000 2820
(tonnes)
Total Weight 14300 5600
(tonnes)
Accommodation 35
y
(Central Area Transmission System)
pipeline to Teeside
Heavier Liquid Export 14 x 63 km pipeline to Forties, MOL tie-in
then to Cruden Bay
yyy
Net Present Value (Deflated) 354.10 -35.32 -162.82 -220.30 -261.92 -302.71 -333.65
yyy
Net Present Value 385.79 52.41 -69.64 -127.52 -171.08 -216.12 -255.00 10
Net Present Value (Deflated) 164.08 -122.02 -218.42 -262.06 -293.52 -323.79 -344.74
Profit/Inv Ratio 0.43 0.07 -0.10 -0.20 -0.28 -0.38 -0.51 50
Profit/Inv Ratio (Deflated) 0.16 -0.14 -0.27 -0.35 -0.41 -0.49 -0.60
NPV/Unit Oil Equiv. 2.92 0.69 -1.24 -2.73 -4.37 -7.07 -12.17
NPV/Unit Oil Equiv. (Deflated) 1.47 -1.82 -4.31 -6.14 -8.11 -11.31 -17.23 5
25
Nominal Rate Of Return % 6.15
Real Rate Of Return % 2.45
Earnings Data
0 0
Gross Revenue 2,304.54 1,247.49 901.21 736.70 608.77 465.67 310.47 1990 1995 2000 2005 2010 2015 2020
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Corporation Tax 270.95 121.55 77.25 57.70 43.44 28.77 14.97
Capital Expenditure 903.23 762.44 693.79 653.24 616.27 566.64 496.68
Operating Costs 744.57 311.10 199.81 153.28 120.15 86.38 53.82
Gross Revenue (Deflated) 1,867.50 1,062.78 787.05 652.83 546.64 425.51 290.57
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 190.02 86.70 55.60 41.76 31.60 21.08 11.09
Capital Expenditure (Deflated) 1,026.16 871.61 795.72 750.73 709.59 654.18 575.70
Operating Costs (Deflated) 487.24 226.50 154.15 122.41 98.97 74.04 48.53
1989 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -22.9 0.0 0.0 0.0
1990 0.0 0.0 0.0 90.0 0.0 0.0 0.0 -90.0 -177.1 0.0 0.0 0.0
1991 0.0 0.0 0.0 325.0 0.0 0.0 0.0 -325.0 -540.6 0.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1992 0.0 0.0 0.0 300.0 0.0 0.0 0.0 -300.0 -436.9 0.0 0.0 0.0
1993 70.1 0.0 11.7 50.0 0.0 0.0 0.0 8.4 10.9 3.6 70.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1994 109.1 0.0 19.9 30.0 0.0 0.0 0.0 59.2 70.1 5.6 107.0 0.0
1995 126.0 0.0 20.2 0.0 0.0 0.0 0.0 105.8 113.2 6.1 120.0 0.0
Pre Corporation Tax Total To Start Of Discounting ( 1/JAN/1996)
305.1 0.0 51.8 805.0 0.0 0.0 0.0 -551.7 -983.3 5.6 108.4 0.0
Net Present Value 1,208.42 955.36 832.72 762.55 700.63 621.14 517.23
Net Present Value (Deflated) 1,019.70 804.20 704.27 647.71 598.00 534.27 450.70 1996 140.6 0.0 20.2 30.0 0.0 0.0 0.0 90.4 87.0 6.2 130.0 0.0
NPV/Unit Oil Equiv. 11.15 11.77 11.88 11.90 11.87 11.79 11.59 1997 145.7 0.0 20.8 52.0 0.0 0.0 0.0 72.9 62.4 5.8 130.0 0.0
1998 150.3 0.0 21.4 16.2 0.0 0.0 0.0 112.6 85.9 5.4 130.0 0.0
Post Corporation Tax 1999 155.0 0.0 22.0 0.0 0.0 0.0 0.0 133.0 90.3 5.0 130.0 0.0
2000 159.8 0.0 22.6 0.0 0.0 0.0 0.0 137.2 82.9 4.6 130.0 0.0
Net Present Value 937.47 784.32 700.33 650.11 604.60 544.62 463.59 2001 165.9 0.0 23.4 0.0 0.0 26.0 26.0 116.4 62.6 4.5 130.0 0.0
Net Present Value (Deflated) 829.68 682.21 608.98 566.34 528.14 478.19 410.97 2002 147.8 0.0 23.7 0.0 0.0 40.1 40.1 84.1 40.2 3.7 111.9 0.0
NPV/Unit Oil Equiv. 8.65 9.66 10.00 10.14 10.25 10.34 10.39 2003 132.0 0.0 24.3 0.0 0.0 35.7 35.7 72.0 30.6 3.1 96.3 0.0
2004 117.8 0.0 24.8 0.0 0.0 31.6 31.6 61.3 23.2 2.6 82.8 0.0
Earnings Data 2005 104.9 0.0 25.4 0.0 0.0 27.7 27.7 51.8 17.5 2.1 71.3 0.0
2006 93.8 0.0 26.1 0.0 0.0 24.0 24.0 43.6 13.1 1.8 61.3 0.0
Gross Revenue 1,999.42 1,429.74 1,206.23 1,088.72 990.18 869.70 720.56 2007 83.8 0.0 26.9 0.0 0.0 20.7 20.7 36.2 9.7 1.5 52.8 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2008 75.0 0.0 27.8 0.0 0.0 17.5 17.5 29.6 7.0 1.3 45.4 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2009 67.1 0.0 28.8 0.0 0.0 14.6 14.6 23.7 5.0 1.1 39.1 0.0
Corporation Tax 270.95 171.03 132.39 112.44 96.03 76.52 53.63 2010 59.7 0.0 29.8 0.0 0.0 11.9 11.9 18.0 3.4 0.9 33.6 0.0
Capital Expenditure 98.23 91.97 88.59 86.47 84.44 81.58 77.23 2011 49.4 0.0 28.4 0.0 0.0 9.4 9.4 11.6 1.9 0.0 28.9 0.0
Operating Costs 692.77 382.42 284.93 239.71 205.11 166.97 126.10 2012 44.2 0.0 28.1 0.0 0.0 6.5 6.5 9.7 1.4 0.0 24.9 0.0
2013 39.5 0.0 27.6 0.0 0.0 5.0 5.0 6.9 0.9 0.0 21.4 0.0
Gross Revenue (Deflated) 1,547.61 1,153.86 993.86 908.07 835.07 744.34 629.34 2014 35.4 0.0 27.3 0.0 0.0 3.7 3.7 4.3 0.5 0.0 18.4 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2015 31.8 0.0 27.1 0.0 0.0 2.5 2.5 2.1 0.2 0.0 15.9 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 190.02 121.99 95.28 81.38 69.86 56.08 39.73 2016 0.0 0.0 186.2 0.0 0.0 -6.2 -6.2 -180.0 -16.8 0.0 0.0 0.0
Capital Expenditure (Deflated) 95.00 89.03 85.79 83.76 81.83 79.10 74.93
Operating Costs (Deflated) 432.90 260.64 203.80 176.59 155.24 130.97 103.71 Total 1,999.4 0.0 692.8 98.2 0.0 270.9 270.9 937.5 609.0 18.1 541.7 0.0
3
3
4 4,4A
LOCAL SETTING
The Forties field is located near the northern end of the Forties-
Montrose Ridge, within the Central Graben. The nearest field is Nelson
in Block 22/11 which also has oil in the Forties Formation. Montrose and
Arbroath fields, which are further to the southeast in Quadrant 22, also
RESERVOIR CHARACTERISTICS produce from sands of Paleocene age. To the southwest lies the
Kittiwake field which produces from Jurassic sands. To the northwest is
Fluid Properties the Buchan field, producing from Devonian sandstones, and to the north
lies the Alba field in Quadrant 16, with oil in sands of Eocene age.
Oil Gravity (API) 37
Gas/Oil Ratio (scf/stb) 344
Bubble Point Pressure, Pb (psig) 1100-1350
Formation Volume Factor at Pi (rb/stb) 1.20
Oil Compressibility (vol/vol/psi) 10 x 10-6
Original Reservoir Pressure, Pi (psig) 3215
At Datum Depth of (TVDSS) 7135
Reservoir Temperature (F) 205
Rock Properties
UNITED KINGDOM
eastsoutheast trending Forties-Montrose High, within the TOP PALEOCENE
Central Graben. Hydrocarbons are found in the Paleocene DEPTH STRUCTURE
22 23
50
Forties
sandstones of the Forties Formation. The initial OWC was 2 00
22
at 7274 feet TVDSS with a vertical closure of about 550
50
22
feet. The Forties-Montrose High was a positive feature FB 00
during the Eocene when trapping occurred. Structural
closure probably results from differential compaction of
sediments draped over the Forties-Montrose High, 21
00
although faults to the west of the high show evidence of
Eocene movement and this may have contributed to the
FA
closure. The maximum structural dip on the flanks of the
3a FD 1
structure is about 10 degrees and no significant faulting is FC 4
recorded at the reservoir horizon. Trapping may be partly 2100 2,3
stratigraphic if the reservoir sands shale out over the crests FE
of rotated fault blocks. The seal is formed by overlying
5 5
mudstones of the Rogaland Group (Balder and Sele
Formations) and overlying and interbedded mudstones of 8 1
7
the Lista and Forties Formations.
2250
SEDIMENTOLOGY AND DEPOSITIONAL
ENVIRONMENT
0 3 km
The sediments of the Forties Formation were deposited
mainly by turbidity currents on a submarine ramp during the (Contours in metres) 2 300
2000
Upper Hordaland Group/Nordland Group
4000
6000
Horda Formation
8000
Chalk Group Montrose and Rogaland Groups
10000
Fladen Group
12000
AGE
VF
Geometry
S Individual sand units have ribbon
geometries and are amalgamated to form
FORTIES FORMATION
UPPER PALEOCENE
MONTROSE GROUP
and K
K Py and K of sandstones good to very good.
K Mudstones in upper part may act as vertical
permeability baffles or barriers.
loose sand
and rubble
7400
S
M
loose sand K
and rubble
loose sand
Unconfined turbiditic sandstones with thin
low density turbiditic mudstones.
Geometry
Sheet geometry sandstones and
mudstones.
and K
generally good, K variable from very poor
7500
S.E. Forties
Balder Formation
Forties
21/10-1
Sele Fm.
Charlie 1000
Sand
22/6-4
Charlie Shale
100
PERMEABILITY (md.)
TD 10
100 22/6a-5
1
200 1
3
2
300 feet
Forties Formation
Montrose Group
Main Field
South East Field
Maureen Formation 0.01
21/10-5
0 10 20 30 40
The Forties field contains an undersaturated 37 degrees API gravity oil with an average
gas oil ratio of approximately 344 scf/stb. Well 21/10-3A in the west of the field tested oil 6600
with a GOR of 330 scf/stb, properties for which are presented below.
6800
400 1.25 1.6
GOR
1.4 0.32 psi/ft
7000
300 1.20 B0
DEPTH (feet TVDSS)
1.2
GOR (scf/stb)
B0 (rb/stb)
7200
0 (cp)
0.8 7400
100 1.10
0.6 0.44 psi/ft
0
7600
@ 205 F
0 1.05 0.4
0 1000 2000 3000 4000
CONTROLS ON RECOVERY
Recovery factor for the field is expected to be high at approximately 60 per cent.
for the reasons listed below:
Sand quality is very good. The reservoir comprises two major sand packages the expectation that the field will produce to higher limiting water cuts than were
with excellent internal connectivity, separated by the impermeable Charlie Shale. previously anticipated. Additional artificial lift and water handling facilities have
The field is structurally a very simple anticline with no significant faulting. Both been necessary to achieve the current reserves estimate, together with an infill
these factors lead to very high waterflood sweep efficiency. drilling programme. A major programme of artificial lift based on gas lift in the
Reserve estimates were significantly revised upwards in the 1980s, based on main field area and ESP facilities in Southeast Forties has been installed.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 348-417 312 395
Forties
(feet)
Platform Type steel jacket steel jacket steel jacket
Function drilling/production/ production riser
accommodation
Jacket Weights ca. 13000 8000 7500
(tonnes)
Total Weights ca. 30000 13700 10300
(tonnes)
PRODUCTION PERFORMANCE
HISTORICAL AND PROJECTED
600
(A BP Photograph)
These cash flows include Forties field only. No tariffing income nor pipeline and terminal costs are included
30/11b Amoco 30/12b Amoco SUMMARY
6 2
4 The Fulmar field is located in Quadrant 30 some 270 km east
HALLEY southeast of Aberdeen. The field was discovered in 1975 by Well 30/16-
3 6 which encountered oil in Upper Jurassic sands of the Fulmar
Formation.
30/16 Shell A 30/17b BP Development of the Fulmar field began in 1978 and involves two
6
AD steel platforms: Platform A is the main processing facility and AD acts
FULMAR LEVEN as a wellhead protector. First oil was produced in February 1982 and
7 9 peak oil production was achieved in 1986. Oil is currently exported via
7 tankers although discussions are underway between Phillips and Shell
5 8 6
2 CLYDE
about diverting oil production from Fulmar field through the Judy oil
export line to join Norpipe. The decision is imminent and exports
5
13
3
through the Judy pipeline may begin in 1996 or 1997. This will make the
4
Fulmar Floating Storage Unit (FSU) redundant, although at present,
MEDWIN
there are no immediate plans for its disposal. Gas is exported to St
4 Fergus via a 20" pipeline. First gas was produced in July 1986, although
1 3 AUK in the latter years of the field's life, all gas production will be needed as
A 1 platform fuel, so ending its export.
2 9 10 The current interests in the Fulmar field in per cent. are:-
operator *
30/17a Phillips
30/21 Shell 30/22b Mobil
0 5 km
Rock Properties
UNITED KINGDOM
Jurassic sandstones of the Fulmar Formation with additional
OWC 10590
accumulations in the Kimmeridge Sand Member of the
Fulmar
Kimmeridge Clay Formation, which is Volgian in age. The
10400
Fulmar Formation is between 500 and 1100 feet thick in the
30/16 30/17b Fulmar field area. The Fulmar structure is a dome anticline
10200 with prominent dipping flanks situated on a fault-bounded
10000
terrace which forms the western margin to the Central
Graben, adjacent to the Auk Ridge. The Fulmar structure
appears to show the influence of both halokinesis and
100
10
00
A extensional tectonics and is transected by a series of
40
10 2
10
0
northwest-southeast trending eastwards dipping normal
00
10
80
100
60
0
faults, parallel to the Auk Ridge. Subsidiary, westward-
00
6
hading antithetic faults are also present. Reservoir units are
progressively truncated towards crestal areas, particularly in
7
the north and northeast of the area. The overlying
Kimmeridge Clay Formation mudstones form the seal in the
OWC 10840 FULMAR
western flank of the field, while the eastern flank is
40
0
0
TOP FULMAR SAND unconformably overlain by Chalk Group sediments. The
10 06
0
1 DEPTH STRUCTURE OWC is at 10840 feet TVDSS within the main structure,
00
108
0 1 km although a fault-bounded block in the northern area of the
field has an OWC at 10590 feet TVDSS.
(Contours in feet TVDSS)
The principal reservoir horizon in the Fulmar field is the Oxfordian to and bivalve remains form stacked coarsening and fining upwards sequences. They
Kimmeridgian Fulmar Formation. These sediments accumulated in a tectonically are generally restricted to the upper part of the Fulmar Formation on the northern
active basin and are interpreted as storm-emplaced, shallow marine shelf and eastern flanks of the field (Clyde Member), and represent "distal", shallow
sandstones, possibly sourced from the Auk Ridge to the west. The Fulmar Formation marine shelf sandstones. A sand unit developed within the Kimmeridge Clay
comprises very fine grained, argillaceous, locally glauconitic, bioturbated Formation on the west flank of the field forms a subordinate reservoir horizon. These
sandstones, fine grained, generally massive or mottled sandstones and fine to sandstones are massive, graded and parallel laminated and are interpreted as
medium grained, massive, locally cross bedded sandstones. These sediments turbiditic sandstones deposited in a deeper marine, euxinic setting, below storm
represent upwards coarsening, major regressive sequences of "distal" to "proximal" wave base. The Kimmeridge Clay Formation mudstones separate these sandstones
shallow marine shelf sandstones (Forth, Usk and Lydell Members). Units of poorly from the Fulmar Formation.
sorted, fine grained, argillaceous, bioturbated sandstones with siliceous sponge
TERTIARY
5000
PERMIAN
10000
Kimmeridge Clay Formation Fulmar Formation
Chalk Group
TRIASSIC
Zechstein Group
15000
0 1 2 3 km (After Johnson et al 1986)
AGE
VF
Geometry
Thin, sheetlike sand units, stacked and
coalesced to form laterally extensive, sheet
Py geometry sediment body.
10400
and K
and K expected to be moderate in upper
part, becoming poor in lower part. Silica
cements in very fine and fine grained,
argillaceous sandstones have reduced
MIDDLE KIMMERIDGIAN
and K.
FULMAR FORMATION
HUMBER GROUP
10500
Si
Si
10600
Si
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
W
30/16-7 10000
30/16-6
Fulmar
Clay
Formation
1000
E 4
Ribble Mbr.
30/16-FA09
30/16-FA10
Chalk Group 7
6
Humber Group
UPPER JURASSIC
Avon Mbr.
Mersey 100
3 5
Member Clyde Mbr. 1
Fulmar Formation
2
PERMEABILITY (md.)
Lydell member
10
Usk
"Triassic Group"
Smith Bank Fm.
Member
TRIASSIC
0.01
The reservoir sands in the Fulmar Field can be subdivided into reservoir zones on the 0 10 20 30 40
basis of lithofacies distribution. The uppermost unit of turbiditic sandstones forms a wedge
POROSITY (per cent.)
in the western flank of the field, and is referred to as the Ribble Member. The Avon Member
mudstones form a unit 30 to 40 feet thick separating the Ribble Member from the Fulmar
Formation. Five zones are recognised within the Fulmar Formation. The lower three units, The Ribble Member sandstones have the best reservoir quality
the Forth, Usk and Lydell members, relate to the major coarsening upwards sequence of with very good porosities of 25 to 30 per cent. and very good
sandstones recognised in the central and eastern parts of the area. The uppermost Mersey permeabilities of 1000 to 10000 md. Fulmar Formation sandstones
Member is present in the west and passes eastwards into the finer grained, more have moderate to very good porosities ranging from 10 to 30 per
argillaceous sandstones of the Clyde Member. Sandstones within zones comprise thin, cent. and very poor to very good permeabilities ranging from < 0.1 to
sheetlike units which are stacked and coalesced to form thicker, sheet geometry units. 40000 md. Distribution of porosity and permeability values is
Sediments rich in siliceous sponge remains may form more elongate, lenticular sediment principally controlled by primary textural characteristics and hence
bodies. No significant field-wide restrictions to vertical flow appear to exist within the Fulmar by facies. Thus the more argillaceous and finer grained Forth
Formation. Member generally has the poorest reservoir quality with poor to
moderate porosities (12-15 per cent.) and very poor permeabilities
(<0.1 md). The Usk and Clyde Members have moderate to good
porosities (15-20 per cent.) and poor to good permeabilities (1-1000
md). The Lydell and Mersey Members are generally the coarsest
grained sediments in the Fulmar Formation and exhibit the best
FLUID PROPERTIES reservoir quality. Porosities are good (20-30 per cent.) and
permeabilities are good to very good (500-4000 md). Bioturbated
The Fulmar field contains a moderately light oil. It has a moderately low viscosity and intervals rich in detrital clay are likely to contain dolomite cement
high GOR. It is undersaturated at initial reservoir conditions. A slight variation in fluid which further reduces porosities in the poor reservoir quality units.
properties with depth has been noted. Laboratory miscibility tests have shown the reservoir Dissolution of siliceous sponge spicules may locally enhance
fluid to be miscible with the Fulmar solution gas, miscibility pressure being about 3500 psi. reservoir quality.
B0 (rb/stb)
fault bounded block in the northern area of the field. The main OWC
0 (cp)
10200
0.28 psi/ft
CONTROLS ON RECOVERY
DEPTH (feet TVDSS)
10400
Overall recovery factors are expected to be very good in the Fulmar field, in excess of
50 per cent. Recovery is expected to be excellent in the Lydell sand, very good in the
Northern Area
Mersey sand, good in the Ribble and Usk sands and poor in the Clyde sand. The high
10600 OWC @ 10590 ft TVDSS
expected recovery is due to the following factors:
the high average permeability which varies from 5 md to 10 Darcies over the field; over 0.48 psi/ft
80 per cent. of the reservoir consists of high permeability sands. 10800 Main Field
the favourable water oil mobility ratio, calculated to be 0.86; this ensures a good OWC @ 10840 ft TVDSS
displacement under waterflood. 0.48 psi/ft
the moderate to high structural dip, varying between 25 in the south-west, 12 in the
11000
south and 8 in the east; this assists gravity segregation under combined water and gas
5500 5600 5700 5800 5900 6000
injection.
the misciblility between injected gas and the reservoir oil which assists oil displacement. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
A AD
UNITED KINGDOM
Water Depth 274 274
Fulmar
(feet)
Platform Type steel jacket steel jacket
Function drilling/production/ wellhead jacket
accommodation/
compression
Jacket Weight 12400 1406
(tonnes)
Total Weight 45310 3016
(tonnes)
Accommodation 229 0
Well Slots 36 6
Wells 33 5
(A Shell Photograph)
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@@
Average Annual Daily Liquid Rate (Mbbl/day)
Profit/Inv Ratio 1.68 1.41 1.25 1.15 1.04 0.90 0.68
@@@
Net Present Value 1,234.12 706.37 511.37 412.98 333.31 240.38 134.50
100
Net Present Value (Deflated) 1,573.04 832.75 554.72 413.77 299.57 166.70 17.16
Profit/Inv Ratio 1.01 0.85 0.74 0.67 0.61 0.51 0.36
Profit/Inv Ratio (Deflated) 0.68 0.49 0.38 0.31 0.25 0.16 0.02
NPV/Unit Oil Equiv. 2.06 2.06 2.03 1.99 1.94 1.83 1.55 50
NPV/Unit Oil Equiv. (Deflated) 1.83 1.64 1.46 1.31 1.13 0.81 0.12
50
Nominal Rate Of Return % 34.19
Real Rate Of Return % 20.77
Earnings Data
0 0
Gross Revenue 8,576.89 4,978.29 3,706.66 3,079.00 2,578.03 2,001.82 1,354.37 1980 1985 1990 1995 2000 2005
Royalty 844.09 494.14 367.51 304.54 254.11 196.03 130.88
Petroleum Revenue Tax 3,009.82 1,779.89 1,321.48 1,091.28 906.17 692.51 453.40 Year
Corporation Tax 823.29 474.22 349.82 288.36 239.37 183.19 120.60
Capital Expenditure 1,225.50 835.82 688.40 611.96 548.33 471.03 375.87
Operating Costs 1,389.69 649.53 435.37 340.36 270.06 195.67 120.97
Gross Revenue (Deflated) 12,530.66 7,581.44 5,761.92 4,844.60 4,101.28 3,231.73 2,231.58
Royalty (Deflated) 1,238.70 747.19 564.67 472.52 397.89 310.81 211.28
Petroleum Revenue Tax (Deflated) 4,453.57 2,672.68 2,003.11 1,664.50 1,390.60 1,072.09 711.44
Corporation Tax (Deflated) 1,189.63 707.05 529.78 440.75 368.94 285.50 190.84
Capital Expenditure (Deflated) 2,323.72 1,709.37 1,459.59 1,324.96 1,209.78 1,065.51 880.42
Operating Costs (Deflated) 1,652.94 837.03 585.68 469.99 381.98 285.82 184.74
CASH FLOW REPORT
Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1977 0.0 0.0 0.0 15.0 0.0 0.0 0.0 -15.0 -232.4 0.0 0.0 0.0
1978 0.0 0.0 0.0 35.0 0.0 0.0 0.0 -35.0 -432.7 0.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1979 0.0 0.0 0.0 90.0 0.0 0.0 0.0 -90.0 -950.8 0.0 0.0 0.0
1980 0.0 0.0 0.0 130.0 0.0 0.0 0.0 -130.0 -1121.9 0.0 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1981 0.0 0.0 0.0 160.0 0.0 0.0 0.0 -160.0 -1085.3 0.0 0.0 0.0
1982 388.8 15.3 35.0 75.0 0.0 0.0 60.0 218.7 1226.5 56.0 0.0 0.0
Pre Corporation Tax 1983 867.3 68.7 50.0 40.0 117.6 0.0 191.9 585.3 2800.2 119.1 0.0 0.0
1984 1054.0 109.1 50.0 160.0 393.6 149.3 651.9 192.1 813.6 126.1 0.0 0.0
Net Present Value 113.14 100.36 93.39 89.04 84.91 79.11 70.42 1985 854.0 106.0 65.0 160.0 364.6 141.3 612.0 17.0 63.3 110.1 0.0 0.0
Net Present Value (Deflated) 104.80 92.53 85.91 81.80 77.91 72.46 64.33 1986 625.3 77.6 60.0 40.0 324.8 104.8 507.1 18.2 59.3 172.1 19.0 0.0
NPV/Unit Oil Equiv. 4.15 4.03 3.95 3.89 3.83 3.74 3.57 1987 722.9 69.7 60.0 20.0 378.3 53.1 501.1 141.8 413.8 170.1 40.0 35.5
1988 511.4 63.0 60.0 20.0 284.7 58.1 405.7 25.6 67.7 154.6 30.0 54.8
Post Corporation Tax 1989 493.9 48.5 75.0 25.0 233.2 40.1 321.8 72.1 165.1 116.4 26.0 36.5
1990 742.2 65.0 65.0 10.5 366.6 41.4 473.0 193.7 381.2 148.3 44.0 38.0
Net Present Value 63.15 53.40 48.10 44.79 41.66 37.28 30.75 1991 474.8 66.6 67.0 20.0 252.5 59.3 378.3 9.5 15.9 107.7 32.0 34.5
Net Present Value (Deflated) 56.33 46.99 41.97 38.86 35.93 31.84 25.78 1992 380.2 44.4 69.0 5.0 174.7 39.0 258.1 48.1 70.0 87.1 62.0 30.0
NPV/Unit Oil Equiv. 2.31 2.15 2.03 1.96 1.88 1.76 1.56 1993 301.4 34.9 70.0 15.0 109.4 29.7 174.0 42.4 55.1 59.1 61.0 61.8
1994 248.3 27.3 70.0 25.0 57.0 30.7 115.0 38.3 45.4 47.1 41.0 83.6
Earnings Data 1995 194.8 19.1 70.0 60.0 21.0 26.5 66.6 -1.8 -1.9 28.2 24.7 107.4
Total To Start Of Discounting ( 1/JAN/1996)
Gross Revenue 717.59 635.77 594.72 570.10 547.41 516.55 472.26 7859.3 815.2 866.0 1105.5 3077.9 773.3 4716.8 1171.0 2352.0 548.2 138.6 176.0
Royalty 28.88 29.22 29.03 28.79 28.50 27.96 26.94
Petroleum Revenue Tax -68.12 -44.35 -34.24 -28.78 -24.13 -18.43 -11.46 1996 172.3 13.0 68.3 120.0 2.5 22.4 37.9 -54.0 -51.9 21.6 17.8 105.8
Corporation Tax 49.99 46.96 45.30 44.25 43.25 41.83 39.67 1997 150.5 10.4 69.2 0.0 0.0 13.4 23.8 57.6 49.3 16.4 12.4 96.2
Capital Expenditure 120.00 117.11 115.47 114.42 113.39 111.90 109.54 1998 127.6 8.2 70.2 0.0 8.3 10.9 27.4 29.9 22.8 12.5 8.3 83.8
Operating Costs 523.69 433.43 391.07 366.63 344.75 316.00 276.81 1999 105.3 6.0 71.3 0.0 4.1 2.9 13.0 21.1 14.3 9.6 5.2 69.2
2000 89.2 4.2 64.4 0.0 0.0 2.4 6.6 18.3 11.0 7.2 1.1 61.5
Gross Revenue (Deflated) 663.28 590.95 554.51 532.60 512.36 484.77 445.03 2001 40.9 1.8 36.6 0.0 0.0 1.6 3.4 0.9 0.5 0.0 0.0 44.8
Royalty (Deflated) 29.82 29.48 29.01 28.64 28.22 27.57 26.41 2002 31.8 0.0 25.4 0.0 0.0 -2.6 -2.6 9.1 4.4 0.0 0.0 33.6
Petroleum Revenue Tax (Deflated) -49.14 -31.37 -23.85 -19.78 -16.34 -12.12 -6.99 Remain
Corporation Tax (Deflated) 48.48 45.54 43.94 42.93 41.97 40.62 38.55 2003 0.0 -14.8 118.4 0.0 -83.0 -0.9 -98.7 -19.7 -8.4 0.0 0.0 20.6
Capital Expenditure (Deflated) 120.00 117.11 115.47 114.42 113.39 111.90 109.54
Operating Costs (Deflated) 457.80 383.22 347.96 327.53 309.17 284.96 251.73 Total 717.6 28.9 523.7 120.0 -68.1 50.0 10.7 63.2 42.0 24.6 16.4 188.1
These cash flows include Fulmar field plus tariff income from Nelson, Gannet, Clyde, Leven and Medwin. Some tariff streams
extend beyond 2002 when system availability becomes uncertain
'J' STRUCTURE 48/15b SUMMARY
British Gas
AUDREY 3
3,3A 2
1
The Galleon field is located in the Sole Pit area of the Southern Gas
Basin approximately 120 km east of Theddlethorpe. The structure was
6 2 discovered by Well 48/20a-1 in 1969 (gas shows) and Well 48/15a-5 in
3
1985 (successful gas test). The structure has been further appraised by
1 ENSIGN 1
three wells which show that the field extends across Blocks 48/14,
BARQUE 4 48/15 and 48/20. Furthermore, the southern area of the field comprises
EXTENSION a separate fault block, namely Frigate, which has a much shallower gas
2
water contact to that of the main field. Development comprises two
4 9 phases. The first phase of the field development was completed in
5
49/11 1994, with the installation of a minimum facilities platform in the
48/14 Shell 48/15a Conoco Phillips
southeastern part of the field. This is controlled from the Clipper
48/19a Shell
11 platform. A second phase will occur before the end of the decade with
6 1
5
the installation of a further platform in the northwestern area of the field
5 2 following further reservoir appraisal work. Gas is exported to Bacton.
5 Production commenced as planned in October 1994.
1 The current interests in the Galleon field in per cent. are:-
CLIPPER
2 3 11
Conoco 10.00
3 GALLEON Esso 40.00
4
Powergen 10.00
3 4
CLIPPER RD/Shell* 40.00
8
SOUTH 7
7,10,12
* operator
48/19c
Shell
8 2 Currently the unitisation split for Galleon is Shell 40 per cent, Esso
6 9 40 per cent., Conoco 10 per cent. and Powergen 10 per cent. This is
ANGLIA 49/16
48/19b Ranger 48/19d Amerada 48/20 Shell N.VALIANT Conoco subject to redetermination.
Fluid Properties The Galleon field is situated in the Sole Pit area in the western area
of the Southern North Sea. The field is in 82 feet of water, 80 kms
Gas Gravity S.G. (air =1) 0.594 northeast of Bacton on the Norfolk Coast. It is surrounded by existing
Gas Expansion Factor (vol/vol) 0.0045 fields, including the undeveloped Ensign discovery to the north, Barque
Reservoir Pressure, Pi (psia) 3813 to the northwest, Clipper to the southwest, North Valiant to the
at Datum Depth of (ft TVDSS) southeast and finally Audrey to the northeast, all containing gas in the
Reservoir Temperature (F) 174 Rotliegendes. Reservoir quality in the area is typically moderate to poor.
Poor permeability fields are found to the southwest, in the area of the
Rock Properties Sole Pit inversion axis, and to the north, where the reservoir becomes
progressively more argillaceous. Reservoir quality typically improves to
Rock Type Sandstone the southwest, where the reservoir becomes dominated by better
Stratigraphic Unit Rotliegendes Group quality sandstone facies.
Geological Age Lower Permian
Porosity Range (per cent.) 8-20
Permeability Range (md) 0.1-50 predominantly
Average Water Saturation (per cent.)
Gas Water Contact (ft TVDSS) 8420 (8258 in Frigate fault block)
Depth to Top of Structure (ft TVDSS) 7800
Reserves
The Galleon field is located in the Sole Pit area of the Southern North Sea. The TVDSS, and a maximum gas column of approximately 600 feet. The Galleon
UNITED KINGDOM
area is characterised by northwest to southeast trending faults giving rise to a accumulation is separated from the Frigate fault block by a fault which seals and
complex of elongate fault blocks at Rotliegendes Group level which is reflected in the supports a markedly different gas water contact between the two blocks.
Galleon
field's long axis being parallel to this grain. The accumulation is delineated by both The reservoir is the Lower Permian Rotliegendes Group sandstone. The
normal faulting and dip closure with the reservoir top at approximately 7800 ft overlying evaporitic Zechstein Group acts as a seal.
3000
TRIASSIC
4000 Haisborough Group
5000
7000
PERMIAN Zechstein Group
8000
PERMIAN Rotliegendes Group
9000
CARBONIFEROUS
10000 0 2 km
The Rotliegendes Group represents a series of clastic facies types, deposited The reservoir sequence is capped by a generally massive sandstone (the
within a semi-arid environment. Weissliegend) which tends to be well cemented and of poor reservoir quality. The
Three main facies assemblages occur at Galleon, namely aeolian, fluvial and layer is interpreted to represent a partial reworking of sands by the influx of the
sabkha. The aeolian deposits comprise dune and interdune sandstones, and are Zechstein Sea.
typically clean, well sorted sandstones forming the main productive layers in an Four main reservoir units can be recognised based on facies characteristics. The
otherwise poor quality reservoir. uppermost is a thin sand interpreted to represent sand reworking during Zechstein
The fluvial deposits are typically clean to argillaceous, generally poorly sorted transgression. Below this, the upper part of the reservoir is dominated by
sandstones and comprise relatively poor quality reservoir. interbedded fluvial and sabkha (in the north) and aeolian and sabkha (in the south)
The sabkha deposits are typically very poorly sorted, muddy sandstones with sediments. Below this unit is a thick sequence of aeolian dune sands, and at the
poor reservoir quality. base is a fluvial dominated unit.
DEPTH (feet)
CORE CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
DESCRIPTION 0 150 ROCK 1.95 2.95
AGE
CLAY
VF
8000
Geometry
48/14-4 Laterally impersistent fluvial sands, passing
8050
and k
Moderate in fluvial sands, improving
laterally into aeolian sands
8100
LEMAN SANDSTONE FORMATION
ROTLIEGENDES GROUP
8150
PERMIAN
Geometry
8200
and k
Good in clean aeolian sands, and poor in
muddy, poorly sorted sabkha sands
8250
8300
Aeolian dune
Geometry
Sheet geometry dune complex
and k
Good quality clean, well sorted sandstones
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
NW SE 10000
48/14-4 48/15a-5 48/20-1 48/20a-5 48/20a-3A
Galleon
1 3
Rotliegendes Group
1000
100
2 5
PERMEABILITY (md.)
0
1. Zechstein Group
2. Coal Measures Group
Fluvial and Interdune / Sabkha deposits 10
3. LATE PERMIAN
Aeolian dune deposits 4. EARLY PERMIAN
5. CARBONIFEROUS
600 ft
The reservoir can be divided into a broad four fold zonation based on the abundance of
aeolian, fluvial and sabkha deposits.
These four units consist of a basal fluvial-dominated section, overlain by an aeolian dune
sandstone unit, a mixed fluvial, dune and sabkha unit and thin uppermost marine reworked
0.1
sand. Reservoir quality is best in the aeolian sands developed in the middle two units.
These aeolian dune deposits are best developed in the southeast part of the field where
they are thicker and more abundant. They gradually decrease in abundance to the
48/14-4
northwest as the aeolian influence decreases and a more fluvial and sabkha dominated
environment prevails. 48/20a-5
Fluvial deposits are most common in the lower part of the reservoir where they 0.01
unconformably overly the Carboniferous sequence and vary in thickness from 190 to 230 0 10 20 30
feet. The sands display poor reservoir quality. The sabkha deposits are more abundant in POROSITY (per cent.)
the upper section of the reservoir. These sands also have poor reservoir quality.
The zones have overall sheetlike geometry across the field, showing a general facies Porosity values are typically poor to moderate, mainly in the
controlled improvement in reservoir quality towards the southeast. range 5 to 18 per cent. Permeability values are typically poor to at
Thin sabkha facies, muddy sandstones form correlatable sheet geometry units in the best moderate, ranging from 0.1 md to approximately 50 md in the
upper part of the reservoir, and will therefore influence vertical permeability, and possibly better quality southeast. Locally, values up to 1000 md occur, but
depletion characteristics on production. these are individual core measurements in otherwise poor to
moderate quality reservoir.
The main control on porosity and permeability magnitude and
trends is the primary sedimentary texture (grain size, sorting, clay
content) and therefore the initial depositional environment. The
FLUID PROPERTIES upper part of the reservoir, which contains the most sabkha deposits,
displays porosities varying from 5 per cent. in the northwest to 13 per
The Galleon field contains a dry gas with a density of 0.594 (air=1). The gas expansion cent. in the southeast, as the sabkha and fluvial influence diminishes
factor at initial conditions (3813 psia and 174 degrees F) is 223 scf/rcf. and aeolian sands become more common. Permeabilities show a
similar increasing trend.
The middle part of the Rotliegendes is dominated by good quality
aeolian dune deposits and this is reflected in generally good
Composition
Mol % Mol Wt
porosities of between 10 per cent. (northwest) and 15 per cent.
(southeast) and permeabilities between 10 to 50 md (northwest) to
N2 1.34 locally 100's md (southeast).
CO2 0.35
C1 94.32 The lower, more fluvial zone displays poor reservoir
C2 2.82 characteristics with porosities ranging from 2 per cent. to 12 per
C3 0.54 cent. and very low permeabilities.
iC4 0.09
nC4 0.11 The data displayed in the cross-plot shows Well 48/14-4 which is
iC5 0.05 located in the northwestern part of the field, where porosity and
nC5 0.04 permeability characteristics are at the low end of the field range,
C6 0.06
C7 0.12 107.9 (C7+) while Well 48/20a-5 displays more favourable reservoir
C8 0.08 characteristics.
C9 0.03
C10 0.01
C11 0.01 RESERVOIR PRESSURE
C12+ 0.03 139
100.00 17.209
Relative to a hydrostatic gradient of 0.45 psi/ft, the Galleon field
is normally pressured.
Pressure data within the field show that marked gas and water
400 1.0 0.025
pressure differences occur between the Frigate and Galleon field
fault blocks, giving rise to a shallower gas water contact of 8258 feet
GAS EXPANSION FACTOR (scf/rcf)
TVDSS in the Frigate structure. Within the main Galleon field area,
GAS DEVIATION FACTOR, Z
300 pressure data indicate a gas water contact of 8420 feet TVDSS.
GAS VISCOSITY (cp)
z factor 0.020
Eg 7800
200 1.0 g
0.015
100
8000
0.071 psi/ft
Based on Constant Mass Study
for Well 48/15a-5
DEPTH (feet TVDSS)
0 0.9 0.010
0 1000 2000 3000 4000 8200
PRESSURE (psig) Frigate GOC @ 8258 ft TVDSS
8600
The Galleon field comprises generally poor quality reservoir which is better in the
southeastern part of the field and is also locally enhanced by the presence of aeolian
reservoir facies. Recovery will be dependent on the success of highly deviated/horizontal
wells in establishing long term commercially sustainable flow rates and connecting with the 8800
better quality but localised aeolian reservoir facies. A low gas recovery factor in the range 3725 3775 3825 3875 3925 3975 4025 4075
of 50-60 per cent. is expected. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
PN PM
UNITED KINGDOM
Water Depth 80 70
Galleon
(feet)
Platform Type Steel jacket Steel jacket
Function wellhead production platform metering &
compression
y
Gas Export 24 x 72 km to Bacton
teminal via Clipper PM
platform
yyyy
Average Annual Daily Liquid Rate (Mbbl/day)
yyyy
Net Present Value 1,304.53 510.02 297.38 206.72 141.63 75.41 13.64
Net Present Value (Deflated) 763.04 302.09 170.19 112.20 69.80 25.95 -15.41
Profit/Inv Ratio 2.67 1.41 0.96 0.74 0.55 0.33 0.07
Profit/Inv Ratio (Deflated) 1.64 0.85 0.55 0.40 0.27 0.11 -0.08
NPV/Unit Oil Equiv. 5.52 4.71 4.05 3.55 3.02 2.16 0.60 0.5 50
NPV/Unit Oil Equiv. (Deflated) 4.95 3.83 3.03 2.46 1.85 0.90 -0.79
Earnings Data
0 0
Gross Revenue 4,439.09 1,798.08 1,146.98 877.40 685.99 491.09 303.06 1990 2000 2010 2020 2030
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 1,077.18 335.81 177.28 118.42 80.41 46.26 19.64 Year
Corporation Tax 642.53 255.71 158.18 117.69 89.04 60.21 33.28
Capital Expenditure 488.40 361.13 309.04 280.67 256.16 225.15 184.80
Operating Costs 926.44 335.41 205.09 153.91 118.75 84.06 51.70
Gross Revenue (Deflated) 2,617.47 1,204.00 817.03 647.38 521.96 388.51 252.00
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 517.28 171.34 93.40 63.61 43.97 25.90 11.36
Corporation Tax
Capital Expenditure
(Deflated)
(Deflated)
374.90
465.50
163.43
354.65
105.47
306.88
80.35
280.32
62.07
257.10
43.09
227.37
24.65
188.16
CASH FLOW REPORT
Operating Costs (Deflated) 496.75 212.50 141.09 110.89 89.03 66.20 43.23 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1991 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
1992 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -14.6 0.0 0.0 0.0
1993 0.0 0.0 0.0 80.0 0.0 0.0 0.0 -80.0 -103.9 0.0 0.0 0.0
1994 17.7 0.0 6.4 110.0 0.0 0.0 0.0 -98.7 -116.9 0.1 26.1 0.0
1995 46.4 0.0 9.6 20.0 0.0 0.0 0.0 16.8 17.9 0.1 70.0 0.0
Total To Start Of Discounting ( 1/JAN/1996)
64.1 0.0 16.0 220.0 0.0 0.0 0.0 -171.9 -217.4 0.1 35.1 0.0
1996 89.5 0.0 14.0 20.0 0.0 0.0 0.0 55.5 53.4 0.3 130.0 0.0
1997 93.1 0.0 14.6 31.2 0.0 0.0 0.0 47.3 40.5 0.3 130.0 0.0
1998 96.8 0.0 15.1 97.4 0.0 9.7 9.7 -25.5 -19.5 0.3 130.0 0.0
1999 100.6 0.0 17.4 61.9 0.0 10.8 10.8 10.5 7.1 0.3 130.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 2000 144.8 0.0 22.4 17.6 0.0 10.2 10.2 94.6 57.2 0.4 180.0 0.0
2001 150.5 0.0 23.3 8.5 0.0 26.0 26.0 92.7 49.8 0.4 180.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 2002 156.5 0.0 24.2 0.0 0.0 30.5 30.5 101.7 48.7 0.4 180.0 0.0
2003 162.6 0.0 25.2 0.0 0.3 35.0 35.3 102.1 43.5 0.4 180.0 0.0
Pre Corporation Tax 2004 169.1 0.0 26.2 0.0 3.9 38.8 42.7 100.2 38.0 0.4 180.0 0.0
2005 175.8 0.0 27.3 0.0 8.4 40.7 49.1 99.4 33.5 0.4 180.0 0.0
Net Present Value 2,119.02 1,168.55 872.80 734.24 626.85 506.31 373.28 2006 172.6 0.0 27.3 0.0 49.8 42.3 92.2 53.1 15.9 0.3 170.0 0.0
Net Present Value (Deflated) 1,321.67 798.54 622.46 536.48 467.90 388.51 297.28 2007 169.4 0.0 27.3 0.0 57.5 25.7 83.2 58.9 15.7 0.3 160.6 0.0
NPV/Unit Oil Equiv. 9.20 8.84 8.59 8.41 8.23 7.97 7.56 2008 166.4 0.0 27.5 0.0 55.3 26.0 81.3 57.5 13.7 0.3 151.7 0.0
2009 163.4 0.0 27.6 0.0 53.2 26.2 79.4 56.4 11.9 0.3 143.2 0.0
Post Corporation Tax 2010 160.4 0.0 27.7 0.0 51.1 26.2 77.3 55.4 10.4 0.3 135.3 0.0
2011 157.5 0.0 27.7 0.0 49.0 26.2 75.2 54.6 9.1 0.3 127.8 0.0
Net Present Value 1,476.48 842.20 640.38 544.71 469.93 385.21 290.46 2012 154.6 0.0 27.9 0.0 60.6 26.1 86.8 40.0 6.0 0.2 120.7 0.0
Net Present Value (Deflated) 946.78 589.96 467.50 407.07 358.52 301.84 235.94 2013 151.8 0.0 28.0 0.0 62.2 20.4 82.6 41.2 5.5 0.2 114.0 0.0
NPV/Unit Oil Equiv. 6.41 6.37 6.30 6.24 6.17 6.07 5.88 2014 149.1 0.0 28.3 0.0 60.7 20.1 80.7 40.0 4.7 0.2 107.7 0.0
2015 146.3 0.0 28.4 31.8 46.3 19.6 65.9 20.1 2.1 0.2 101.7 0.0
Earnings Data 2016 143.7 0.0 28.7 0.0 54.8 21.9 76.7 38.3 3.6 0.2 96.0 0.0
2017 141.1 0.0 28.9 0.0 56.3 16.8 73.2 39.0 3.2 0.2 90.7 0.0
Gross Revenue 4,375.04 2,228.32 1,617.26 1,344.04 1,138.92 916.23 680.08 2018 138.5 0.0 29.4 0.0 54.8 16.9 71.8 37.4 2.8 0.2 85.7 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2019 136.0 0.0 29.6 0.0 53.5 16.8 70.3 36.1 2.4 0.2 80.9 0.0
Petroleum Revenue Tax 1,077.18 428.59 260.49 190.72 141.71 93.05 48.88 2020 133.5 0.0 30.0 0.0 52.0 16.7 68.7 34.8 2.0 0.2 76.4 0.0
Corporation Tax 642.53 326.35 232.43 189.54 156.92 121.10 82.82 2021 131.1 0.0 30.4 0.0 50.6 16.4 67.0 33.7 1.8 0.1 72.2 0.0
Capital Expenditure 268.40 219.82 199.78 188.65 178.83 165.98 148.20 2022 128.8 0.0 30.8 0.0 49.2 16.1 65.4 32.6 1.5 0.1 68.2 0.0
Operating Costs 910.44 411.36 284.19 230.42 191.53 150.89 109.72 2023 126.4 0.0 31.2 0.0 47.9 15.8 63.7 31.6 1.3 0.1 64.4 0.0
2024 124.1 0.0 31.5 0.0 46.5 15.4 62.0 30.6 1.1 0.1 60.8 0.0
Gross Revenue (Deflated) 2,551.07 1,467.65 1,129.93 971.01 847.23 707.21 550.21 2025 121.8 0.0 32.1 0.0 45.1 15.1 60.2 29.5 1.0 0.1 57.4 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2026 119.6 0.0 32.8 0.0 43.7 14.6 58.3 28.5 0.8 0.1 54.3 0.0
Petroleum Revenue Tax (Deflated) 517.28 218.67 137.24 102.45 77.49 52.10 28.28 Remain
Corporation Tax (Deflated) 374.90 208.58 154.97 129.41 109.38 86.67 61.35 2027 0.0 0.0 87.7 0.0 -35.7 -0.6 -36.3 -51.4 -1.3 0.0 0.0 0.0
Capital Expenditure (Deflated) 232.00 196.62 180.77 171.64 163.40 152.38 136.79
Operating Costs (Deflated) 480.11 253.81 189.45 160.44 138.44 114.21 87.86 Total 4,375.0 0.0 910.4 268.4 1,077.2 642.5 1,719.7 1,476.5 467.5 2.7 1,364.9 0.0
Oil Gravity (API) 40 37 The current interests in the Guillemot fields in per cent. are:-
GOR/CGR (scf/stb)/(bbl/MMscf) 380
Saturation Pressure, Pb/Pd (psig) c.3300 c.6000 Exxon 35.86
Formation Volume Factor at Pi (rb/stb) RD/Shell* 35.86
Oil Compressibility (vol/vol/psi) Chevron 11.25
Texaco 11.25
Original Reservoir Pressure, Pi (psig) 3300 6000
Deminex 2.15
At Datum Depth of (ft TVDSS) 7300 8400 Kerr McGee 2.21
Reservoir Temperature (F) 222 Oryx 1.42
Rock Properties operator *
Rock Type -------------------- Sandstone -------------------- Most of the Guillemot reserves lie within the Shell/Esso blocks but 10 per
Stratigraphic Unit Tay Formation Fulmar Formation cent. also lies in Blocks 21/24 and 21/29a operated by Texaco. No unitisation
Geological Age Eocene Upper Jurassic agreement has been made.
Porosity Range (per cent.) 20-35 10-35
Permeability Range (md) 1-6000 0.1-1000 LOCAL SETTING
Connate Water Saturation (per cent.)
Gas Oil Contact (ft TVDSS) c.7250 The Gannet, Guillemot and Teal fields are located on the western platform of
the Central North Sea Graben straddling Blocks 21/25, 22/21, 21/30 and 22/26a.
Oil Water Contact (ft TVDSS) c.7300 8456 (south)
To the north in Block 21/18 Kittiwake contains oil in Jurassic Fulmar sands and
8600 (north) to the northeast in Block 22/17 and 18 Montrose and Arbroath contain oil in the
late Paleocene Forties Formation.
Reserves GANNET GUILLEMOT*
FIELD DESCRIPTION
Total Oil and Reserves (MMstb) 160 92
Total Gas Reserves (Bcf) 450 45 The reservoir within the Gannet A field occurs in Eocene Tay sandstones.
Est. Oil Production to 31.12.95 (MMstb) 54 These are stratigraphically closed to the west and dip closed in all other
Est. Gas Production to 31.12.95 (Bcf) 85 directions. It contains a gas column of about 100 feet in thickness underlain by
Remaining Oil Reserves (MMstb) 106 92 an oil column of about 50 feet in thickness.
Remaining Gas Reserves (Bcf) 365 45 Net to gross ratios within the Tay Formation are moderate to good in Gannet
A and B, averaging between 0.5 and 0.7 and decreasing to the west. In the
* Reserves include Teal and Teal South Paleocene formations net to gross ratios are generally good, increasing from
about 0.65 in the north to 0.8 in the east.
Gannet A, B, C and D are being depleted by natural drive, with gas lift utilised
Production to enhance oil recovery from A, C and D if necessary. Excess gas can be
reinjected if required. The use of horizontal wells may reduce the total number of
Water depth (feet) -------------------------- 312 --------------------------- wells required, for example, Gannet C has been developed with only seven
Production Start Date 1992 end 1996/early 1997 horizontal wells required instead of the expected ten deviated wells. When
Peak Production (Oil and NGL) (stb/day) 65000 50000 completed the Gannet complex will constitute the largest subsea development in
Platform(s) Platform & 3 satellite one floating the UK sector of the North Sea.
well clusters The Guillemot A field reservoirs occur in the Eocene and also in the Upper
Number of Wells - Producers 36 planned 4 (plus 2 on Teal Jurassic Fulmar Formation. Guillemot B is an extension of the Guillemot A
and 1 on Teal South) Eocene reservoir which contains oil in a low relief structure dipping to the south
Water injectors 2 (and 1 on Teal with complex combined structural and stratigraphic traps. The Jurassic Fulmar
and 1 on Teal South) Sand reservoir in Guillemot A is within an anticlinal structure containing saturated
Oil and NGL Export Pipeline to Fulmar and offshore oil. Guillemot D contains oil in the Triassic. Guillemot C (Eocene) contains
heavier oil (21 API) and is less productive and probably uneconomic.
loading
The new discovery Bligh lies approximately 5 km east in Block 21/20a. This
In Fulmar line to St Fergus lies in close proximity to the Christian prospect to the north in Block 21/20b as
well as Mallard in 21/19. All three accumulations may be developed through
Teal's FPSO or indeed Kittiwake, although no plans exist at present and any
decision made will be subject to further appraisal.
Gannet & Guillemot
STRATIGRAPHY AND STRUCTURE
GUILLEMOT A GANNET A
The Gannet fields are situated on both sides of the TOP FULMAR SANDS TOP TAY
UNITED KINGDOM
northwest-southeast trending Gannet Fault which Unconformity
DEPTH STRUCTURE DEPTH STRUCTURE
separates the Central Graben from the Long Forties
Platform. Hydrocarbons are contained within two OWC 8600
0 2 km 0 2 km
stratigraphic levels, the Upper Paleocene Forties Formation (Contours in feet TVDSS) (Contours in feet TVDSS)
and sandstones within the Sele, Balder and Horda
Formations (Tay Formation : Nar and Breydon Members).
Gannet A is the largest structure of the Gannet fields. 3
90
00
The Tay Formation structure is a simple elongated
2
northwest-southeast trending low-relief anticline with dips
85
4
00
95
of 1-4 degrees. Closure maybe partly stratigraphic due to
00
75
00
5710'N
pinch out of Tay Upper Sands onto the salt-induced highs of
850
80
Gannet B and C. 0 5
00
8
Gannet B contains both sequences. Both owe their
O
GO
reservoir structure to the salt diapir which pierces them. The
W
C7
72
C
25
8500
73
0
50
Tay Formation is dip closed against it, although some 90
00
00 72
00
stratigraphic closure may occur to the southwest. The 3
Forties structure is completely dip closed. The two
reservoirs are vertically sealed from each other by the Sele 3
71
2
5710'N
50
Formation shales. 850
0
The Gannet C Forties Formation reservoir displays a LIMIT OF
720
OWC 8456
circular dip closure around a narrow piercing salt diapir. The TAY SANDS
0
reservoir is sealed by the overlying Sele Formation shales. 2
900
Guillemot A is on the upthrown side of the Gannet Fault. 00
0
90
Hydrocarbons are contained within three sequences, the
Jurassic Fulmar sands, the Paleocene Forties Formation
and the Eocene Tay Formation. 048'E 1 00'E
The Fulmar accumulation is an anticlinal structure (After Armstrong, Ten Have Johnson, 1987)
trending north northwest-south southeast, underlain by a
Zechstein salt ridge of similar trend. Faulting along the
flanks of the salt ridge is almost entirely pre-Cretaceous.
The seal for the Fulmar Formation is the overlying Kimmeridge clay. The Tay accumulation is a low relief structure dipping mainly to the northeast with
The Forties accumulation in Guillemot C has a simple domal structure mainly complex combined structural stratigraphic traps.
resulting from mid-Tertiary salt re-activation. The Sele Formation acts as a seal to the
sequence.
AGE
VF
)
UPPER PALEOCENE
MONTROSE GROUP
M
M sandstones deposited by low density turbidity
currents.
M
Geometry
S
M Sheetlike sandbody composed of
amalgamated ribbon geometry sand units and
M
thinner, sheetlike sandstones and mudstones.
6100
rubble M and K
and K very good to good in clean
M S sandstones. Lower values in thinner more
argillaceous sandstones. Mudstones may
rubble baffle vertical permeability.
21/25-2
Euxinic marine mudstones. Laterally
KIMM. CLAY FM.
ridge/sheet complex.
8200
FULMAR FM.
( Geometry
)
Thin, sheetlike sand units,stacked and
(
) coalesced to form laterally extensive,
HUMBER GP.
(
) sheet geometry sediment body.
(
( ) and K
)
and K generally good, locally moderate.
8250
(
( )
)
Gannet & Guillemot
RESERVOIR GEOLOGY GANNET A POROSITY - PERMEABILITY CHARACTERISTICS
22/21-3
10000
er
mb
1. Horda/Balder? Formation Me s)
y d on S and
2. Hordaland/Rogaland? Group r
Bre Uppe
3. Rogaland Group a y
GANNET B (T
1000
21/25-1
es
GUILLEMOT mudston
Top red
21/25-2
PERMEABILITY (md.)
Hordaland Group
3
Montrose Group
Se
Formation
le
Forties
10
Montrose Rogaland
Hordaland
Group
Group
Horda
Fm.
Formation
Group
1 2
0
Rogaland
Fulmar
Sele Fm.
Group
100 Tay
1
? 0 10 20 30 40 50
200 feet
POROSITY (per cent.)
GUILLEMOT
Montrose Group
21/30-3
Forties Fm.
In the Fulmar Formation porosity values are generally moderate to
good, typically 10 to 30 per cent; permeabilities are commonly moderate
Two main reservoir units can be distinguished to good ranging from 1 to 1000md. Trends are controlled by primary
in the Fulmar Formation: an upper, slightly textural characteristics. The best reservoir quality is found in the
coarser, better sorted, permeable unit and a coarsest, cleanest section of the upper unit, where average zone
lower, more argillaceous, poorly permeable unit, porosities range from 16 to 33 per cent. decreasing to between 8 and 26
which overlies the basal, coarser grained lag. per cent. at the base of the reservoir. Permeabilities similarly decrease
Maureen
These units are laterally extensive in the from 10 to 3000 md at the top of the section to 0.1 to 100 md at the base.
Fm.
Guillemot B field area, forming a lens shaped In the Tay Formation, porosities are generally good, ranging from 20
sediment body up to 260 feet thick. The Forties GANNET SOUTH
to 35 per cent. Permeabilities are typically high, 100 to 6000 md. Trends
Formation extends over the whole complex and 21/30-2 are controlled by primary textural characteristics and hence facies.
the sheetlike deposit can be split into inner fan, Average porosities for the upper sands (Breydon Member) in Gannet
mid-fan and outer-fan deposits. The inner fan represents thick channel sands of excellent reservoir A are good to very good (20 to 36 per cent.). Permeabilities are also
quality and is present in Guillemot C. The mid-fan deposits exhibit a high net sand content within multi good to very good. Both porosity and permeability decrease towards the
storey massive sands in both Gannet B and C. The outer fan sequence is characterised by thin southeast as the sequence thins, and net to gross ratios decrease.
turbidite sands with moderate reservoir quality.
The Tay Formation comprises an accumulation of up to 1000 feet of sand. The three main sand
developments are separated by laterally extensive shale units which can be correlated between fields
in the Gannet area. RESERVOIR PRESSURE
The lower sands are present in Gannet A and are absent in Gannet C. The middle sands (Nar
Member) are extensive with sands best developed in Gannet B and C. The 'Upper Tay Shale Unit' of Gannet A appears to be normally pressured. Guillemot A is
50 to 75 feet in thickness, separates the middle sands from the upper sands (Breydon Member). The ovepressured by about 2000 psi relative to a hydrostatic pressure
upper sands form major reservoirs in Gannet A. Good reservoir quality, suprafan channel/lobe gradient of 0.45 psi/ft.
deposits are present in the northwest of Gannet A, with poorer quality outer fan deposits in the
southeast of Gannet A. The Breydon member thins towards the west and is represented by a
relatively thin sequence of interbedded sands and shales in Gannet C.
6000
FLUID PROPERTIES
The Tay Formation contains a moderately rich condensate in Gannet B and D with a condensate
gas ratio of about 40 bbl/MMscf. The Fulmar sands contain a saturated light oil.
In Guillemot A, the Fulmar sands contain an undersaturated, overpressured oil. The Tay Formation
of Guillemot B contains gas with the oil rims while the Forties Formation of Guillemot C contains an
7000
undersaturated heavy oil (21oAPI) Gannet A
DEPTH (feet TVDSS)
Rs (scf/stb)
PRESSURE (psig)
CONTROLS ON RECOVERY
Gannet A
Recovery within the Gannet A field is expected to be moderate to good. The principal principally due to:
factors which ensure a good recovery factor are the overall good permeability and The good permeability in the reservoir
continuity within the structure. Because of the large size of the gas cap it is likely that The moderately favourable mobility ratio under waterflooding conditions
compression will be installed leading to a low reservoir abandonment pressure. Water The good reservoir continuity
influx into the reservoir, trapping considerable quantities of gas, will adversely affect the Recovery is expected to be reduced by bypassing of oil in the low permeability sands
recovery factor. as a result of the wide variations in reservoir permeability. Bypassing will be reduced to
Guillemot A some extent by the persistent mudstones forming vertical permeability baffles between
Overall oil recovery in Guillemot A is expected to be moderate to good. This is the layers.
Gannet & Guillemot
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 312 312
(feet)
TO Platform Type steel jacket floating
ST. FERGUS GANNET A
Function drilling/prod. Floating/Production/Storage/
& accom. Offloading Facility (FPSO)
GANNET B Tender
Support
2 x 6" Gas Pipelines Topsides Weight 9669
B1 TO (tonnes)
DRILLING 20" Gas GANNET D Total Weight 30000
Diverter
CENTRE B2 Pipeline (tonnes)
DRILLING SSIV 2 x 6" Oil & 4"
CENTRE Test Pipelines
Bundle
Accommodation 40 55
C1 1
DRILLING
16" Oil Pipeline
Well Slots 24
CENTRE
C3 Bundle Wells planned 36 (30 oil, 6 gas) 12
DRILLING Bundle 2 Wells 17
CENTRE 3
C2
Producers 17 (15 oil, 2 gas) 7
DRILLING Existing Fulmar Spare slots 13
Bundle
4 CENTRE 20" Gas Pipeline
GANNET C TO FULMAR A
C4 PROCESSING AND EXPORT SPECIFICATIONS
DRILLING
CENTRE Oil Throughput 56000 55000
(bbl/day)
Oil Export 16" x 107 km pipeline to Fulmar FSU via Shuttle tanker
Net Present Value 1,210.48 609.78 383.84 270.94 181.08 79.53 -28.07
Net Present Value (Deflated) 965.01 437.24 241.74 145.03 68.75 -16.36 -104.15
@
Profit/Inv Ratio 0.85 0.55 0.40 0.31 0.22 0.11 -0.05
Profit/Inv Ratio (Deflated) 0.63 0.37 0.23 0.15 0.08 -0.02 -0.16
NPV/Unit Oil Equiv. 3.66 2.94 2.40 2.00 1.56 0.86 -0.43
NPV/Unit Oil Equiv. (Deflated) 3.19 2.27 1.61 1.13 0.63 -0.19 -1.67
PRODUCTION PERFORMANCE
Payback Year 1998 HISTORICAL AND PROJECTED
Nominal Rate Of Return % 18.39
Real Rate Of Return % 14.33 80 250
Liquid
Post Corporation Tax
Gas
@@@@
Net Present Value 780.13 357.69 198.52 119.19 56.32 -14.16 -87.28
Average Annual Daily Liquid Rate (Mbbl/day)
@@@@
Gross Revenue 3,948.44 2,434.67 1,862.40 1,570.68 1,332.82 1,053.07 729.74 100
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax 430.35 252.09 185.32 151.75 124.76 93.69 59.21
Capital Expenditure 1,421.45 1,104.82 959.99 877.74 805.04 711.01 585.95 20
Operating Costs 1,316.51 720.07 518.57 422.00 346.71 262.53 171.87 50
Gross Revenue (Deflated) 3,566.41 2,240.13 1,730.52 1,468.38 1,253.19 998.13 699.99
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 375.65 220.48 162.32 133.05 109.50 82.36 52.20 0
0
Capital Expenditure (Deflated) 1,521.72 1,191.98 1,040.43 954.11 877.63 778.43 645.90
Operating Costs (Deflated) 1,079.69 610.92 448.35 369.24 306.82 236.05 158.25 1990 1995 2000 2005 2010
Year
Net Present Value 1,664.98 1,424.98 1,301.49 1,226.94 1,158.08 1,064.49 930.95 1989 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -22.9 0.0 0.0 0.0
Net Present Value (Deflated) 1,498.55 1,280.93 1,170.28 1,103.77 1,042.48 959.34 840.88 1990 0.0 0.0 0.0 60.0 0.0 0.0 0.0 -60.0 -118.1 0.0 0.0 0.0
NPV/Unit Oil Equiv. 6.34 6.51 6.56 6.58 6.58 6.57 6.51 1991 0.0 0.0 0.0 170.0 0.0 0.0 0.0 -170.0 -282.8 0.0 0.0 0.0
1992 5.4 0.0 5.2 255.2 0.0 0.0 0.0 -255.0 -371.4 1.2 1.2 0.0
Post Corporation Tax 1993 178.0 0.0 43.2 198.4 0.0 0.0 0.0 -63.6 -82.6 35.2 63.2 0.0
1994 227.2 0.0 44.4 92.0 0.0 0.0 0.0 90.8 107.5 50.0 73.2 0.0
Net Present Value 1,234.63 1,070.26 983.89 931.23 882.27 815.28 718.79 1995 291.2 0.0 45.6 232.2 0.0 0.0 0.0 13.4 14.3 62.0 95.2 0.0
Net Present Value (Deflated) 1,122.90 970.68 892.09 844.50 800.41 740.25 653.84 Total To Start Of Discounting ( 1/JAN/1996)
NPV/Unit Oil Equiv. 4.70 4.89 4.96 4.99 5.01 5.03 5.03 701.7 0.0 138.4 1,017.8 0.0 0.0 0.0 -454.5 -756.0 54.2 85.0 0.0
Earnings Data 1996 315.2 0.0 51.0 272.6 0.0 0.0 0.0 -8.4 -8.1 65.2 95.2 0.0
1997 499.3 0.0 86.2 109.4 0.0 24.3 24.3 279.4 239.3 100.0 116.7 0.0
Gross Revenue 3,246.73 2,675.59 2,411.47 2,259.96 2,124.76 1,947.59 1,706.28 1998 546.2 0.0 95.4 21.6 0.0 83.0 83.0 346.1 264.0 105.2 122.8 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1999 482.4 0.0 97.0 0.0 0.0 107.0 107.0 278.4 189.0 86.8 122.8 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2000 368.1 0.0 99.0 0.0 0.0 95.9 95.9 173.3 104.8 60.4 114.0 0.0
Corporation Tax 430.35 354.72 317.61 295.71 275.80 249.21 212.16 2001 284.3 0.0 101.1 0.0 0.0 65.3 65.3 117.9 63.4 41.7 107.7 0.0
Capital Expenditure 403.65 386.87 377.64 371.80 366.19 358.18 345.80 2002 219.5 0.0 104.1 0.0 0.0 42.8 42.8 72.6 34.8 29.2 92.8 0.0
Operating Costs 1,178.11 863.74 732.34 661.23 600.50 524.92 429.54 2003 171.1 0.0 107.2 0.0 0.0 24.9 24.9 39.0 16.6 20.4 80.4 0.0
2004 135.2 0.0 105.2 0.0 0.0 11.2 11.2 18.8 7.1 14.3 69.8 0.0
Gross Revenue (Deflated) 2,830.16 2,364.38 2,146.16 2,020.05 1,906.88 1,757.64 1,552.47 2005 67.3 0.0 101.8 0.0 0.0 2.5 2.5 -36.9 -12.5 3.2 60.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2006 59.7 0.0 51.7 0.0 0.0 -26.5 -26.5 34.6 10.4 2.4 53.6 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2007 51.8 0.0 50.1 0.0 0.0 0.9 0.9 0.8 0.2 1.6 47.6 0.0
Corporation Tax (Deflated) 375.65 310.24 278.19 259.27 242.07 219.09 187.04 2008 46.5 0.0 45.0 0.0 0.0 -0.8 -0.8 2.2 0.5 1.2 42.4 0.0
Capital Expenditure (Deflated) 397.81 381.52 372.55 366.87 361.41 353.61 341.56 Remain
Operating Costs (Deflated) 933.80 701.94 603.33 549.41 503.00 444.69 370.03 2009 0.0 0.0 83.3 0.0 0.0 -0.1 -0.1 -83.1 -17.7 0.0 0.0 0.0
Total 3,246.7 0.0 1,178.1 403.6 0.0 430.4 430.4 1,234.6 892.1 194.0 410.9 0.0
These cash flows include Gannet A, B, C & D and Guillemot and Teal fields
6 1 9/19 Conoco SUMMARY
BUCKLAND
3 9/18a
5
2 The Gryphon oil field is located in Block 9/18b, approximately 150
6 9/18d 9/ 3,3A 7 km southeast of Shetland. The field was discovered by Well 9/18b-7 in
Mobil 18c 18
KM 6 1987, and since this time has been appraised by over 20 wells and a 3D
5 9/17b 4 1 2
Mobil seismic survey. It was originally intended to be developed in conjuction
2
SORBY 10 with the Harding field (previously known as Forth) but this option was
9/18b
15
4 5,5A 11 eventually abandoned in favour of development as a stand-alone facility
Kerr using the Gryphon A monohull production vessel. This is offloaded by
3 McGee 3 shuttle tankers to the BP terminal at Nigg. Start up was in October 1993.
4
21 17 9 Excess gas is reinjected to the reservoir; water injection commenced
23 10 19 3 shortly after the start of oil production. The field is currently producing
26 8 8
1 22 14
from 8 horizontal wells.
9/17c 9/17a 4 20 13 25
9/16a Rel. Rel. Mobil 12 9 GRYPHON
11,16 The current interests in the Gryphon field in per cent are:
5
20 6 28
12 17 27 9/24a Sante Fe (Kuwait) 25.00
Hamilton
26 13 Aran Energy 15.00
HARDING 7 3
11 Cairn Energy 10.00
16 10 15
4 Clyde 21.50
18 24
3 Kerr McGee* 25.00
24/9 Fina
22
2 8
1 Rel. Oranje Nassau 3.50
21 9/24c
23
9/23b
25 9/24b * operator
1 9 BP
2
1 2
CRAWFORD
9/23c19 9/23a
9/21 Rel. 9/22 Mobil Mobil Hamilton
9/26 Rel. 9/27b Mobil 14 1 24/12 Rel.
LOCAL SETTING
Rock Properties
UNITED KINGDOM
GRYPHON
Spur to the south of the Beryl Embayment. Submarine high density turbidites
TOP BALDER SAND
flowed down the palaeoslope from the west and accumulated as a complex
Gryphon
DEPTH STRUCTURE series of lobate sand 'pods', preferentially deposited in sea-floor topographic
0 1 km lows. Subsequent re-mobilisation and slumping, together with differential
(Contours in feet TVDSS) compaction has led to the current geometry. The sands therefore form
combination dip and stratigraphic closures with a preferential northwest to
southeast elongation, parallel to the original transport direction.
The reservoir is of Eocene age comprising mainly the sands of the Balder
Formation, with additional reserves in the Frigg Formation. The Balder sands
21
57 00
comprise a sand rich sequence within which laterally impersistent shale units
57 50
50
A8Z
56
9/18a
occur. The reservoir is overlain by sands of the Eocene Frigg Formation and
ultimately is sealed by overlying Eocene shales. The reservoir overburden
55
9/18b
00
comprises a thick sequence of Eocene to Pleistocene shales and
A8 19Y
A13Z
17Z sandstones.
17Y 17 00
10 56
A13
A6 SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
5700 A1Z 17X
560 A1
56
0 The Gryphon field Balder sandstone is dominated by a massive, relatively
OW
00
545 24Y 11 8
19
57 573
0
structureless and texturally uniform sequence of sandstones. These are
C
7
00 4
A2Z A2 A7/A7Y
24Z interpreted to represent the amalgamation of numerous individual high
A10Z A11Z A12
A3X
A3 A12Z density turbidite sands derived from a texturally uniform shelf sediment
24 A11
A10Y 11Z 19Z source area to the west. The density currents, with sand rich load, flowed
A10
55
GOC 4 1 0 down through gullies in the slope and deposited their sediment in sea floor
14 60
5 00 topographic lows upon deceleration in the Gryphon area due to the presence
57 13Z
13Y of the relative high of the Crawford Ridge to the east. Subsequent sands
were offset from earlier ones due to differential compaction of the sand and
20 mud sequences. Intervening shale horizons appear laterally impersistent,
Closure effected by sand pinchout
(other areas dip closed) thus allowing for good internal reservoir communication.
OW
9 The Frigg Formation sands, deposited above the Balder, are thickest off
C
57
34
the flanks of the main Balder sand accumulation further emphasising the
GOC 5541
importance of differential compaction on the accumulation of successive
16
12 sands. Over the crest of Gryphon, the Frigg sands are relatively thin and of
56
5800
5700
00
poor quality.
TWT (secs)
1.0
1.5
Frigg Fm
Balder Fm
2.0 Sele Fm
Montrose Group
2.5
Pre-Tertiary
3.0 0 2 km
(After Newman et al, 1993)
Geometry
Lobate geometry sand sequence deposited
in sea-floor topograhic low. Sand sequence
expected to be well interconnected with
BALDER FORMATION
ROGALAND GROUP
and K
Exellent porosity and permeability preserved
in fine grained, clean, moderately to well
sorted, uncemented and largely
unconsolidated sands.
5600
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
W E
10000
Horda Formation
Frigg Sandstone
developed on
Gryphon
flanks of field
1 9/18b-13y
9/18b-14 9/18b-7
9/18b-11 9/18b-13z
9/18b-10
1000
Balder Formation
Moray / Rogaland Group
100
PERMEABILITY (md.)
Sele Formation
0
10
The Balder sand reservoir shows marked lateral thickness variations from hundreds of
feet of sand, to sand free shale sections over relatively short distances. This is principally
due to the aggradation of the sands being preferentially focused on the sea-floor 0.1
topographic low areas, with the relative highs characterised by thin sands or shales. Internal
subdivision of the reservoir is difficult and ill defined. This is probably due to the lateral
impersistence of intra-reservoir shales, and the overall amalgamation and good
interconnectivity of the reservoir sands.
Within the sandstone units, net to gross ratio is very high, with only the interbedded 0.01
0 5 10 15 20 25 30 35 40 45
shales representing non-net lithology. Porosity and hydrocarbon saturation are
correspondingly high, aided by the relative lack of interstitial clay, the good sorting and the POROSITY (per cent.)
Gryphon field contains a saturated, moderately viscous (6 cp), 21.6 degrees API oil The Gryphon field is normally pressured based on a water
overlain by gas. There is some variation of oil properties with depth due to gravity gradient to surface of 0.45 psi/ft. The gas oil and oil water contacts
segregation of the different hydrocarbon components, but the variation of bubble point with are well defined by RFT data and logs at 5541 feet and 5734 feet
depth is not significant. The saturation pressure is 2501 psia at which the solution GOR is TVDSS respectively.
274 scf/stb and the oil formation volume factor is 1.118 rb/stb. The reservoir fluid has an
unfavourable mobility ratio to both gas and water displacement.
5000
250
5500
DEPTH (feet TVDSS)
B0 (rb/stb)
0.45 psi/ft
100 0
6000
1.05 5
50
0 1.00 0
0 1000 2000 3000 4000 5000
CONTROLS ON RECOVERY
The oil recovery factor in Gryphon is expected to be moderate, in the order of 40 per
cent. This is attributable to the following:-
UNITED KINGDOM
Water Depth 370 370
Gryphon
Shuttle tanker
(feet)
Platform Type Floating Subsea cluster connected
SCHEMATIC FIELD LAYOUT
FPSO to central manifold
Function Production storage, offloading Production
Anchor chains
Displacement 126000
Wellheads and control (tonnes)
distribution base
Accommodation UK - normal crew
Flexible risers
Well slots
Buoyancy arches Wells producers 8
water injectors 4
gas injectors 1
water supply 1
Flexible flowlines
Riser bases
PROCESSING AND EXPORT SPECIFICATIONS
Net Present Value 219.75 150.29 115.91 95.85 77.90 54.52 23.51
Net Present Value (Deflated) 203.96 132.71 98.58 78.93 61.49 38.94 9.33
Profit/Inv Ratio 0.76 0.56 0.46 0.39 0.32 0.24 0.11
Profit/Inv Ratio (Deflated) 0.66 0.46 0.36 0.30 0.24 0.16 0.04
NPV/Unit Oil Equiv. 2.53 2.27 2.03 1.85 1.65 1.31 0.69
NPV/Unit Oil Equiv. (Deflated) 2.47 2.08 1.79 1.56 1.33 0.95 0.28
Profit/Inv Ratio (Deflated) 0.37 0.24 0.16 0.12 0.07 0.01 -0.08
40
NPV/Unit Oil Equiv. 1.41 1.22 1.01 0.85 0.67 0.37 -0.19
NPV/Unit Oil Equiv. (Deflated) 1.40 1.07 0.81 0.61 0.40 0.06 -0.56
Gross Revenue (Deflated) 838.86 638.31 549.81 500.40 457.21 401.99 329.53 10
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 88.74 64.62 54.01 48.12 43.01 36.54 28.23
Capital Expenditure (Deflated) 309.99 285.59 272.54 264.42 256.73 245.91 229.59
Operating Costs (Deflated) 324.91 220.01 178.68 157.04 138.99 117.14 90.61 0
1990 1995 2000 2005 2010
Year
Post Corporation Tax 1992 0.0 0.0 0.0 20.0 0.0 0.0 0.0 -20.0 -29.1 0.0 0.0 0.0
1993 0.0 0.0 3.0 220.0 0.0 0.0 0.0 -223.0 -289.7 0.0 0.0 0.0
Net Present Value 177.60 175.54 171.52 168.25 164.70 159.09 149.63 1994 149.3 0.0 28.0 30.0 0.0 0.0 0.0 91.3 108.0 44.0 0.0 0.0
Net Present Value (Deflated) 180.06 172.97 167.36 163.39 159.36 153.34 143.70 1995 135.3 0.0 27.1 10.0 0.0 1.0 1.0 97.2 104.1 39.0 0.0 0.0
NPV/Unit Oil Equiv. 3.13 3.61 3.84 3.96 4.08 4.22 4.40 Total To Start Of Discounting ( 1/JAN/1996)
284.6 0.0 58.1 280.0 0.0 1.0 1.0 -54.5 -106.7 30.3 0.0 0.0
Earnings Data
1996 116.4 0.0 26.2 10.0 0.0 22.1 22.1 58.1 55.9 34.2 0.0 0.0
Gross Revenue 610.02 515.26 470.74 445.00 421.91 391.47 349.67 1997 100.6 0.0 26.0 0.0 0.0 18.7 18.7 55.8 47.8 27.5 0.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1998 84.4 0.0 26.0 0.0 0.0 16.3 16.3 42.1 32.1 22.2 0.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1999 70.4 0.0 26.2 0.0 0.0 13.1 13.1 31.1 21.1 17.8 0.0 0.0
Corporation Tax 95.66 83.96 78.16 74.71 71.54 67.27 61.19 2000 59.2 0.0 26.5 0.0 0.0 9.9 9.9 22.8 13.8 14.4 0.0 0.0
Capital Expenditure 10.00 9.76 9.62 9.53 9.45 9.33 9.13 2001 49.6 0.0 26.3 0.0 0.0 7.3 7.3 16.0 8.6 11.6 0.0 0.0
Operating Costs 326.75 246.00 211.44 192.51 176.22 155.78 129.71 2002 41.4 0.0 26.2 0.0 0.0 5.1 5.1 10.0 4.8 9.3 0.0 0.0
2003 34.7 0.0 26.2 0.0 0.0 3.0 3.0 5.4 2.3 7.5 0.0 0.0
Gross Revenue (Deflated) 542.05 463.66 426.46 404.82 385.32 359.47 323.68 2004 28.9 0.0 26.3 0.0 0.0 1.3 1.3 1.2 0.5 6.0 0.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2005 24.5 0.0 24.1 0.0 0.0 -0.3 -0.3 0.7 0.2 4.9 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 87.74 77.52 72.44 69.40 66.61 62.84 57.44 2006 0.0 0.0 66.6 0.0 0.0 -1.0 -1.0 -65.6 -19.7 0.0 0.0 0.0
Capital Expenditure (Deflated) 10.00 9.76 9.62 9.53 9.45 9.33 9.13
Operating Costs (Deflated) 264.25 203.41 177.05 162.50 149.90 133.97 113.41 Total 610.0 0.0 326.8 10.0 0.0 95.7 95.7 177.6 167.4 56.7 0.0 0.0
operator *
Fluid Properties The Heather field is located on the western side of the North Viking
Graben close to the East Shetland Platform, and is one of the most
Oil Gravity (API) 35 westerly of the fields in the Brent Province.
Gas/Oil Ratio (scf/stb) 650 The closest fields in this area are, to the northeast, Cormorant and
Bubble Point Pressure, Pb (psig) 3200 North West Hutton in Quadrant 211 and to the east, Lyell and Ninian in
Formation Volume Factor at Pi (rb/stb) 1.38 Quadrant 3. The small Emerald oil field is situated to the south in
Oil Compressibility (vol/vol/psi) Not known Quadrants 2 and 3.
Original Reservoir Pressure, Pi (psig) 5050
At Datum Depth of (TVDSS) 10650
Reservoir Temperature (F) 225
Rock Properties
Reserves
Production
The reservoir of the Heather field consists of Brent Group sandstones comprising,
UNITED KINGDOM
HEATHER from base to top, Broom, Rannoch, Etive, Ness and Tarbert Formations. The Brent
TOP BRENT GROUP Group overlies about 150 feet of Dunlin Group mudstones. Overlying the Brent Group
Heather
DEPTH STRUCTURE are the Heather and Kimmeridge Clay Formations. The Heather Formation rests
0 2 km uncomformably on the Brent Group, the degree of unconformity increasing towards
3
(Contours in feet TVDSS)
the crest of the Heather structure. There is similar erosive truncation of the Brent
Group over the crest of Northwest Heather.
The Heather structure is a north westerly tilted fault-block. It is delineated by two
sets of faults; a set of southwest-northeast trending normal faults to the south and a
set of south southwest-north northeast trending normal faults to the east. The
structure grew during the Middle to Upper Jurassic, as evidenced by the patterns of
Brent Group erosion and preservation, and was reactivated in the Upper Jurassic-
5
88
Lower Cretaceous. The main Heather structure is subdivided by a series of broadly
10
C
southwest-northeast trending faults. These appear to act as partial seals which impair
OW
1
reservoir communication.
0
1050
0
00
2 10 SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
The Brent Group represents the deposits of a northerly prograding coastal plain
and delta system. A suite of shallow marine and deltaic facies overlies the offshore
9500
4 marine mudstones of the Dunlin Group. Initially sublittoral sheet sandstones of the
Broom Formation were deposited, representing sand deposited from storm currents
derived sands sourced from the East Shetland Platform. The overlying Rannoch and
7 Etive Formations comprise very fine and fine grained, argillaceous and micaceous
sandstones overlain by clean, medium to coarse grained sandstones. These
sediments form a progradational shoreface sequence, probably consisting of delta
front and barrier sands. The heterolithic Ness Formation consists of a complex of
9 coastal/delta plain sediments and the Tarbert Formation sand records transgression
and eventual delta abandonment.
8000
UPPER CRETACEOUS
9000
LOWER CRETACEOUS
10000
UPPER JURASSIC
Statfjord Formation
and TRIASSIC
Brent Group
0 1 km
12000
AGE
VF
interconnected sandstones.
and K
Poor to moderate , K generally very poor to
Py poor, locally moderate.
Py
MIDDLE JURASSIC
sandstones.
10800
Geometry
Broad, sheetlike sandbody orientated
M parallel to palaeo-shoreline.
M and K
M
and K generally moderate to good, very
M
poor to poor where calcite cemented.
Py
Py M
10850
1. TARBERT FM.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
2/5-3
10000
1 3
0
Heather
TARBERT FM.
2/5-13Z
1000
100 feet
NESS FORMATION
MIDDLE JURASSIC
BRENT GROUP
100
2/5-2 2/5-1
?
PERMEABILITY (md.)
ETIVE
FM.
10
BROOM
FM.
1
4 5
2/5-4
0.01
0 10 20 30
The thickness of the Brent Group varies across the Heather structure, from about 125 to Average porosities within the Broom, Rannoch and Etive
370 feet. This largely reflects erosional truncation of the Brent Group due to crestal stripping Formations are typically moderate to good (11-20 per cent.) and
of the rotating fault block. The Tarbert and Ness Formations are progressively eroded permeabilities are also commonly moderate to good. Locally,
towards the crest of the structure so most of the oil in place is found in the Broom, Rannoch, extensive calcite cemented horizons occlude porosity. These
and Etive Formations. These three units have sheetlike geometries and have combined horizons are particularly well developed in the Broom Formation
thicknesses of between 125 and 180 feet. away from the crest of the structure. Permeability in the Broom
The Broom Formation varies from 25 to 50 feet in thickness, forming a laterally extensive formation ranges from 10 to 100 md, except where calcite cemented
sheetlike sediment body. The micaceous and argillaceous sandstones of the Rannoch and tight. Similar calcite cemented horizons also occur within the
Formation and the good reservoir quality sandstones of the Etive Formation form a thick, Rannoch Formation and the lower part of the Etive Formation. It is
broad, elongate to sheetlike sediment body. Within the Ness Formation sandbody geometry possible that these cemented horizons are associated with the
is extremely variable, from narrow ribbonlike bodies (fluvial channels) to lobate and development of a palaeo-OWC.
sheetlike sandbodies (channel margin complexes, crevasse-splay sandstones). The Rannoch Formation is generally finer grained than the other
Interbedded mudstones are expected to be of significant lateral extent, resulting in relatively two units and is commonly micaceous and argillaceous. It has
poor intercommunication between sandbodies. The Tarbert Formation sandstones originally average porosities of between 14 and 20 per cent. Kaolinite and illite
formed a laterally extensive, sheetlike sediment body, although crestal erosion has resulted are important in reducing permeability in the very fine and fine
in the truncation and local removal of this formation. grained Rannoch Formation sandstones. Permeability values rarely
The Heather structure is extensively faulted, with a set of northeast-southwest trending exceed 10 md.
faults compartmentalising the reservoir. The Etive Formation sandstones, which are mainly medium to
coarse grained and clean, have the best reservoir quality, with
average porosities varying from 15 to 20 per cent. and with
permeability of approximately 100 md.
The Heather field contains a conventional black oil with a solution gas oil ratio of 650 The Heather field had an initial reservoir pressure of 5050 psig at
scf/stb and a stock tank oil gravity of 35 API. The formation volume factor of 1.38 rb/stb and 10650 feet TVDSS .This is overpressured by approximately 210 psi
the bubble point pressure of 3200 psig have been determined from correlations. relative to a normal water gradient to surface of 0.44 psi/ft.
10600
10700
DEPTH (feet TVDSS)
0.3 psi/ft
10800
Recovery is expected to be only moderate in the Heather field, due to impairment of 0.44 psi/ft
areal sweep efficiency by extensive intra-field faulting.
Careful reservoir management is required because the layered nature of the reservoir,
with strong vertical permeability contrasts, leading to uneven water advance in the various 11000
5000 5050 5100 5150 5200
producing units. This can lead to water override and premature water breakthrough in the
producing wells. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 469
(feet)
Heather
Platform Type steel jacket
Function drilling/production/
accommodation
(A Unocal Photograph))
Net Present Value 612.44 332.94 224.84 169.58 124.65 72.32 13.57
Net Present Value (Deflated) 633.18 182.82 12.84 -72.36 -140.29 -217.10 -297.92
Net Present Value 337.12 173.25 107.66 73.62 45.68 12.86 -24.26
Net Present Value (Deflated) 190.63 -76.76 -178.74 -229.79 -270.26 -315.39 -360.87
Profit/Inv Ratio 0.77 0.50 0.35 0.26 0.17 0.05 -0.12
Profit/Inv Ratio (Deflated) 0.14 -0.07 -0.17 -0.24 -0.30 -0.37 -0.48
NPV/Unit Oil Equiv. 3.03 2.59 2.12 1.72 1.26 0.45 -1.20 10
NPV/Unit Oil Equiv. (Deflated) 0.97 -0.61 -1.83 -2.75 -3.74 -5.39 -8.52
Earnings Data
0
Gross Revenue 1,673.16 1,034.51 795.45 673.72 574.37 457.16 320.68 1975 1980 1985 1990 1995 2000
Royalty 135.74 83.32 63.36 53.17 44.85 35.07 23.81
Petroleum Revenue Tax 25.86 16.23 12.41 10.42 8.79 6.84 4.58 Year
Corporation Tax 275.33 159.69 117.18 95.96 78.97 59.46 37.84
Capital Expenditure 435.00 346.23 307.16 285.27 266.06 241.29 208.29
Operating Costs 434.30 234.94 170.71 140.45 117.02 90.91 62.57
Gross Revenue (Deflated) 3,009.91 1,939.93 1,523.52 1,307.02 1,127.63 912.39 655.70
Royalty (Deflated) 234.83 147.21 113.22 95.66 81.23 64.10 44.09
Petroleum Revenue Tax (Deflated) 44.96 28.27 21.64 18.20 15.35 11.97 8.02
Corporation Tax (Deflated) 442.55 259.58 191.58 157.43 129.97 98.29 62.95
Capital Expenditure (Deflated) 1,342.97 1,125.64 1,024.70 966.48 914.24 845.25 750.04
Operating Costs (Deflated) 693.46 413.60 316.59 268.83 230.62 186.31 135.41
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1975 0.0 0.0 0.0 25.0 0.0 0.0 0.0 -25.0 -654.6 0.0 0.0 0.0
1976 0.0 0.0 0.0 50.0 0.0 0.0 0.0 -50.0 -975.0 0.0 0.0 0.0
Pre Corporation Tax 1977 0.0 0.0 0.0 100.0 0.0 0.0 0.0 -100.0 -1,549.5 0.0 0.0 0.0
1978 5.2 0.0 10.0 50.0 0.0 0.0 0.0 -54.8 -677.3 2.0 0.0 0.0
Net Present Value -33.54 -31.00 -29.63 -28.76 -27.93 -26.76 -24.97 1979 63.4 0.0 20.0 50.0 0.0 0.0 0.0 -6.6 -69.7 18.0 0.0 0.0
Net Present Value (Deflated) -32.11 -29.68 -28.35 -27.52 -26.73 -25.60 -23.88 1980 86.8 1.7 25.0 25.0 0.0 0.0 1.7 35.1 303.1 16.0 0.0 0.0
NPV/Unit Oil Equiv. -15.06 -14.27 -13.83 -13.55 -13.28 -12.89 -12.29 1981 172.5 10.7 25.0 20.0 0.0 0.0 17.8 109.7 743.9 26.0 0.0 0.0
1982 246.6 20.6 24.0 30.0 0.0 0.0 41.1 151.5 849.3 36.0 0.0 0.0
Post Corporation Tax 1983 201.8 22.4 23.0 25.0 9.4 23.4 57.5 96.3 460.8 28.1 0.0 0.0
1984 214.3 20.4 22.0 20.0 6.7 67.8 94.9 77.4 328.0 26.0 0.0 0.0
Net Present Value -31.31 -29.01 -27.75 -26.96 -26.21 -25.14 -23.50 1985 183.6 19.4 21.0 15.0 7.6 65.0 92.0 55.6 207.6 24.0 0.0 0.0
Net Present Value (Deflated) -30.03 -27.81 -26.61 -25.85 -25.12 -24.10 -22.53 1986 78.3 11.9 20.0 0.0 2.3 51.2 65.4 -7.0 -22.9 22.0 0.0 0.0
NPV/Unit Oil Equiv. -14.06 -13.35 -12.95 -12.70 -12.46 -12.11 -11.56 1987 77.5 6.5 20.0 0.0 0.2 18.0 24.7 32.8 95.6 19.1 0.0 0.0
1988 45.9 4.9 21.0 5.0 -0.4 17.1 21.7 -1.8 -4.7 15.0 0.0 0.0
Earnings Data 1989 48.1 3.2 21.0 5.0 0.0 6.8 10.0 12.1 27.6 12.0 0.0 0.0
1990 52.3 3.8 21.0 10.0 0.0 7.2 10.9 10.3 20.3 11.0 0.0 0.0
Gross Revenue 24.30 23.71 23.38 23.17 22.96 22.66 22.18 1991 41.2 3.5 20.7 5.0 0.0 7.6 11.2 4.4 7.3 10.0 0.0 0.0
Royalty -2.96 -2.68 -2.53 -2.44 -2.34 -2.22 -2.02 1992 35.3 2.7 20.4 0.0 0.0 4.2 6.9 8.1 11.7 9.0 0.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1993 38.1 2.7 20.1 0.0 0.0 2.9 5.6 12.4 16.1 9.3 0.0 0.0
Corporation Tax -2.22 -2.00 -1.88 -1.80 -1.73 -1.62 -1.47 1994 30.7 2.5 19.8 0.0 0.0 4.1 6.6 4.3 5.1 8.2 0.0 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1995 27.3 1.9 19.5 0.0 0.0 2.2 4.1 3.7 3.9 7.1 0.0 0.0
Operating Costs 60.80 57.40 55.54 54.36 53.24 51.64 49.17 Total To Start Of Discounting ( 1/JAN/1996)
1,648.9 138.7 373.5 435.0 25.9 277.6 471.9 368.4 -873.1 109.1 0.0 0.0
Gross Revenue (Deflated) 24.30 23.71 23.38 23.17 22.96 22.66 22.18
Royalty (Deflated) -2.79 -2.52 -2.38 -2.29 -2.20 -2.08 -1.89 1996 24.3 1.5 19.2 0.0 0.0 1.5 3.0 2.1 2.0 6.1 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) -2.08 -1.87 -1.75 -1.67 -1.61 -1.51 -1.36 1997 0.0 -4.5 41.6 0.0 0.0 -3.7 -8.2 -33.4 -28.6 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 59.20 55.91 54.11 52.98 51.89 50.34 47.96 Total 24.3 -3.0 60.8 0.0 0.0 -2.2 -5.2 -31.3 -26.6 2.2 0.0 0.0
operator *
HEWETT FIELD The Hewett fields are located in the south of the Southern North Sea
Basin to the southwest of the Dowsing Fault Zone. The reservoirs
Fluid Properties Bunter Hewett produce from Triassic Bunter and Hewett sandstones, Lower Permian
Rotliegendes sandstones and Upper Permian Zechstein dolomites. All
Gas Gravity S.G. (air =1) 0.65 0.61 neighbouring accumulations only produce from Rotliegendes sandstone
Condensate Gas Ratio (bbl/MMscf) 3.2 4.8 horizons. The nearest Triassic production is found approximately 150
Gas Expansion Factor (vol/vol) 97 140 km to the north in the Esmond Complex and to the east in the K13 and
Reservoir Pressure, Pi (psig) 1355 2000 P6 fields in the Dutch sector.
at Datum Depth of (ft TVDSS) 2650 4350 The reservoir quality of the Rotliegendes sandstone in this area is
Reservoir Temperature (F) 114 134 generally moderate as in the Leman field and the 'V' fields located on
the Sole pit axis of inversion. The Hewett field satellites, located on and
Rock Properties to the southwest of the Dowsing Fault Zone, exhibit moderate to good
porosities and permeabilities.
Rock Type ---------------------------- Sandstone ------------------------
Stratigraphic Unit Bunter Sst. Fm. Hewett Sst. Bed
Geological Age ------------------------------- Triassic --------------------------
Porosity Range (per cent.) -------------------------------- 15-30 ----------------------------
Permeability Range (md) ----------------------------- 100-5000 -------------------------
Connate Water Saturation (per cent.) 15-25 N/A
Gas Water Contact (ft TVDSS) 3010 4450
Depth to Top of Structure (ft TVDSS) 2700 4000 FIELD DESCRIPTION
Reserves HEWETT AREA The main Hewett field produces from three horizons, the Bunter and
(inc. A, B, C and DELLA) Hewett Triassic sandstones and the Zechstein dolomite. The Area A, B,
and C satellites produce from Rotliegendes sandstones, with Area B
Total Gas Reserves (Bcf) 4236 also producing from the Bunter Sandstone Formation.
Total NGL Reserves (MMstb) 16 The Bunter and Hewett reservoirs of the main Hewett field are
Est. Gas Production to 31.12.95 (Bcf) 3843 structural traps. Both are anticlines trending northwest to southeast,
Est. NGL Production to 31.12.95 (MMstb) 15 bounded by faults to the northeast and southwest.
Remaining Gas Reserves (Bcf) 393 Porosities and permeabilities in the Triassic sandstones are good to
Remaining NGL Reserves (MMstb) 1 very good. The Rotliegendes reservoirs of the satellite fields display
moderate to good porosities and permeabilities with the exception of the
Production Deborah reservoir which has poorer properties.
The reservoirs were originally normally pressured with each
Water depth (feet) 80-120 accumulation displaying different gas compositions. The gas in both the
Production Start Date 1969 Triassic reservoirs and the Rotliegendes reservoir of Area A has a high
Peak Gas Production (yrly average) (MMscf/day) 780 nitrogen content. The gas in the Bunter sands of the main Hewett field
contains hydrogen sulphide requiring onshore treatment.
Achieved in 1976
Production from the Hewett field began in 1969. The field is now in
Platform(s) 5 steel jackets
decline with approximately 90 per cent. of ultimate reserves produced.
1 accommodation platform
The satellite field Della, which was discovered in 1987, has been
Number of Wells 27 platform + 4 subsea wells
developed by tying back the discovery well as a subsea satellite
Gas and NGL Export 2 x 30" pipelines to Bacton Shore
producer. It produced first gas in November 1988, and has ultimate
Terminal reserves of 60 Bcf of gas. The Dawn discovery was brought on
production in late 1995, with ultimate gas reserves assessed as 30 Bcf.
Recent drilling in the main Hewett field has focused on the
development of the fractured Zechstein carbonate formation. The
Zechstein reservoir has low matrix porosity and permeability, but well
productivities are enhanced by natural fracturing.
STRATIGRAPHY AND STRUCTURE 48/28 48/29 48/30
HEWETT
The Hewett field is a structural trap comprising a TOP BUNTER SANDSTONE
UNITED KINGDOM
northwest-southeast trending anticline at both principal DEPTH STRUCTURE
reservoir levels. The structure is fault bounded to the 34
00
6
(Contours in feet)
Hewett
northeast and southwest.
1
The gas is principally found in the Triassic, Bunter 5
Sandstone Formation and the Triassic, Hewett 3 2
Sandstone Bed (Brockelshiefer Member; Bunter Shale 4
5
7
Formation) with a minor but potentially significant
contribution from the Permian Hauptdolomit. The 1
3
6
average depth to the Bunter Sandstone Formation is
2
2900 feet, and to the Hewett Sandstone Bed is 4150 feet.
30
Maximum observed gross pay thicknesses are 323 feet 00
32 1
(Bunter) and 202 feet (Hewett). The Hewett sandstone 00
34
32
00
00
The Hewett Sandstone Bed represents a wedge of
continental alluvial sediment developed within the Bunter
Shale lacustrine basin probably sourced from the London
Brabant Massif to the southwest. This is a local 0 5 km
0 1 2 3 km
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) ROCK ( g/cc )
DESCRIPTION 0 150 1.95 2.95
CLAY
AGE
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT
VC
VF
B C P 40 0 0.1 10000 5 25
V
V
Desert lake mudstones.
V Laterally extensive non-reservoir interval.
HAISBOROUGH GP.
Geometry
Thin,sheetlike,flood generated sandstones
I with more elongate lenticular channel fill
M I units,coalesced to form laterally extensive,
sheet geometry sandbody.
BUNTER SANDSTONE FORMATION
I
and K
48/29-2 and K of sandstones generally good,
3100
I
BACTON GROUP
I
3150
BACTON GROUP; BUNTER SHALE FORMATION
and K
moderate to good.
Sheetflood and possible lake margin
sandstones with thin mudstone
partings.
4200
Geometry
Laterally extensive sheet geometry
sediment body.
and K
and K moderate to good in upper part,
moderate to poor in lower, more
argillaceous section.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
52/5-1 SE
52/5-2
0
10000
on
NW 100 rmati
sin g Fo
48/29-3 200 feet 48/29-2 Dow
Hewett
Bunter Sandstone
Formation
in
raidpla
antly b
Domin ones
sandst diments
1000
margin se
plain/lake
Distal braid
100
Dominantly desert lake mudstones
PERMEABILITY (md.)
Hewett Sandstone Bed
d
Upper Shaly San
Main Clean Sand 10
Lower Shaly Sand
Zechstein Group
The Hewett sandstone reservoir is subdivided into three units based on facies and these 1
units form the basis of the reservoir layering. The Lower and Upper Shaly Units are
generally thin and consist of poorer reservoir quality sandstones than the Main Clean Unit.
All three units are laterally extensive in the Hewett field area. The Lower Shaly Unit may
locally thicken, possibly due to the presence of laterally restricted channel sandbodies (Well
48/29-2). 0.1
Reservoir sandstones within layers have an overall sheet like geometry but with a
complex internal architecture resulting from the interstratification and stacking of laterally
extensive sheetflood sandstones and more laterally restricted channel-fill sandbodies.Thin
Hewett
mudstones and siltstones developed within layers will probably be lenticular to sheetlike and
Bunter
laterally impersistent. 0.01
The Bunter sandstone reservoir section comprises a basal argillaceous unit of 0 10 20 30
sandstones, siltstones and mudstones, overlain by a thick, generally massive sandstone
POROSITY (per cent.)
section. Two thin argillaceous units are developed towards the southeastern end of the field.
The sandstones form a thick sheet geometry sandbody, but with a complex internal
architecture resulting from the interstratification and stacking of laterally extensive Porosity and permeability values for the Triassic reservoirs are
sheetflood sandstones and more laterally restricted channel-fill sandbodies. The thin moderate to very good, with average values which are good (Bunter,
argillaceous units may form local vertical permeability baffles or barriers. 25.7 per cent.; Hewett, 21.4 per cent.) and good to very good
(Bunter, 474 md; Hewett 1310 md) respectively.
Trends in porosity and permeability values are controlled by the
FLUID PROPERTIES primary textural characteristics of grain size, sorting and detrital clay
content, and hence by facies. The braided fluvial channel facies
Fields of the Hewett area contain dry gas, with the Hewett and Bunter sands of the main generally have the best reservoir quality, and distal braid plain/inland
Hewett field having liquid gas ratios of 4.8 and 3.2 bbl/MMscf respectively. These two sabkha sheetflood sandstones typically have poorer reservoir
reservoirs contain gas of strikingly different compositions with 8.4 per cent. N2 and 0.02 per quality.
cent. H2S in the Bunter sands reservoir compared with 2.36 per cent. N2 with no H2S in the Diagenetic modification is not severe in either Bunter or Hewett
Hewett reservoir. Reported wellstream compositions for the Hewett fields are listed below: sandstones, with only minor occlusion of porosity and permeability
due to localised development of halite cement.
Porosities in Rotliegendes satellite fields are generally moderate
to very good (Area C 10 - 20 per cent.; Area B 16 - 25 per cent.), with
1.00 moderate to very good permeabilities (10 - >1000 md).
GAS DEVIATION FACTOR Z
RESERVOIR PRESSURE
2000
CONTROLS ON RECOVERY
The overall recovery factor from the Hewett fields is expected to be very good
(above 90 per cent.), resulting from:
predominantly good to very good permeabilities in Triassic braided fluvial and compression, enabling very low abandonment pressures to be achieved.
sheetflood sandstones.
relatively simple sheet geometry Triassic reservoir sandstones with no laterally The recovery factor from the Zechstein carbonate will be moderate, reflecting the
extensive permeability barriers within either of the reservoir sandstone poor matrix reservoir quality and the variable density of fracturing within the reservoir
sequences. area. The Rotliegendes reservoir quality in the satellite fields is generally good. The
faulting of the reservoir at top Bunter Sandstone level, limiting water influx from recovery factor will vary from poor, where water influx has adversely influenced
the aquifer. production performance, to very good where water influx is minimal.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(FTP) (52/5A, 48/29A, B, C) (Q)
Hewett
Water Depth (feet) 80 80-123 79
Platform type ------------- 8 leg steel jacket------------- 4 leg steel jacket
Accommodation 44 24 44
Well Slots 32
Wells 27
y
Gas Export 2 x 30" x 30 km 24" pipeline to A
pipelines to 2 x 16" pipelines from
Bacton Shore A to FTP
(Reproduced by permission of Phillips Petroleum)
terminal
The Hewett field facilities comprise four production platforms 52/5-A, 48/29-A,
48/29-B and 48/29-C tied back to a central terminal platform 49/29-FTP.
Additionally there are four satellite sub-sea wells tied back to the main platform. An
accommodation platform was installed in December 1992. PRODUCTION PERFORMANCE
HISTORICAL AND PROJECTED
Gas export is achieved via two 30" pipelines to the Bacton Shore terminal
where the compression facilities are located. Increased production from the low 20 800
Liquid
pressure wells is ingeniously achieved offshore with venturi nozzles which are
supplied with high pressure gas from other less depleted reservoirs in the Hewett Gas
yyyy
Average Annual Daily Liquid Rate (Mbbl/day)
yyyy
Net Present Value 976.63 450.49 295.59 226.90 176.18 122.71 69.48
Net Present Value (Deflated) 2,390.69 1,228.78 850.32 671.12 532.12 377.21 210.69
Profit/Inv Ratio 3.28 3.39 3.23 3.06 2.84 2.49 1.88
Profit/Inv Ratio (Deflated) 2.96 2.41 2.03 1.80 1.57 1.26 0.84
NPV/Unit Oil Equiv. 1.35 1.21 1.10 1.03 0.96 0.86 0.71 5 200
NPV/Unit Oil Equiv. (Deflated) 0.99 0.82 0.72 0.67 0.61 0.53 0.40
Earnings Data 1996 59.2 4.7 21.5 0.0 0.0 7.4 12.1 25.6 24.6 0.3 153.8 0.0
1997 55.8 4.4 22.4 0.0 0.0 7.4 11.9 21.6 18.5 0.3 139.1 0.0
Gross Revenue 489.73 390.13 345.62 320.62 298.69 270.51 233.30 1998 52.6 4.1 23.3 0.0 0.0 7.0 11.1 18.2 13.9 0.3 125.8 0.0
Royalty 22.57 21.41 20.39 19.67 18.94 17.87 16.21 1999 49.3 3.8 24.2 0.0 0.0 6.4 10.2 14.9 10.1 0.2 113.8 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2000 46.4 3.6 25.2 0.0 0.0 5.6 9.2 12.1 7.3 0.2 102.9 0.0
Corporation Tax 46.07 39.20 35.88 33.94 32.17 29.82 26.55 2001 43.7 3.5 26.2 0.0 0.0 4.7 8.2 9.3 5.0 0.2 93.1 0.0
Capital Expenditure 12.68 9.23 7.69 6.82 6.07 5.11 3.88 2002 41.2 3.1 27.3 12.7 0.0 3.9 7.0 -5.7 -2.7 0.2 84.2 0.0
Operating Costs 398.32 281.56 234.05 208.79 187.52 161.54 129.66 2003 38.9 2.7 27.7 0.0 0.0 2.0 4.7 6.5 2.8 0.2 76.2 0.0
2004 36.3 2.4 28.0 0.0 0.0 1.6 4.0 4.3 1.6 0.1 68.9 0.0
Gross Revenue (Deflated) 414.77 336.42 301.00 280.96 263.27 240.39 209.86 2005 34.2 2.1 28.4 0.0 0.0 1.1 3.1 2.6 0.9 0.1 62.3 0.0
Royalty (Deflated) 22.14 20.35 19.19 18.43 17.70 16.66 15.09 2006 32.2 1.8 28.8 0.0 0.0 0.6 2.4 1.0 0.3 0.1 56.4 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 41.20 35.36 32.52 30.85 29.33 27.30 24.47 2007 0.0 -13.6 115.5 0.0 0.0 -1.61 -15.20 -100.26 -26.78 0.0 0.0 0.0
Capital Expenditure (Deflated) 10.00 7.28 6.06 5.38 4.79 4.03 3.06
Operating Costs (Deflated) 305.92 222.30 187.79 169.28 153.58 134.23 110.14 Total 489.7 22.6 398.3 12.7 0.0 46.07 68.64 10.09 55.43 0.8 392.9 0.0
7
210/24a Amerada 210/25d Rel. 210/25b Arco
210/29b Rel. 210/30a 210/30b Amoco 211/26b
Amoco 3 Rel.
Fluid Properties The Hudson oil field lies predominantly in Block 210/24a in the East
Shetland Basin of the Northern North Sea. The reservoir comprises
Oil Gravity (API) 33 sandstones of the Middle Jurassic Brent Group and as such the field is
Gas/Oil Ratio (scf/stb) 177 the most westerly producing Brent accumulation to date. The nearest
Bubble Point Pressure, Pb (psia) 910 producing field is Tern, some 11 km to the east. It is through the
Formation Volume Factor at Pi (rb/stb) 1.137 Cormorant/Tern complex that oil is exported via the Brent System to
Original Reservoir Pressure, Pi (psia) 3012 Sullom Voe.
At Datum Depth of (ft TVDSS) 6600
Reservoir Temperature (F) 161
Rock Properties
Reserves
UNITED KINGDOM
bounded to the west by a major down to the west stacked sub-littoral sheet sands which mark the
boundary fault. The field is dip closed to the east. It onset of Middle Jurassic coarse clastic deposition.
Hudson
is a typical Brent province trap and as is the case in The Broom sediments are interpreted to have been
many other Brent fields, is likely to show erosion of derived from the East Shetland Platform to the
the reservoir from the crestal parts of the structure. west, and form a northeasterly thinning wedge. The
The reservoir in the Hudson field comprises the Rannoch and Etive Formations represent the
Middle Jurassic Brent Group. It overlies a Lower shoreface and foreshore/shoreline components of
Jurassic sequence of Dunlin Group shales, a thin the prograding delta shoreline. The Rannoch
sandy Statfjord Formation and an unknown Formation consists of a complex of variably 6 2
thickness of Triassic sediments. The reservoir is top micaceous wave reworked marine sands and are
sealed by the shales of the overlying Upper succeeded by the clean high quality sands of the
Jurassic Humber Group and Lower Etive Formation. The Etive comprises a lower 3
7000
Cretaceous Cromer Knoll Group. The section is coarse grained, probable tidal channel/inlet
buried to its present day depth by 5000 to 6000 feet sequence overlain by a finer grained foreshore
of Tertiary and Upper Cretaceous Shetland Group. deposit. The two are separated by a thin coaly unit,
The Brent Group is subdivided into five principal indicating that progradation was not necessarily a
650
formations, namely the Tarbert, Ness, Etive, simple single event. The sediments of the Ness
0
4A
Rannoch and Broom. At Hudson the lower three Formation comprise the delta plain facies. At
formations represent the principal reservoir sands. Hudson the Ness consists of a series of mud
It is expected that the Tarbert Formation may be dominated delta plain or embayment shales, with a
locally absent due to erosion on the structure crest. single correlatable mid-Ness sand unit. This is
interpreted to represent a possible minor shoreline 7
progradation or lagoon/bay fill sequence. The
SEDIMENTOLOGY AND DEPOSITIONAL Tarbert sediments were deposited during a phase of HUDSON
ENVIRONMENT marine transgression and minor reprogradation SCHEMATIC
which occurred during the final abandonment and DEPTH STRUCTURE
The Brent Group represents the deposits of a drowning phase. 0 1 km
northerly prograding deltaic and shallow marine
(Contours in feet TVDSS)
3000
4000 TERTIARY
5000
CRETACEOUS
CRETACEOUS Chalk Group
Chalk Group
LOWER CRETACEOUS
Cromer Knoll Group
6000
Humber Group
7000 Brent Group
TRIASSIC Statfjord Formation
8000
Dunlin Group
0 1 km
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
0 150 ROCK 1.95 2.95
AGE
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT NEUTRON
(PERCENT) (md) (Inches) (Limestone units)
40 0 0.1 10000 5 25 45 -15
210/24a-3
Geometry
Lagoon/bay fill sand sheet isolated
by shales
6500
and k
Good in clean sands, poor everwhere else
Shoreline sandstones
6550
ETIVE FM.
Geometry
Sheet of clean sands
MIDDLE JURASSIC
BRENT GROUP
and k
Excellent quality with very high permeability
at base
6600
M M Shoreface sandstones
RANNOCH FORMATION
M
Geometry
Sheet of micaceous sands
and k
6650
M M
Good quality except where very micaceous
M or calcite cemented
M M
M
Shallow marine sandstones
6700
BROOM FORMATION
Geometry
Sheet of clean sands
and k
Generally good
6750
10000
210/24-2 210/24a-3 210/24b-7
Upper reservoir
1 probably faulted
Hudson
out in
Ness Fm
Well 210/24b-7
1000
Etive Fm
Brent Group
?
100
m
m
Broom Fm Rannoch Fm
m
m m
PERMEABILITY (md.)
m
m m
m
0
10
1. Tarbert Fm
100 ft
1
The Broom Formation consists of some 50 to 80 feet of coarse grained, good reservoir
quality sand which forms a correlatable sheet across the field. The Rannoch Formation
Tarbert
forms a similar sheet geometry unit, 70 to 85 feet thick, but consists of variable and 0.1
Ness
generally poorer quality micaceous sands. The high quality sands of the Etive Formation
Etive
also show a broad sheet geometry, 70 to 85 feet thick, with markedly higher permeability in
the lower part where the sands are coarsest grained. The heterolithic Ness Formation Rannoch
consists of three main units. These are upper and lower shale dominated units separated Broom
by a thin, 20 foot thick, sheet sandstone unit. The uppermost Tarbert Formation also 0.01
0 5 10 15 20 25 30 35
comprises a sheet geometry sand. Reservoir complexity is expected to be most severe in
POROSITY (per cent.)
the Tarbert and Ness Formations. The Tarbert may be absent from the structure crest due
to erosion, and the thin sands of the upper reservoir, although depositionally sheetlike, will
be more prone to discontinuity due to intra-reservoir faulting.
Porosity and permeability are excellent in this shallow Brent
reservoir.
Sandstone porosities show a relatively restricted range,
predominantly from 15 to 30 per cent., whereas permeability values
typically range from 1md to 10 Darcies. Permeability is highest in the
lower Etive Formation where the sands are clean and coarse
grained. However, the coarse grained sands of the Broom
Formation, although slightly muddy, also have high permeability. The
sandstones of the Ness and Rannoch Formations show wide ranges
in permeability due to the wide range of textural types (grain size and
sorting), mud content and mica content present in these formations.
FLUID PROPERTIES Sedimentary facies type therefore controls both the magnitude
and trends in reservoir quality. Diagenetic effects are of minor
The 33 degrees API gravity oil in the Hudson field has a viscosity of 1.82 cp at the initial importance, with reservoir quality only locally severely reduced
formation pressure of 3012 psia and 1.47 cp at the saturation pressure of 910 psia. The oil where nodular calcite cements are developed. These tend to occur
formation volume factor at saturation pressure is 1.137 rb/stb and the in situ fluid density at most frequently in the Rannoch Formation.
the initial reservoir pressure is 0.811 g/cm3. The initial gas oil ratio is 177 scf/stb.
Bo (rb/stb)
0 1.00 0.0
0 500 1000 1500
PRESSURE (psig)
6000
The oil recovery factor in the Etive, Rannoch and Broom Formations, which contain most Ness OWC @ 7185 ft TVDSS
of the reserves, is expected to be relatively good, over 40 per cent. This is due to the Tarbert OWC
generally very good quality reservoir sandstones and marginally favourable/neutral oil @ 7270 ft TVDSS
mobility ratio to water flooding, offset to some extent by the limited number of wells which
will impact on the areal sweep efficiency. A much lower recovery factor is expected for the 7500
overlying Ness and Tarbert sands due to their more variable reservoir quality and 2900 3100 3300 3500
discontinuous nature. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
Tern Platform
SCHEMATIC FIELD LAYOUT
UNITED KINGDOM
Water Depth 515
(feet)
Hudson
Production Facility Type Subsea Manifold
8-inch Water Injection Function production, water injection, gas lift
2x10-inch Production
8-inch Production/Test
6-inch Gas lift
Total Weight 270
(tonnes)
Hudson Control and
Chemical Accommodation N/A
Injection
Umbilicals
Controlling Host Tern platform
Phase 2 Well Slots 8
Wells
s
km
Phase 1 Wells - production 6
.0
Wells
11
Future
U1
- water injection 2
Manifold
Net Present Value 331.96 246.46 206.97 184.53 164.73 139.24 105.75
Net Present Value (Deflated) 313.27 231.79 194.30 173.03 154.27 130.15 98.48
Profit/Inv Ratio 1.70 1.42 1.27 1.18 1.10 0.99 0.83
Profit/Inv Ratio (Deflated) 1.52 1.26 1.13 1.05 0.97 0.87 0.73
NPV/Unit Oil Equiv. 3.93 3.74 3.61 3.51 3.41 3.25 2.98
NPV/Unit Oil Equiv. (Deflated) 3.84 3.61 3.46 3.35 3.24 3.07 2.78
Profit/Inv Ratio (Deflated) 0.98 0.80 0.71 0.66 0.61 0.54 0.43
NPV/Unit Oil Equiv. 2.52 2.39 2.30 2.22 2.15 2.02 1.81
NPV/Unit Oil Equiv. (Deflated) 2.47 2.30 2.19 2.10 2.02 1.88 1.65 30
Earnings Data
20
Gross Revenue 989.76 762.36 660.18 602.66 552.11 487.15 401.40
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax 119.12 88.90 75.33 67.71 61.06 52.56 41.51
Capital Expenditure 195.20 174.00 162.96 156.20 149.87 141.10 128.17
Operating Costs 462.60 341.90 290.25 261.93 237.52 206.82 167.48
10
Gross Revenue (Deflated) 947.70 737.86 642.70 588.84 541.32 479.95 398.37
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 111.89 83.96 71.38 64.31 58.12 50.20 39.85
Capital Expenditure (Deflated) 205.99 183.79 172.21 165.11 158.47 149.26 135.68
Operating Costs (Deflated) 428.44 322.28 276.18 250.70 228.58 200.55 164.21 0
1990 1995 2000 2005
Year
Net Present Value 327.07 298.99 283.75 274.25 265.24 252.63 233.79 CASH FLOW REPORT
Net Present Value (Deflated) 310.29 283.42 269.01 260.06 251.61 239.80 222.24
NPV/Unit Oil Equiv. 5.99 6.21 6.31 6.37 6.43 6.49 6.58 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
Post Corporation Tax MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
Net Present Value 225.57 209.44 200.30 194.49 188.92 180.99 168.93 1992 0.0 0.0 0.0 5.0 0.0 0.0 0.0 -5.0 -7.3 0.0 0.0 0.0
Net Present Value (Deflated) 216.76 200.66 191.74 186.12 180.75 173.17 161.72 1993 70.4 0.0 28.1 55.0 0.0 0.0 0.0 -12.7 -16.5 17.0 0.0 0.0
NPV/Unit Oil Equiv. 4.13 4.35 4.46 4.52 4.58 4.65 4.76 1994 113.1 0.0 47.5 110.0 0.0 8.7 8.7 -53.1 -62.9 30.0 0.0 0.0
1995 134.9 0.0 52.9 15.0 0.0 8.9 8.9 58.1 62.2 35.0 0.0 0.0
Earnings Data Total To Start Of Discounting ( 1/JAN/1996)
318.4 0.0 128.5 185.0 0.0 17.6 17.6 -12.7 -24.5 29.9 0.0 0.0
Gross Revenue 671.38 587.22 545.72 521.07 498.51 468.07 424.88
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1996 140.1 0.0 52.9 5.0 0.0 16.3 16.3 65.9 63.4 35.0 0.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1997 137.7 0.0 51.4 5.2 0.0 20.3 20.3 60.8 52.1 32.0 0.0 0.0
Corporation Tax 101.50 89.55 83.45 79.75 76.32 71.64 64.86 1998 125.3 0.0 44.0 0.0 0.0 21.7 21.7 59.6 45.4 28.0 0.0 0.0
Capital Expenditure 10.20 9.71 9.44 9.27 9.11 8.88 8.52 1999 91.2 0.0 38.3 0.0 0.0 21.7 21.7 31.2 21.2 19.6 0.0 0.0
Operating Costs 334.10 278.52 252.53 237.55 224.15 206.56 182.57 2000 66.4 0.0 33.8 0.0 0.0 13.6 13.6 18.9 11.4 13.7 0.0 0.0
2001 48.3 0.0 29.6 0.0 0.0 7.9 7.9 10.8 5.8 9.6 0.0 0.0
Gross Revenue (Deflated) 614.03 540.92 504.66 483.04 463.20 436.35 398.06 2002 35.2 0.0 26.2 0.0 0.0 4.0 4.0 4.9 2.4 6.7 0.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2003 27.2 0.0 23.6 0.0 0.0 1.3 1.3 2.3 1.0 5.0 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 93.53 82.77 77.27 73.94 70.85 66.63 60.52 2004 0.0 0.0 34.2 0.0 0.0 -5.4 -5.4 -28.8 -10.9 0.0 0.0 0.0
Capital Expenditure (Deflated) 10.00 9.53 9.27 9.10 8.94 8.72 8.37
Operating Costs (Deflated) 293.74 247.97 226.38 213.88 202.65 187.83 167.45 Total 671.4 0.0 334.1 10.2 0.0 101.5 101.5 225.6 191.7 54.6 0.0 0.0
Production
Bottom
Copse-1
Production Start Date May 1986
Open Peak Oil Production (yrly average) (stb/day) 1350 in 1987
1 Peak Gas Production (yrly average) (MMscf/d) 1
Arreton E N G L I S H C H A N N E L
2
Well Sites 3
Number of Wells 15
PL 087 EDC
Open 0 10 km Oil Export 6" x 6.5km pipeline to
Gas Export Holybourne. Some export
by road or tankers.
Reinjected or used for
generation of electricity
exported to local grid.
SUMMARY 0 5 km
Open
Humbly Grove
STRUCTURE
UNITED KINGDOM
flank of the Weald Basin, approximately 11 km southeast
(Contours in feet)
of Basingstoke, Hampshire.
The field is an east-west trending tilted horst, fault 0 1 km
closed to the north and south, with dip closure to the east
and west. It is 50 hectares in area and has low relief. The
top of the reservoir in the crestal well occurs at 3245 ft
33
50
TVDSS. There is a 75 foot thick gas cap and a total oil
column 360 feet in thickness, which includes a long
A3
3300
transition zone above a predicted free water level. The
3300
effective oil water contact is interpreted at 3430 feet
3350
3450
TVDSS. C2
3400
0
Hydrocarbons occur in limestones in the upper part of A1 X5
335
A4
the Middle Jurassic Great Oolite Group. The average
X2
0
reservoir thickness is approximately 180 feet. The C4
340
A5 A2 X4
3450
reservoir is sealed by the shales of the Oxford Clay Group.
0
A smaller hydrocarbon accumulation also occurs in a A7 335
C1 X1
deeper, Triassic (`Rhaetic) limestone/sandstone Permeability
C3
reservoir. Interface A6
345 X3
SEDIMENTOLOGY AND DEPOSITIONAL 0
0
ENVIRONMENT 345
UPPER CRETACEOUS
1000
LOWER CRETACEOUS
2000
3000
LOWER JURASSIC
5000
TRIASSIC
CARBONIFEROUS
0 1 km
HG-X1
REPRESENTATIVE WELL SECTION - HG-X1
DEPTH (feet)
environment. Non-reservoir.
2
1
3800
Geometry
Laterally extensive sheet geometry.
3900
BATHONIAN
and K
Moderate porosity. Very poor to poor
permeability below the permeabilty
interface, rising to moderate above this
surface.
3950
Humbly Grove
E
W
HG-X1
HG-A2
Oxford Cla
y
1000
}
I
PERMEABILITY (md.)
Herriard Me
mber
10
III
Hodding
ton Mem
}
IV
Humbly 1
Grove M
ember
V
Hester's Copse Fm
0.1
Fuller's Ea
rth
0
0.01
0 10 20 30
POROSITY (per cent.)
50 feet
The Great Oolite Group was deposited as a series of small-scale progradational Porosity values in the Upper Great Oolite Group reservoir range
sequences. The resultant depositionally controlled layering forms the basis of the from poor to good, but are mainly moderate, both above and below
subdivision of the Upper Great Oolite reservoir into six reservoir zones (in descending order, the permeability interface.
the Lower Cornbrash/Forest Marble and Great Oolite Limestone, Zones I to V), each of Permeability above the permeability interface ranges from very
which has a fieldwide sheet-like geometry. poor to very good, but is mostly moderate. In the underlying lower
Zones I, II, IV and V mainly comprise oolitic lime grainstones, deposited in active and permeability interval, permeability is mostly very poor. Reservoir
abandoned shoal and backshoal environments. Zone III consists of argillaceous quality is controlled both by the facies-controlled distribution of
wackestone/packstone deposited in a foreshoal setting. The Lower Cornbrash/Forest grainstones within the upper Great Oolite Group and by the degree
Marble comprises interbedded oolitic limestones and terrigenous mudstones, deposited on of calcite cementation which occurred during burial. The most
tidally influenced sand bars and in less agitated troughs separating adjacent bars. The important control on permeability is the extent to which intergranular
reservoir limestones only form 20-50 per cent. of the latter zone and individual limestones porosity in grainstones has been occluded by calcite cement. More
may be laterally discontinuous. extensive cementation of intergranular porosity below the sharp,
As a result of structurally controlled diagenesis, the depositionally controlled reservoir horizontal permeability interface has greatly reduced permeability.
zones I, II, III and IV are subdivided by a horizontal permeability interface into higher Higher permeability occurs in the crestal area of the field, above the
permeability layers developed in crestal areas and lower permeability layers developed permeability interface, where interconnected macroporosity has not
downflank, below this surface. The permeability interface is related to the degree of calcite been completely destroyed by cementation.
cementation of the reservoir grainstones, cementation being more extensive beneath this Reservoir quality may be appreciably enhanced by natural
horizontal surface. It is likely that the permeability interface is related to a palaeo- fracturing in some areas of the field.
hydrocarbon water contact, increased cementation having occurred in the water leg
beneath this contact.
RESERVOIR PRESSURE
FLUID PROPERTIES
Relative to a hydrostatic gradient of 0.44 psi/ft to surface, the
Humbly Grove contains a saturated moderately light oil, with an API gravity of 39 Humbly Grove field is normally pressured. PVT data indicate oil and
degrees, in contact with a 75 ft gas cap. The GOR is 370 scf/stb. The oil viscosity is 0.85 gas gradients of 0.33 psi/ft and 0.04 psi/ft respectively.
cp at initial reservoir conditions.
1.20
3000
400 3.5
B0
1.15 0.04 psi/ft
300 GOR
GOR (scf/stb)
2.5
B0 (rb/stb)
0 (cp)
200 1.10
1.5
0.33 psi/ft
100 3500
0
1.05
PRESSURE (psig)
0.44 psi/ft
CONTROLS ON RECOVERY
4000
The recovery factor will be much greater for the higher permeability reservoir
1400 1500 1600 1700
developed above the permeability interface than for the lower permeability reservoir
INITIAL RESERVOIR PRESSURE (psig)
developed below this surface. Above the permeability interface, the recovery factor
is expected to be moderate as a result of:
generally moderate permeabilities.
the predominance of interconnected macropores, greater than 20 m in size. A sharp downgrading of the recovery factor occurred shortly after the onset of
Below the permeability interface, the recovery factor is expected to be poor because production. The field performance subsequently has stabilised. Horizontal drainholes
of: have recently been drilled, sustaining production rates; further application of this
the very poor permeabilities. technology may offer potential for improving the recovery.
the predominance of small, poorly connected, intragranular micropores less than
20 m in size.
FACILITIES SPECIFICATIONS
Humbly Grove
UNITED KINGDOM
three phase separation and gas compression for gas lift
and re-injection. A total of 15 wells are being used to
exploit the field.
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@@@
Average Annual Daily Liquid Rate (Mbbl/day)
@@@@
Net Present Value 6.78 -2.42 -5.79 -7.45 -8.75 -10.20 -11.67 2
Net Present Value (Deflated) -4.64 -13.89 -17.18 -18.76 -19.97 -21.26 -22.44
Profit/Inv Ratio 0.23 -0.09 -0.22 -0.30 -0.36 -0.44 -0.55
Profit/Inv Ratio (Deflated) -0.10 -0.31 -0.41 -0.46 -0.50 -0.56 -0.64
NPV/Unit Oil Equiv. 0.90 -0.53 -1.65 -2.47 -3.35 -4.76 -7.28
NPV/Unit Oil Equiv. (Deflated) -0.56 -2.61 -4.03 -5.04 -6.08 -7.72 -10.59
1
Nominal Rate Of Return % 3.37
Real Rate Of Return % -500.00
Earnings Data
0 0
Gross Revenue 81.97 48.59 37.36 31.88 27.53 22.49 16.72 1985 1995 2005 2015
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Corporation Tax 3.34 1.63 1.07 0.82 0.63 0.42 0.23
Capital Expenditure 30.00 27.24 25.81 24.95 24.14 23.03 21.39
Operating Costs 41.85 22.15 16.27 13.57 11.51 9.24 6.77
Gross Revenue (Deflated) 88.27 56.35 44.87 39.07 34.34 28.72 22.01
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 3.06 1.49 0.98 0.75 0.57 0.39 0.21
Capital Expenditure (Deflated) 48.79 44.49 42.27 40.92 39.65 37.90 35.32
Operating Costs (Deflated) 41.06 24.26 18.80 16.17 14.09 11.69 8.93
1984 0.0 0.0 0.0 7.0 0.0 0.0 0.0 -7.0 -29.7 0.0 0.0 0.0
1985 0.0 0.0 0.0 12.0 0.0 0.0 0.0 -12.0 -44.8 0.0 0.0 0.0
1986 3.6 0.0 1.5 6.0 0.0 0.0 0.0 -3.9 -12.7 1.0 0.0 0.0
1987 5.8 0.0 2.5 1.0 0.0 0.0 0.0 2.3 6.6 1.4 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1988 4.1 0.0 2.5 1.0 0.0 0.0 0.0 0.6 1.6 1.3 0.2 0.0
1989 5.1 0.0 2.0 3.0 0.0 0.0 0.0 0.1 0.2 1.2 0.8 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1990 6.6 0.0 1.3 0.0 0.0 0.0 0.0 5.3 10.4 1.3 1.0 0.0
1991 4.5 0.0 1.4 0.0 0.0 0.0 0.0 3.1 5.1 1.0 1.0 0.0
Pre Corporation Tax 1992 3.9 0.0 1.5 0.0 0.0 0.0 0.0 2.4 3.5 0.9 1.0 0.0
1993 4.9 0.0 1.5 0.0 0.0 0.0 0.0 3.4 4.4 1.1 1.0 0.0
Net Present Value 10.16 9.19 8.62 8.27 7.94 7.49 6.83 1994 4.5 0.0 1.5 0.0 0.0 0.0 0.0 3.0 3.6 1.1 1.0 0.0
Net Present Value (Deflated) 9.57 8.57 8.04 7.72 7.42 7.01 6.42 1995 4.2 0.0 1.5 0.0 0.0 0.0 0.0 2.7 2.9 1.0 1.0 0.0
NPV/Unit Oil Equiv. 3.45 4.04 4.33 4.49 4.64 4.83 5.09 Total To Start Of Discounting ( 1/JAN/1996)
47.2 0.0 17.2 30.0 0.0 0.0 0.0 -0.0 -48.8 4.1 2.6 0.0
Post Corporation Tax
1996 4.0 0.0 1.5 0.0 0.0 0.4 0.4 2.1 2.0 0.9 1.0 0.0
Net Present Value 6.83 6.26 5.92 5.71 5.50 5.22 4.80 1997 3.8 0.0 1.6 0.0 0.0 0.7 0.7 1.6 1.3 0.8 1.0 0.0
Net Present Value (Deflated) 6.50 5.90 5.58 5.37 5.19 4.93 4.55 1998 3.5 0.0 1.6 0.0 0.0 0.7 0.7 1.2 0.9 0.7 1.0 0.0
NPV/Unit Oil Equiv. 2.32 2.76 2.97 3.10 3.21 3.37 3.58 1999 2.8 0.0 1.7 0.0 0.0 0.6 0.6 0.5 0.3 0.5 1.0 0.0
2000 2.9 0.0 1.8 0.0 0.0 0.3 0.3 0.8 0.5 0.5 1.0 0.0
Earnings Data 2001 2.5 0.0 1.8 0.0 0.0 0.3 0.3 0.3 0.2 0.4 1.0 0.0
2002 2.1 0.0 1.6 0.0 0.0 0.2 0.2 0.2 0.1 0.3 1.0 0.0
Gross Revenue 34.81 26.38 22.92 21.06 19.48 17.50 15.00 2003 2.1 0.0 1.6 0.0 0.0 0.1 0.1 0.4 0.2 0.3 1.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2004 1.7 0.0 1.5 0.0 0.0 0.2 0.2 -0.0 -0.0 0.2 1.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2005 1.7 0.0 1.4 0.0 0.0 0.0 0.0 0.3 0.1 0.2 1.0 0.0
Corporation Tax 3.34 2.93 2.70 2.57 2.44 2.27 2.02 2006 1.2 0.0 1.3 0.0 0.0 0.1 0.1 -0.2 -0.1 0.1 1.0 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2007 1.2 0.0 1.2 0.0 0.0 -0.1 -0.1 0.0 0.0 0.1 1.0 0.0
Operating Costs 24.65 17.19 14.29 12.79 11.53 10.02 8.17 2008 1.3 0.0 1.1 0.0 0.0 -0.0 -0.0 0.2 0.0 0.1 1.0 0.0
2009 1.3 0.0 1.0 0.0 0.0 0.0 0.0 0.3 0.1 0.1 1.0 0.0
Gross Revenue (Deflated) 28.26 22.17 19.60 18.20 16.99 15.46 13.47 2010 1.4 0.0 1.0 0.0 0.0 0.1 0.1 0.2 0.0 0.1 1.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2011 1.4 0.0 0.9 0.0 0.0 0.1 0.1 0.4 0.1 0.1 1.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 3.06 2.67 2.47 2.35 2.23 2.08 1.87 2012 0.0 0.0 1.9 0.0 0.0 -0.4 -0.4 -1.4 -0.2 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 18.69 13.60 11.56 10.48 9.57 8.45 7.05 Total 34.8 0.0 24.6 0.0 0.0 3.3 3.3 6.8 5.6 2.0 5.8 0.0
LYELL 7
0 4 km operator *
Fluid Properties The Hutton field is located in the North Viking Graben close to the
median boundary with Norway. Hutton is surrounded by fields such as
Oil Gravity (API) 35 Ninian, Brent, North West Hutton, Dunlin, Cormorant and Lyell all of
Gas/Oil Ratio (scf/stb) 100-150 which lie within a 20 km radius. Fields within a 50 km radius include
Bubble Point Pressure, Pb (psig) 732 Heather, Alwyn and North Alwyn and Gullfaks and Statfjord in the
Formation Volume Factor at Pi (rb/stb) 1.089 Norwegian sector. All these fields contain oil in sandstones of the Brent
Oil Compressibility (vol/vol/psi) 6.6 x 10-6 and/or Statfjord Formations.
Original Reservoir Pressure, Pi (psig) 6227
At Datum Depth of (TVDSS) 9200
Reservoir Temperature (F) 230
Rock Properties
Reserves
Water depth (feet) 486 The Hutton field is formed by a southwesterly dipping, tilted fault
Production Start Date August 1984 block bounded by faults to the east, northwest and southeast and with
Peak Production (Oil) (stb/day) 75000 dip closure to the southwest. Northeast-southwest trending faults divide
the field into three major fault blocks. The southern fault block has
Platform(s) Semi-submersible TLP
complete reservoir separation across the fault plane. The typical five
structure
fold Brent sand sequence, is present in the field. There is a westerly
Number of Wells - Producers 14
down-dip reduction in permeability in the Broom and Rannoch
Water injectors 15
Formations.
Gas injectors
An additional high permeability sand member, the Etive-Rannoch
Oil and NGL Export 36" pipeline to Sullom Voe via complex, has been identified.
North West Hutton and The recovery from the Etive is likely to be good. Moderate recovery
South Cormorant is likely from the Ness where sediment body geometries are complex
Gas Export Flared and poorly interconnected. The Rannoch and Broom are less significant
reservoir units and only contain about 20 per cent. of the reserves.
Production began in 1984 and to date just under 90 per cent. of the
reserves have been produced. Renewed development activity,
particularly around the newly appraised area of the field, coupled with a
recent decrease in operating costs should extend the field life into the
next century.
STRATIGRAPHY AND STRUCTURE
The hydrocarbon reservoirs of the Hutton field are the Brent Group (Middle Jurassic)
HUTTON
UNITED KINGDOM
sandstones. These overlie Dunlin Group (Lower Jurassic) mudstones and are overlain by
1000
TOP BRENT GROUP Upper Jurassic mudstones of the Humber Group. Within the Brent Group five formations
0
DEPTH STRUCTURE can be recognised: Broom, Rannoch, Etive, Ness and Tarbert. Towards the crest of the
9800
Hutton
0 2 km
Hutton structure there is erosion of the Brent Group, such that locally the Tarbert
3 Formation and parts of the Ness Formation have been removed.
(Contours in feet TVDSS)
2
The Hutton structure is a northeast-southwest elongate fault block, bounded to the north,
the west and the east by major faults. Within the field, faults parallel to these major
98
bounding faults are expected to compartmentalise the reservoir.
00
9600
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
95
'A' FAULT
The Broom Formation, at the base of the Brent Group, overlies the offshore mudstones
00
BLOCK
of the Dunlin Group. It consists of medium to coarse grained, locally pebbly, cross-bedded
9900
sandstones, often with thin interbedded mudstones. The sediments of this formation
represent stacked storm-generated sheet sandstones and thin waning flow mudstones.
00 00
96 97 They are overlain by coarsening and cleaning-upward sequences of the Rannoch
1 'B' FAULT Formation. This formation consists of very fine to fine grained, variably argillaceous and
OWC 10100
BLOCK variably micaceous sandstones. In the basal, finer grained, more argillaceous part of the
97 formation the sandstones are bioturbated and may locally grade into mudstones. In the
00
upper part of the Rannoch Formation the sandstones are commonly cross-bedded. This
98
0
4 sequence represents a progradational sequence of offshore/transition zone to middle
920
00
shoreface sediments.
The Rannoch Formation is overlain by the coarser, cleaner upper shoreface to foreshore
9300 sandstones of the Etive Formation. In Well 211/27-2 there is an extremely thick sequence
94
00 of sandstones above the Rannoch Formation (c.190 feet). These appear to represent a
950
0 particularly thick sequence of Etive Formation sandstones. In general the Etive Formation
00
96 is between 40 feet and 60 feet thick. It is possible that this sequence is in part
980
1 contemporaneous with the Ness Formation. Clearly there was differential subsidence
9700
during Brent Group deposition in the Hutton area which may have led to local variations
0
00
'C' FAULT 99 in the pattern of deposition.
BLOCK The succeeding Ness Formation generally consists of interbedded sandstones,
99 mudstones and coals. These represent delta plain sediments, with distributary channel,
00
lagoon/bay shoreface, mouth bars, levee and crevasse splay sandstones which are
0
00 interbedded with lagoon/bay and floodplain lake mudstones and coals. The Ness
10
C
Formation is divided into Upper and Lower subunits by an extensive Mid Ness Shale,
OW representing a marine incursion across the area.
The uppermost unit of the Brent Group, the Tarbert Formation, is locally absent due to
2 erosion particularly in the crestal areas of the field. However, originally it was probably a
211/27 211/28
widespread development of shallow marine sandstones deposited during the onset of a
phase of eustatic sea-level rise and delta abandonment.
(Modified after Haig D Brian, 1991)
Overall the Brent Group consists of the deposits of a northward prograding shallow
marine and deltaic complex with subsequent delta abandonment.
9000
UPPER CRETACEOUS
10000
LOWER CRETACEOUS
CORE
DEPTH (feet)
AGE
VF
Geometry
NESS FORMATION
and K
Poor to good, largely reflecting primary textural
characteristics.
9900
MIDDLE JURASSIC
BRENT GROUP
Geometry
Broad, sheetlike unit.
and K
Generally good.
Geometry
Thick, sheetlike sandbody.
and K
S S Poor to good, reflecting primary textural
characteristics and local calcite cement.
Generally good. 1
1. BRENT GROUP
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
211/27-2 211/27-1A 211/28-1A 211/28-2
10000
Hutton
Heather Fm.
Humber Gp.
1000
MIDDLE JURASSIC
Ness Fm.
100
Etive Fm.
Brent Group
PERMEABILITY (md.)
F F
Rannoch Fm. 10
LOWER JURASSIC
0
Dunlin Gp.
Broom Fm.
100 feet
0.1
The Broom Formation consists of a sheetlike sand body which ranges from about 20 feet
to 50 feet in thickness. Net to gross ratio is generally >0.7, reflecting the relatively coarse,
clean nature of the sand body. Variations largely reflect the presence of calcite cement
0.01
horizons and the local presence of thin mudstones. 0 10 20 30 40
The Rannoch Formation also has a sheetlike geometry. This unit ranges from about 20
POROSITY (per cent.)
feet to 70 feet in thickness. Net to gross ratios are expected to vary between about 0.4 and
0.7, largely reflecting the presence of very fine grained, argillaceous sandstones in the lower
part of the unit, the development of calcite cemented horizons and common mica rich The Broom Formation is expected to have average porosities in
horizons. the range 20-25 per cent., reflecting its relatively coarse, clean
Overlying the Rannoch Formation is the sheetlike development of the Etive Formation. nature. There is, however, an extremely large amount of variation
Better net to gross values (generally >0.7) are found, reflecting the cleaner nature of the within Broom Formation sequences as a result of calcite
sandstones. This unit is generally 40 to 60 feet thick, although locally (Well 211/27-2) it may cementation. Permeability generally ranges between 50 and 500
be up to 190 feet thick. These thickness variations appear to reflect local subsidence md. Locally there is severe permeability reduction due to extensive
variations during deposition. calcite cementation.
The Ness Formation varies between about 5 feet and 150 feet in thickness. This largely The coarsening and cleaning-upwards Rannoch Formation is
reflects post-Brent erosional truncation. Net to gross ratio ranges between 0 and 0.7, characterised by upward improving porosity and permeability trends,
reflecting variations in the amount of interbedded mudstone and coal. Individual sandstones with porosity and permeability generally being poor to moderate in
within the Ness Formation display a marked range of thickness but most are less than 30 the lower part of the unit (15-20 per cent., <100 md) improving to
feet thick. As a result of the variety of sand body types, sandstones have a variety of good in the upper part (20-25 per cent., 100-500 md). The Etive
geometries, with ribbonlike channel sandstones and more sheetlike lagoon/bay shoreface Formation generally has good porosity (20-25 per cent.) and
and mouth bar sandstones being the most important reservoirs. Interbedded mudstones permeability (100 md or greater) reflecting its relatively clean nature.
have significant lateral extents, resulting in strong vertical zonation of the Ness Formation. Sandstones within the Ness Formation display a wide range of
The Tarbert Formation is up to about 25 feet thick, although it is commonly truncated or porosity/permeability characteristics, largely as a result of primary
eroded. Where present it appears to be a relatively clean sandstone which is expected to textural characteristics (grain size, detrital clay content etc.).
have good net to gross ratios (generally >0.8). Channel, mouth bar and lagoon/bay shoreface sandstones display
the best porosities and permeabilities, with average porosity
commonly 20-25 per cent. and permeability commonly >1000 md.
FLUID PROPERTIES Both porosity (25 per cent.) and permeability (commonly >1000
md) are good to excellent in the Tarbert Formation.
The Hutton field contains a highly undersaturated oil of 35 API gravity with gas oil ratio
averaging 150 scf/stb.
RESERVOIR PRESSURE
160 1.12 2.0
GOR Based on a hydrostatic gradient to surface of 0.45 psi, the Hutton
140
field is overpressured by approximately 2000 psi. A pressure
1.11
B0 gradient of 0.33 psi exists in the oil leg.
120
The field is compartmentalised with OWCs varying from 10033 to
GOR (scf/stb)
0 (cp)
100 1.5
1.09
80
9000
1.08
60
0
@ 230 F
40 1.07 1.0
0 2000 4000 6000 8000 9500
PRESSURE (psig) 0.33 psi/ft
DEPTH (feet TVDSS)
Hutton is being developed using water injection, producers and injectors being sited such
0.45 psi/ft
that the three main fault blocks comprising the field are efficiently swept. All the Brent units
are of reservoir quality with the exception of the Rannoch which has much reduced
10500
permeability due to the presence of mica. The upper units (Tarbert and Upper Ness) are
eroded in the crestal north-eastern area of the structure. Both the Etive and Ness units
exhibit severe internal permeability contrasts which leads to by-passing of oil by injected
water and associated reduction in sweep efficiency.
Initial development strategy included peripheral water injection which was largely 11000
6200 6400 6600 6800
unsuccessful. Oil production rates early in the field life did not increase when injectors were
drilled. This problem has apparently now been overcome. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 486
(feet)
Hutton
Platform Type semi-submersible TLP structure
Function drilling/production/
accommodation
Accommodation 239
Well Slots 32
Wells -Producers 14
-Injectors (water) 15
-Spares 3
Net Present Value 373.35 75.52 -36.25 -92.00 -136.25 -185.88 -237.10
Net Present Value (Deflated) 93.62 -278.93 -414.47 -480.18 -530.78 -584.72 -633.52
Profit/Inv Ratio 0.33 0.08 -0.04 -0.11 -0.18 -0.26 -0.37
Net Present Value 235.75 0.26 -89.67 -134.83 -170.77 -211.11 -252.43
Net Present Value (Deflated) -67.70 -368.18 -478.23 -531.50 -572.31 -615.25 -652.24
Profit/Inv Ratio 0.21 0.00 -0.10 -0.16 -0.22 -0.29 -0.40
Profit/Inv Ratio (Deflated) -0.03 -0.20 -0.28 -0.33 -0.38 -0.43 -0.52
NPV/Unit Oil Equiv. 1.21 0.00 -0.94 -1.66 -2.45 -3.76 -6.30 20
NPV/Unit Oil Equiv. (Deflated) -0.25 -2.12 -3.49 -4.50 -5.60 -7.39 -10.80
Earnings Data
0
Gross Revenue 2,405.02 1,550.26 1,222.74 1,053.47 913.61 746.02 545.74 1980 1985 1990 1995 2000
Royalty 133.96 85.62 67.05 57.46 49.54 40.09 28.85
Petroleum Revenue Tax 0.00 3.71 4.79 5.20 5.44 5.57 5.39
Year
Corporation Tax 137.59 75.27 53.42 42.83 34.52 25.23 15.34
Capital Expenditure 1,133.40 956.70 872.36 823.00 778.25 718.46 634.60
Operating Costs 764.31 428.71 314.80 259.82 216.63 167.78 114.01
Gross Revenue (Deflated) 3,374.30 2,251.37 1,806.01 1,571.47 1,375.05 1,136.09 844.52
Royalty (Deflated) 186.65 122.87 97.64 84.40 73.34 59.95 43.74
Petroleum Revenue Tax (Deflated) 5.74 9.85 10.81 11.06 11.10 10.87 10.04
Corporation Tax (Deflated) 161.31 89.25 63.76 51.32 41.53 30.53 18.71
Capital Expenditure (Deflated) 2,154.07 1,845.69 1,695.36 1,606.40 1,525.12 1,415.59 1,260.16
Operating Costs (Deflated) 934.22 551.89 416.67 349.80 296.27 234.40 164.09
Pre Corporation Tax 1980 0.0 0.0 0.0 20.0 0.0 0.0 0.0 -20.0 -172.6 0.0 0.0 0.0
1981 0.0 0.0 0.0 220.0 0.0 0.0 0.0 -220.0 -1,492.3 0.0 0.0 0.0
Net Present Value 23.62 29.33 31.88 33.30 34.52 36.03 37.87 1982 0.0 0.0 0.0 375.0 0.0 0.0 0.0 -375.0 -2,102.9 0.0 0.0 0.0
Net Present Value (Deflated) 28.95 33.44 35.41 36.49 37.41 38.52 39.81 1983 0.0 0.0 0.0 225.0 0.0 0.0 0.0 -225.0 -1,076.4 0.0 0.0 0.0
NPV/Unit Oil Equiv. 1.06 1.42 1.62 1.74 1.85 2.01 2.25 1984 196.3 0.0 13.0 100.0 3.6 0.0 3.6 79.7 337.7 23.7 0.0 0.0
1985 451.3 22.3 73.0 50.0 16.0 0.0 38.3 290.1 1,082.8 58.7 0.0 0.0
Post Corporation Tax 1986 276.7 27.7 67.0 45.0 20.0 0.0 47.8 116.9 381.3 77.3 0.0 0.0
1987 260.2 16.9 50.0 25.0 5.1 0.0 22.0 163.2 476.4 63.8 0.0 0.0
Net Present Value 1.28 7.45 10.34 11.99 13.45 15.33 17.79 1988 199.7 13.6 40.0 10.0 -44.8 0.0 -31.2 181.0 478.2 64.9 0.0 0.0
Net Present Value (Deflated) 6.53 11.61 13.96 15.30 16.48 17.99 19.94 1989 169.7 9.1 36.0 10.0 0.0 13.9 23.0 100.7 230.6 42.2 0.0 0.0
NPV/Unit Oil Equiv. 0.06 0.36 0.52 0.62 0.72 0.85 1.06 1990 142.8 6.4 36.0 15.8 0.0 38.5 44.8 46.1 90.7 29.9 0.0 0.0
1991 76.6 2.6 50.0 11.0 0.0 29.4 32.0 -16.4 -27.2 18.5 0.0 0.0
Earnings Data 1992 89.2 0.0 45.0 11.6 0.0 3.9 3.9 28.7 41.8 22.6 0.0 0.0
1993 92.8 5.5 45.0 5.0 0.0 9.3 14.8 28.0 36.4 22.6 0.0 0.0
Gross Revenue 259.17 238.93 228.26 221.68 215.48 206.83 193.93 1994 96.1 7.2 45.0 10.0 0.0 9.7 16.8 24.2 28.7 25.7 0.0 0.0
Royalty 15.14 14.70 14.41 14.22 14.03 13.74 13.26 1995 94.4 7.6 43.9 0.0 0.0 10.7 18.2 32.3 34.6 24.7 0.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total To Start Of Discounting ( 1/JAN/1996)
Corporation Tax 22.34 21.88 21.55 21.31 21.07 20.71 20.08 2,145.9 118.8 543.9 1,133.4 0.0 115.3 234.1 234.5 -1,652.3 173.2 0.0 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs 220.41 194.91 181.97 174.16 166.93 157.06 142.80 1996 89.8 7.5 42.8 0.0 0.0 11.4 18.9 28.1 27.0 22.6 0.0 0.0
1997 71.6 6.2 43.4 0.0 0.0 11.0 17.2 11.1 9.5 16.8 0.0 0.0
Gross Revenue (Deflated) 247.48 228.67 218.73 212.59 206.81 198.73 186.68 1998 55.4 4.2 42.2 0.0 0.0 6.1 10.3 2.9 2.2 12.5 0.0 0.0
Royalty (Deflated) 15.08 14.58 14.28 14.07 13.87 13.56 13.07 1999 42.4 2.7 39.4 0.0 0.0 2.1 4.8 -1.8 -1.2 9.2 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 22.42 21.84 21.45 21.19 20.93 20.53 19.87 2000 0.0 -5.5 52.6 0.0 0.0 -8.1 -13.7 -39.0 -23.5 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 203.45 180.64 169.04 162.03 155.53 146.65 133.80 Total 259.2 15.1 220.4 0.0 0.0 22.3 37.5 1.3 14.0 22.3 0.0 0.0
LYELL 7
0 4 km
Fluid Properties North West Hutton is surrounded by several other large oil fields.
These include Hutton, Ninian, Cormorant, Dunlin and Thistle all of which
Oil Gravity (API) 34-37 produce from the same Jurassic Brent deltaic sequence. Reservoir
Gas/Oil Ratio (scf/stb) 300-600 quality is typical of the Brent Group, being very variable and dependent
Bubble Point Pressure, Pb (psig) 1500-2300 on the depositional histories of the individual units which make up the
Formation Volume Factor at Pi (rb/stb) 1.2-1.4 Brent. Permeability contrast between units, however, is extreme and
Oil Compressibility (vol/vol/psi) 11 x 10-6 this, combined with reservoir compartmentalisation by faulting, leads to
unusually severe problems with sweep efficiency and premature
Original Reservoir Pressure, Pi (psig) 7700
breakthrough of injected water.
At Datum Depth of (ft TVDSS) 12000
Reservoir Temperature (F) 255
Rock Properties
Reserves
Oil & NGL Gas
Total Reserves (MMstb, Bcf) 125 12
Est. Production to 31.12.95 (MMstb, Bcf) 123 12
Remaining Reserves (Oil & NGL) (MMstb, Bcf) 2 0 FIELD DESCRIPTION
Northwest Hutton
75
0
NORTH WEST HUTTON The reservoir in North West Hutton is provided by Brent Group (Middle Jurassic)
UNITED KINGDOM
TOP BRENT GROUP SANDSTONE sandstones. The five formations of the Brent Group are generally present, except
8 DEPTH STRUCTURE where the structural development of the field in the Upper Jurassic has led to erosion
0 1 km of the Tarbert Formation and partial erosion of the Ness Formation.
The North West Hutton structure is a westward dipping fault block bounded by major
(Contours in feet TVDSS)
0
0
faults to the north and the east. Within the field there is additional faulting parallel to
1250
1225
0
140 0
these major fault trends resulting in compartmentalisation, and the development of
0
many oil water contacts.
1275
3
11750
4
293
C1
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
OW
11250
11 1125
50
0
0 The Broom Formation, at the base of the Brent Group consists of medium to coarse
211/27-4A 211/27-10 211/27-6 grained, generally poorly sorted sandstones. They are considered to represent
0 0
OUTER WEST LOBE 105 stacked sublittoral sheet sandstones. Overlying these are the variably argillaceous
INNER and micaceous, fine grained sandstones of the Rannoch Formation. The lowermost
WEST LOBE CENTRAL
LOBE part of the Rannoch Formation may be formed by a mudstone which grades up into
0
00 sandstones. The Rannoch Formation represents a lower to middle shoreface
0
25
12
0
211/27-9
12
sequence. It is capped by the fine to medium grained, generally cleaner and less
50
EAST LOBE
50
12
107
11500
211/27-5A micaceous sandstones of the Etive Formation.
9
1185
These sandstones mainly represent the upper shoreface portion of a prograding
11750
7
delta front. Locally there are tidal channel sandstones at the base of the Etive
OWC
Formation in the northern part of the field.
12
00
0 Succeeding these shallow marine sandstones are the interbedded sandstones,
2 50
12 mudstones and coals of the Ness Formation. The Ness Formation is divided into
Upper Ness and Lower Ness by the Mid Ness Shale. This is a 20 to 30 feet thick
brackish/marine mudstone, representing a temporary marine incursion in the area.
0
1125
In both the Lower Ness and Upper Ness there are distributary channel, mouthbar,
11500
0
1075
11
levee and crevasse splay sandstones which are interbedded with lagoon/bay and/or
floodplain lake mudstones and coals.
At the top of the Brent Group are the transgressive and shallow marine sandstones
of the Tarbert Formation.
Overall the Brent Group comprises the deposits of a northward prograding shallow
marine and deltaic complex and the deposits associated with delta abandonment due
Note: No single OWC is present in the field. It ranges from 12934ft
Note: in the west to 11859ft in the east to marine transgression in latest Bathonian to earliest Callovian times.
211/27
(Modified after Johnes and Gauer, 1991)
9000
UPPER CRETACEOUS
10000
LOWER CRETACEOUS
CORE
DEPTH (feet)
AGE
VF
S
lake mudstones and coals.
( M
) Geometry
( Ribbonlike channel sandstones with lobate to
)
M sheetlike levee and crevasse splay
S sandstones separated by laterally extensive
mudstones.
11600
and K
NESS FORMATION
11650
BRENT GROUP
(
) (
)
(
)
(
)
11700
(
)
(
)
11750
M Geometry
Sheetlike sandbody.
M and K
( M
) Generally good, reflecting coarse, clean
11800
nature of sandstones.
M
Middle shoreface sandstones with sheetlike
M M geometry and poor to moderate and K.
1. TARBERT FORMATION
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
Northwest Hutton
10000
211/27-8 211/27-10 211/27-6
211/27-4A
.
er Fm
1 Heath .
rt Fm
Tarbe
Humber Gp.
1000
Tarbert Fm.
0 Ness 100
Formation
MIDDLE JURASSIC
Ness Fm.
PERMEABILITY (md.)
Brent Gp.
10
100 feet
Etive Fm.
.
Fm
ive 1
Et
m.
hF
noc
Ran
Rannoch Fm.
F
LOWER JURASSIC
Fm .
Broom 0.1
Dunlin Gp.
2
1. Heather Formation
2. Broom Formation
0.01
0 10 20 30
The Broom Formation forms a sheetlike sandbody, only absent where faulted out (e.g. Average porosity of net sand generally ranges between about 15
Well 211/27-6). It generally ranges between 30 and 50 feet in thickness. Overlying the per cent. and 25 per cent. in North West Hutton, reflecting the
Broom Formation are mudstones or argillaceous sandstones of the basal Rannoch relatively deep burial of the Brent Group (11500-13500 feet). Within
Formation. The Rannoch sandbody ranges between 40 and 70 feet in thickness (except both the Broom and the Etive Formations, average porosities are
where faulted). Because of its fine grained, argillaceous, micaceous nature, net to gross commonly slightly higher (20 to 25 per cent.) as a consequence of
ratio varies between about 0.1 and 0.7. their coarser, cleaner nature.
The Etive Formation, generally 30 to 60 feet thick, has generally better net to gross ratios Permeabilities correlate with porosities, generally being poor to
than the underlying Rannoch Formation, reflecting its generally less argillaceous nature. Net moderate in the Rannoch and Tarbert Formations, variable in the
to gross ratios range between about 0.5 and 0.9. Ness Formation (commonly <10 md, locally > 1000 md) and better
Within the Ness Formation there are a variety of sandbody types. As a consequence in the Etive and Broom Formations (generally 10-100 md). Locally,
sandbody geometries are varied. Channel sandbodies have ribbonlike geometries except within the shallow marine sandstones, there are calcite cemented
where coalescence and stacking of channels results in tabular sandbodies. Mouth bar horizons where porosity and permeability are severely reduced.
sandbodies have lenticular to sheetlike geometries.
These sandstones are interbedded with and separated by mudstones which are
expected to be laterally persistent, at least at field-scale. The Mid Ness Shale forms an
important permeability barrier.
The Tarbert Formation varies from zero (where eroded) to 30 feet in thickness. It was
originally a sheetlike sandbody which now forms a series of erosively defined wedges. Net
to gross ratios generally range between 0.6 and 1.0.
Available data indicate variable PVT properties across the field with GOR varying from Data indicate several separate pressure regimes across North
300-600 scf/stb. The relationships shown are applicable to an intermediate oil which may be West Hutton, all over-pressured by around 2000 psi. Wells in the
taken as a general indication of PVT properties. west of the field exhibit pressure consistent with an oil water contact
at around 12934 feet TVDSS whilst those in the east exhibit
pressures consistent with a shallower contact at around 11859 feet
600 1.6 1.8 TVDSS.
GOR
10500
400 1.4 1.4 West
GOR (scf/stb)
B0
B0 (rb/stb)
0 (cp)
11000
0 0.37 psi/ft
PRESSURE (psig)
12500
It is apparent that only a low recovery factor will be achieved. Oil initially in place is of 13500
the order of 1000 MMstb but ultimate recovery will not exceed 125 MMstb. This is due to 7200 7400 7600 7800 8000 8200
two main factors:- INITIAL RESERVOIR PRESSURE (psig)
Approximately 70 per cent. of STOIIP is in the Ness Formation where extreme
permeability contrasts allow injected water to bypass large volumes of oil.
The remaining STOIIP is in low permeability units beneath the Ness; oil displacement
from these units is inefficient due to injection water travelling preferentially through the Ness.
These factors, combined with severe intra-field faulting reduce both areal and vertical
sweep efficiencies leading to a poor overall recovery factor.
FACILITIES SPECIFICATIONS
Northwest Hutton
Water Depth 473
UNITED KINGDOM
(feet)
Platform Type steel jacket
Function drilling/production/
accommodation
Accommodation 224
Well Slots 40
Wells 32
Net Present Value 328.19 193.21 129.69 94.11 63.35 25.11 -21.68
Net Present Value (Deflated) 339.52 112.15 12.37 -41.69 -87.28 -142.30 -206.25
@
Profit/Inv Ratio 0.42 0.31 0.23 0.18 0.13 0.06 -0.06
Profit/Inv Ratio (Deflated) 0.22 0.09 0.01 -0.04 -0.09 -0.15 -0.25
NPV/Unit Oil Equiv. 2.57 2.26 1.89 1.58 1.22 0.58 -0.68
NPV/Unit Oil Equiv. (Deflated) 1.74 0.84 0.11 -0.44 -1.05 -2.05 -3.97
PRODUCTION PERFORMANCE
Payback Year 1985 HISTORICAL AND PROJECTED
Nominal Rate Of Return % 17.43
Real Rate Of Return % 8.43 60 50
Liquid
Post Corporation Tax
Gas
@@@
Net Present Value 154.05 76.82 37.40 14.74 -5.10 -30.01 -60.62 Average Annual Daily Liquid Rate (Mbbl/day)
@@@
Gross Revenue 1,852.55 1,287.88 1,053.48 927.13 819.57 686.35 519.84 20
Royalty 107.76 81.56 68.91 61.64 55.20 46.90 36.04
Petroleum Revenue Tax 0.00 11.23 14.38 15.56 16.21 16.49 15.81 20
Corporation Tax 174.14 116.40 92.29 79.37 68.45 55.12 38.93
Capital Expenditure 775.00 626.44 558.81 520.29 486.05 441.38 380.80
Operating Costs 641.60 375.44 281.69 235.53 198.74 156.47 108.88 10
10
Gross Revenue (Deflated) 2,936.55 2,082.04 1,719.45 1,521.70 1,351.98 1,139.87 871.42
Royalty (Deflated) 185.74 138.59 116.62 104.15 93.17 79.10 60.79
Petroleum Revenue Tax (Deflated) 21.12 32.91 35.31 35.75 35.57 34.47 31.45
Corporation Tax (Deflated) 266.13 178.01 141.23 121.50 104.84 84.48 59.74
0 0
Capital Expenditure (Deflated) 1,533.95 1,272.95 1,150.79 1,080.11 1,016.60 932.64 816.70
Operating Costs (Deflated) 856.22 525.44 404.36 343.37 293.93 235.95 168.74 1980 1985 1990 1995 2000
Year
Net Present Value -82.32 -76.52 -73.36 -71.37 -69.47 -66.77 -62.65 1979 0.0 0.0 0.0 20.0 0.0 0.0 0.0 -20.0 -211.3 0.0 0.0 0.0
Net Present Value (Deflated) -79.16 -73.58 -70.54 -68.63 -66.80 -64.21 -60.25 1980 0.0 0.0 0.0 85.0 0.0 0.0 0.0 -85.0 -733.5 0.0 0.0 0.0
NPV/Unit Oil Equiv. -35.24 -33.57 -32.64 -32.04 -31.47 -30.65 -29.38 1981 0.0 0.0 0.0 200.0 0.0 0.0 0.0 -200.0 -1,356.6 0.0 0.0 0.0
1982 0.0 0.0 0.0 145.0 0.0 0.0 0.0 -145.0 -813.1 0.0 0.0 0.0
Post Corporation Tax 1983 294.3 9.1 45.0 75.0 24.2 0.0 33.4 140.9 674.3 41.1 2.0 0.0
1984 389.1 32.2 50.0 60.0 30.4 0.0 62.6 216.5 917.2 47.0 13.0 0.0
Net Present Value -82.32 -76.52 -73.36 -71.37 -69.47 -66.77 -62.65 1985 391.2 37.5 50.0 60.0 18.6 0.0 56.1 225.1 840.4 51.1 8.0 0.0
Net Present Value (Deflated) -79.16 -73.58 -70.54 -68.63 -66.80 -64.21 -60.25 1986 189.8 25.0 45.0 30.0 15.1 91.5 131.5 -16.7 -54.3 53.1 6.0 0.0
NPV/Unit Oil Equiv. -35.24 -33.57 -32.64 -32.04 -31.47 -30.65 -29.38 1987 121.7 8.6 40.0 10.0 3.0 41.4 53.0 18.7 54.6 30.0 2.0 0.0
1988 98.2 3.4 42.0 15.0 -91.2 22.0 -65.8 107.0 282.7 32.0 2.0 0.0
Earnings Data 1989 71.7 1.0 42.0 15.0 0.0 13.9 15.0 -0.3 -0.7 18.0 0.0 0.0
1990 90.0 0.0 40.0 25.0 0.0 5.3 5.3 19.7 38.7 19.0 0.0 0.0
Gross Revenue 25.14 24.53 24.19 23.97 23.76 23.44 22.95 1991 36.9 0.7 38.0 25.0 0.0 11.0 11.7 -37.8 -62.9 9.0 0.0 0.0
Royalty -11.14 -10.34 -9.90 -9.63 -9.37 -8.99 -8.43 1992 41.5 0.0 36.0 10.0 0.0 -6.9 -6.9 2.4 3.5 10.6 0.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1993 47.6 0.3 34.0 0.0 0.0 -3.9 -3.6 17.2 22.3 11.7 0.0 0.0
Corporation Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1994 27.4 1.0 32.0 0.0 0.0 -0.1 0.9 -5.4 -6.4 7.4 0.0 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1995 28.1 0.0 29.0 0.0 0.0 0.0 0.0 -0.9 -1.0 7.4 0.0 0.0
Operating Costs 118.60 111.39 107.45 104.97 102.59 99.21 94.03 Total To Start Of Discounting ( 1/JAN/1996)
1,827.4 118.9 523.0 775.0 0.0 174.1 293.0 236.4 -406.2 123.2 12.0 0.0
Gross Revenue (Deflated) 25.14 24.53 24.19 23.97 23.76 23.44 22.95
Royalty (Deflated) -10.70 -9.93 -9.51 -9.25 -8.99 -8.64 -8.09 1996 25.1 0.3 25.0 0.0 0.0 0.0 0.3 -0.2 -0.2 6.4 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1997 0.0 -11.5 93.6 0.0 0.0 0.0 -11.5 -82.1 -70.4 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 115.00 108.05 104.24 101.85 99.55 96.29 91.29 Total 25.1 -11.1 118.6 0.0 0.0 0.0 -11.1 -82.3 -70.5 2.3 0.0 0.0
operator *
Fluid Properties The Indefatigable field is located in the central part of the Southern
North Sea Basin, to the northeast of the Sole Pit axis of inversion. The
reservoir section consists of Rotliegendes sandstones located in the
Gas Gravity S.G. (air =1) 0.61 main Rotliegendes dune field but close to an area dominated by fluvial
Condensate Gas Ratio (bbl/MMscf) 3 sediments. The section therefore comprises a mixed sequence of
Gas Expansion Factor (vol/vol) 232 aeolian and fluvial sandstones with minor interdune and fluvial
Reservoir Pressure Pi (psig) 4105 (4025 in 49/25-2) sediments.
at Datum Depth of (ft TVDSS) 8850 There are a number of accumulations in the proximity of
Reservoir Temperature (F) 195 Indefatigable which are all Rotliegendes Group sandstone reservoirs.
The reservoir quality in this area of the North Sea is generally good. The
Sean field to the southeast has particularly good permeability
Rock Properties
sandstones. To the northwest, in the Viking field area, good quality
reservoirs are found, but the porosity and permeability tend to worsen
Rock Type Sandstone as the southern limit of the Silverpit Formation is approached.
Stratigraphic Unit Rotliegendes Group
Geological Age Lower Permian
Porosity Range (per cent.) 11-25
Permeability Range (md) 0.5-2000
Connate Water Saturation (per cent.) 20 (approx.) FIELD DESCRIPTION
Gas Water Contact (ft TVDSS) 8880 (8708 in 49/24-2)
Depth to Top of Structure (ft TVDSS) 7550 The Indefatigable field is a heavily faulted anticline with its major axis
running northwest to southeast, approximately 25 km long and 10 km
Reserves wide. To the west of the main field there is a satellite structure around
Indefatigable Baird Bessemer Davy Well 49/23-2 known as South West Indefatigable which is now being
developed. This is a northwest to southeast trending pericline. Around
Total Gas Reserves (Bcf) 4644 50 130 150 Well 49/24-2 there is a small domal satellite structure.
Total NGL Reserves (MMstb) 9 Gas is found normally pressured in the Lower Permian,
Est. Gas Production to 31.12.95 (Bcf) 4194 17 4 6 Rotliegendes Group. The reservoir consists mainly of aeolian dune
Est. NGL Production to 31.12.95 (MMstb) 8 sands which vary in thickness from 150 to 450 feet. This is overlain by
Remaining Gas Reserves (Bcf) 450 33 126 144 Kupferschiefer shale, carbonates and evaporites of the Zechstein
Remaining NGL Reserves (MMstb) 1 Group which form the seal to the reservoir. Porosities are moderate to
locally very good, and permeabilities are widely variable from very poor
to very good.
Production
A gas-water contact is found in the main field at approximately 8880
ft TVDSS and at 8770 and 8708 ft TVDSS in the satellite structures to
Water Depth (feet) 100-120 the west and east respectively. The gas zone is only partly underlain by
Production Start Date September 1971 water and because of the considerable faulting, field aquifer support is
Peak Gas Production (yrly average) (MMscf/day) 665 unlikely to be large.
Achieved in 1980 The field was brought onstream in 1971 and to date approximately
Platform(s) Amoco 10 90 per cent. of the total reserves have been produced.
Shell 5 The nearby Bessemer accumulation was discovered in 1989 by Well
49/23-5 and has been developed by means of a single steel AMOSS
Number of Wells 62 platform tied into Indefatigable by 16" pipeline. Production started in
Gas and NGL Export 30" pipeline to Bacton October 1995, with peaking expected in 1996. The small Beaufort field
terminal via Leman will be developed as a single-well tieback to Bessemer.
Davy, 43 km southeast of Indefatigable is remotely controlled and
gas exported via Indefatigable. Production started in 1995 via four wells.
Baird has been developed by extended reach well (49/23-8D5)
drilled from Inde D platform and came on stream in December 1993,
with gas transported via 16" pipeline to the Inde C production complex.
Bell, a small accumulation discovered in 1993, has yet to be
developed although use of an AMOSS is expected with gas exported
via Indefatigable in 1997.
STRUCTURE AND STRATIGRAPHY 49/18 Amoco 49/19 Shell/Esso
Indefatigable
UNITED KINGDOM
Lower Permian Rotliegendes sandstone although gas- 8800
8800
relief, the 49/23-2 area with low relief and the 49/24-2
76
3
00
area also with low relief. The main area forms a broad 86
00 840
anticline 25 km long by approximately 3 km wide with its
84
0 GWC - 8880'
88
00
00
crest at approximately 7550 feet TVDSS. The gas-water 840
approx.
0
contact is at approximately 8880 feet below sea level
2A
giving a maximum gas column of approximately 1330
feet, although pay thicknesses range up to only 420 feet. 8800
86
The 49/23-2 area structure, Southwest Indefatigable,
00
49/23 Amoco 0 8400 49/24 Shell/Esso
consists of several domes and basins trending northwest 88
0
1
to southeast for approximately 8 km. The highest relief of
0
8 40
the structure is at 8570 feet TVDSS with a gas-water
contact at 8770 feet TVDSS. The 49/24-2 structure is a 88
00 84 8800
3
small domal horst. Its crest is at approximately 8570 feet 00 84
00
TVDSS and it has a gas-water contact at 8708 feet 2 16
TVDSS. The main horst area is divided into several blocks
by north to south trending faults with its flank area partially 2
860
GWC - 8708'
bounded by northwest to southeast trending faults. The
0
approx.
GWC - 8770'
49/24-2 area is isolated from the main horst by a narrow approx.
northwest to southeast trending graben. The reservoir 0 5 km
6000
Zechstein Group PERMIAN
8000 Rotliegendes
Group
10000 CARBONIFEROUS
0 1 2 3 km
The Permian Rotliegendes Group reservoir sandstone represents a sequence of strata. This unit comprises extra-formational conglomerates and coarse, horizontally
alluvial plain sandstones, mudstones and conglomerates deposited in a hot semi- and locally trough cross-bedded sandstones interpreted as interdigitated aeolian and
arid desert setting. This basin was bounded by the London Brabant Massif in the fluvial deposits formed by periodic flooding of wadis; a lower middle unit of massive,
south and southwest, by the mid-North Sea and Ringkobing - Fyn highs in the north horizontally laminated, adhesion rippled, and cross bedded sandstones and thin
and by an area of Pennine uplift in the west. The sequence comprises well sorted, mudstones, interpreted as a mixed sequence of interbedded aeolian dune, and
clean, cross-bedded aeolian dune sandstones, interbedded with less well sorted, aeolian interdune sandstones, and fluvial streamflow/streamflood sandstones and
locally argillaceous interdune sands, and poorly sorted fluvial sediments.The mudstones; an upper middle unit of low to high angle cross bedded sandstones
sandstones represent arid desert sediments whose deposition was abruptly interpreted as stacked aeolian dunes; and a topmost unit of grey, massive and faintly
terminated by the inflooding of the Zechstein Sea. bedded sandstones interpreted as aeolian sandstones reworked by flooding of the
The Rotliegendes sequence in the Indefatigable field consists of the following basin by the Zechstein Sea ("Weissliegend").
lithostratigraphic units: a basal unit which lies unconformably on Carboniferous
AGE
0 150
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT NEUTRON
VC
VF
shale.
8850
Geometry
Laterally extensive sheet geometry aeolian
sandstones and lenticular to sheet geometry
49/18-3
LEMAN SANDSTONE FORMATION
fluvial sandstones.
ROTLIEGENDES GROUP
and K
Moderate and locally good porosity and
LOWER PERMIAN
9050
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
Indefatigable
10000
49/18-3
100
PERMEABILITY (md.)
100 49/23-3
10
200 feet 49/24-16
A 49/24-2
M
1
A/F
B
A/F
0.1
The Rotliegendes Group in the Indefatigable field can be subdivided into four facies
based on lithostratigraphic units. These are a thin basal fluvial sandstone, a generally thick
interbedded fluvial and aeolian sequence, a stacked aeolian dunal unit and a thin 0.01
uppermost marine reworked unit (Weissliegend). Each unit has an overall sheetlike 0 10 20 30
geometry. Within these units fluvial, aeolian and minor lacustrine facies units have complex POROSITY (per cent.)
interdigitating sheet to lenticular geometries. Vertically impermeable lithologies are laterally
restricted and do not form barriers to vertical fluid flow.
Within the northeastern area of the field, the Rotliegendes attains a maximum thickness
Porosity values are moderate to very good, typically 11 - 25 per
of 450 feet, and thins to less than 150 feet towards the southwest. This thickness variation
cent. Permeability values range from very poor to very good, but are
is mirrored by the lithostratigraphic subunits, although the Weissliegend maintains a thin
predominantly moderate to very good (up to 2000 md).
sheetlike geometry.
Trends in porosity and permeability values are controlled by grain
size, sorting and detrital clay content, and therefore facies
distribution.
The predominance of texturally mature aeolian dune sandstones,
(with little diagenetic modification by clays or cement) is reflected in
the common good to very good permeability values. Porosity and
permeability are lower in less well sorted, locally argillaceous and
commonly preferentially cemented fluvial and interdune sands.
FLUID PROPERTIES
The Indefatigable field contains a dry gas with a producing condensate gas ratio of 3
bbl/MMscf. A separator gas composition which was sampled during testing of Well 49/19-
2A is shown below.
RESERVOIR PRESSURE
COMPOSITION 1.05
At initial reservoir conditions the Indefatigable field was normally
(mol. %) 49/19-2A
pressured with an average hydrostatic gradient to surface of 0.47
CO2 0.52 psi/ft. The reservoir pressure for S.E Indefatigable is included on the
GAS DEVIATION FACTOR Z
PRESSURE (psig)
8500
S.E. Indefatigable 0.075 psi/ft
0.075 psi/ft
AMOCO/GC(E) SHELL/ESSO
Indefatigable
UNITED KINGDOM
Water Depth 93-102 98
(feet)
Platform Complexes 3 5
Platforms per Complex 2, 3 1, 2
Number of Platforms 10 6
Platform Type steel jackets + steel jackets
1 jackup
Wells 28 29
Well Slots 30 32
y
Peak Gas Throughput 1200 MMscf/day design capacity
(A Shell Photograph) (MMscf/day) from compression platform
PRODUCTION PERFORMANCE
HISTORICAL AND PROJECTED
10 700
Liquid
Gas
yyyy
FULL FIELD LIFE ECONOMIC INDICATORS 600
Net Present Value 982.41 486.32 310.12 229.82 170.37 108.35 48.57 6
Net Present Value (Deflated) 2,066.61 916.59 541.14 367.85 237.01 96.70 -43.94 400
Profit/Inv Ratio 1.93 2.21 2.08 1.91 1.70 1.35 0.79
Profit/Inv Ratio (Deflated) 1.69 1.19 0.84 0.63 0.44 0.20 -0.10
NPV/Unit Oil Equiv. 1.24 1.27 1.17 1.08 0.98 0.83 0.56
yyyy
NPV/Unit Oil Equiv. (Deflated) 0.99 0.74 0.58 0.46 0.35 0.18 -0.11 300
4
Payback Year 1975
Nominal Rate Of Return % 30.24 200
Real Rate Of Return % 18.07
Earnings Data
Gross Revenue 2,996.43 1,142.11 700.03 520.95 396.15 272.17 157.46 CASH FLOW REPORT
Royalty 211.45 94.92 60.27 45.26 34.45 23.45 13.12
Petroleum Revenue Tax 40.86 8.74 3.61 2.03 1.16 0.51 0.14 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Corporation Tax 528.00 226.93 143.19 107.15 81.18 54.69 29.76 Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
Capital Expenditure 508.00 219.93 149.05 120.28 100.25 80.33 61.59 MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
Operating Costs 1,253.72 332.20 176.97 123.56 89.92 59.53 34.05
1968 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -728.2 0.0 0.0 0.0
Gross Revenue (Deflated) 5,276.50 2,502.16 1,722.30 1,375.35 1,116.25 837.54 548.42 1969 0.0 0.0 0.0 15.0 0.0 0.0 0.0 -15.0 -968.9 0.0 0.0 0.0
Royalty (Deflated) 424.39 206.46 140.03 110.01 87.54 63.51 39.11 1970 0.0 0.0 0.0 25.0 0.0 0.0 0.0 -25.0 -1,423.4 0.0 0.0 0.0
Petroleum Revenue Tax (Deflated) 36.12 7.81 3.24 1.83 1.05 0.46 0.13 1971 0.8 0.0 4.0 20.0 0.0 0.0 0.0 -23.2 -1,150.2 0.1 15.5 0.0
Corporation Tax (Deflated) 983.05 462.08 306.13 236.11 184.06 128.97 74.33 1972 23.5 0.0 6.0 4.0 0.0 0.0 0.0 13.5 565.0 0.9 436.4 0.0
Capital Expenditure (Deflated) 1,219.69 773.23 643.14 583.30 536.93 484.02 422.06 1973 25.6 1.0 7.1 2.0 0.0 0.0 1.0 15.5 560.7 0.9 441.2 0.0
Operating Costs (Deflated) 1,529.68 598.06 394.73 312.36 253.72 192.85 131.07 1974 33.9 2.2 8.3 0.0 0.0 0.0 2.2 23.4 715.2 1.1 537.0 0.0
1975 44.6 3.4 9.4 0.0 0.0 0.0 3.4 31.8 832.1 1.2 604.7 0.0
1976 56.3 4.8 10.6 0.0 0.0 4.6 9.4 36.3 708.5 1.3 614.4 0.0
1977 70.4 6.4 11.7 0.0 0.0 20.9 27.3 31.4 486.3 1.3 655.9 0.0
1978 78.2 7.7 12.9 3.0 0.0 26.8 34.4 27.9 344.8 1.3 624.1 0.0
1979 79.6 8.4 15.0 10.0 0.0 28.2 36.6 18.1 191.0 1.2 581.1 0.0
1980 104.4 10.1 16.5 12.0 0.0 23.9 34.0 41.8 361.1 1.3 665.5 0.0
1981 100.9 11.2 18.0 15.0 0.0 33.5 44.6 23.3 158.0 1.1 543.1 0.0
1982 114.4 11.6 19.5 2.0 0.0 29.7 41.2 51.7 289.8 1.1 553.4 0.0
1983 102.0 11.5 21.0 2.0 0.0 41.9 53.4 25.6 122.5 0.9 454.7 0.0
1984 127.6 12.2 21.8 35.0 0.0 34.5 46.7 24.2 102.4 1.1 540.8 0.0
1985 126.5 13.2 22.7 35.0 0.0 29.5 42.7 26.0 97.2 1.0 515.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1986 152.5 14.3 23.6 30.0 0.0 28.7 43.0 55.9 182.2 1.2 598.5 0.0
1987 164.3 16.4 24.0 5.0 0.0 35.8 52.2 83.1 242.6 1.3 622.1 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1988 117.4 14.2 25.2 35.0 0.0 39.5 53.7 3.5 9.2 0.8 430.4 0.0
1989 128.0 11.6 26.5 28.0 0.0 22.6 34.2 39.3 90.0 0.8 410.1 0.0
Pre Corporation Tax 1990 135.3 12.4 26.5 40.0 0.0 24.5 37.0 31.9 62.7 0.9 397.0 0.0
1991 135.1 12.6 27.8 0.0 0.0 24.5 37.1 70.2 116.7 0.8 377.2 0.0
Net Present Value -98.52 19.25 54.68 69.91 80.54 90.45 97.24 1992 134.3 12.6 29.2 0.0 0.0 25.4 38.0 67.1 97.7 0.7 362.5 0.0
Net Present Value (Deflated) 2.90 65.73 83.52 90.68 95.29 98.91 99.73 1993 102.8 10.8 30.2 20.0 0.0 25.9 36.7 15.9 20.6 0.5 270.6 0.0
NPV/Unit Oil Equiv. -1.21 0.29 0.93 1.28 1.57 1.92 2.35 1994 56.0 5.2 32.2 50.0 0.0 16.0 21.2 -47.4 -56.1 0.2 139.2 0.0
1995 63.4 1.3 33.1 100.0 1.0 -0.6 1.8 -71.5 -76.6 0.2 145.0 4.7
Post Corporation Tax Total To Start Of Discounting ( 1/JAN/1996)
2,277.7 214.9 482.8 498.0 1.0 516.0 731.9 565.0 1,952.6 8.5 4,210.4 1.7
Net Present Value -110.55 8.79 45.06 60.82 71.94 82.55 90.38
Net Present Value (Deflated) -8.08 56.25 74.83 82.49 87.57 91.84 93.63 1996 100.9 2.6 38.5 10.0 4.7 -4.9 2.3 50.0 48.1 0.4 210.0 19.2
NPV/Unit Oil Equiv. -1.36 0.13 0.77 1.11 1.40 1.75 2.19 1997 96.0 4.4 40.0 0.0 5.6 5.8 15.8 40.1 34.4 0.3 188.0 19.2
1998 83.7 4.0 40.6 0.0 5.9 6.6 16.5 26.7 20.3 0.3 157.6 19.2
Earnings Data 1999 74.2 3.7 41.5 0.0 6.1 4.6 14.3 18.3 12.4 0.2 133.7 19.2
2000 58.4 3.0 41.0 0.0 5.3 2.8 11.1 6.3 3.8 0.2 106.8 15.3
Gross Revenue 718.73 572.15 508.45 473.12 442.34 403.09 351.59 2001 52.0 2.2 42.6 0.0 4.2 -0.8 5.6 3.7 2.0 0.2 93.7 11.5
Royalty -3.49 7.72 10.59 11.63 12.22 12.55 12.26 2002 46.4 1.8 38.6 0.0 3.2 -1.5 3.6 4.2 2.0 0.2 82.2 8.5
Petroleum Revenue Tax 39.82 33.20 30.06 28.24 26.60 24.44 21.47 2003 41.3 2.0 34.9 0.0 2.5 -0.5 4.0 2.3 1.0 0.1 72.2 6.3
Corporation Tax 12.04 10.47 9.62 9.10 8.60 7.90 6.86 2004 37.1 2.3 31.6 0.0 2.0 0.0 4.3 1.2 0.4 0.1 63.3 4.8
Capital Expenditure 10.00 9.76 9.62 9.53 9.45 9.33 9.13 2005 30.5 2.0 28.6 0.0 0.4 0.0 2.3 -0.4 -0.1 0.1 55.6 0.0
Operating Costs 770.92 502.23 403.50 353.80 313.53 266.33 211.50 2006 27.9 1.6 25.9 0.0 0.0 0.0 1.6 0.4 0.1 0.1 48.8 0.0
2007 25.5 1.5 23.5 0.0 0.0 0.0 1.5 0.6 0.2 0.1 42.8 0.0
Gross Revenue (Deflated) 608.68 496.30 446.46 418.49 393.91 362.23 320.01 2008 23.4 1.4 21.2 0.0 0.0 0.0 1.4 0.8 0.2 0.1 37.6 0.0
Royalty (Deflated) 6.39 11.50 12.53 12.77 12.79 12.54 11.79 2009 21.4 1.3 19.2 0.0 0.0 0.0 1.3 0.9 0.2 0.1 33.0 0.0
Petroleum Revenue Tax (Deflated) 35.05 29.52 26.88 25.34 23.95 22.11 19.56 Remain
Corporation Tax (Deflated) 10.98 9.49 8.69 8.19 7.73 7.07 6.10 2010 0.0 -37.3 303.0 0.0 0.0 0.0 -37.3 -265.8 -50.3 0.0 0.0 0.0
Capital Expenditure (Deflated) 10.00 9.76 9.62 9.53 9.45 9.33 9.13
Operating Costs (Deflated) 554.34 379.78 313.91 280.16 252.43 219.34 179.80 Total 718.7 -3.5 770.9 10.0 39.8 12.0 48.4 -110.6 74.8 0.9 483.7 45.0
These cash flows include Indefatigable and Baird fields, plus Bessemer and Davy tariff income
1,11,13,16 4,4A 24 SUMMARY
17
22
TARTAN 2,2A 15/16 WESTRAY
7 Texaco 15/17 Elf-Ent.
The Ivanhoe and Rob Roy fields are located in Quadrant 15
15/21a Amerada Hess 15/22 Amoco approximately 180 km northeast of Aberdeen, in the Outer Moray Firth
49
area of the North Sea. Ivanhoe was discovered in 1975 by Well 15/21a-
7
47 3 which encountered oil in the Upper Jurassic Piper Formation. The
PERTH area was considered uncommercial until discovery of Rob Roy by Well
6
15/21a-11 in 1984.
39
SCOTT Development of the fields using a single semi-submersible vessel
15/21b 8
Amerada Hess 36 3 7 and 3 subsea manifolds began in 1987 and first oil was produced in July
35 1989. The small Hamish field commenced production in 1990 from one
2 20
15 well tied back through the Rob Roy subsea manifold.
4,5
38 The current interests in the Ivanhoe, Rob Roy and Hamish fields in
34 per cent. are:-
GAMMA 43
6 46 44 9
45 SOUTH SCOTT Deminex UK Oil and Gas Ltd 43.33
51,52 MARMION 1 Kerr McGee Oil (UK) plc 10.83
41 50 Pict (Premier) 3.75
1 48
13 11 10
5
Amerada Hess Ltd * 42.08
HAMISH TELFORD
37 21
10 2
12 operator *
4 11 54
40
9 8 12A 42
10 ROB ROY
13
3,42 14
IVANHOE
14/26b BP 15/26a Deminex 15/27 Phillips
6
0 4 km
Fluid Properties IVANHOE ROB ROY The Ivanhoe and Rob Roy fields are located south of the Halibut
Horst in the Outer Moray Firth Basin. To the north, in Quadrant 15, the
Oil Gravity (API) 33 39 (41*) Tartan and Piper fields also produce from the Upper Jurassic Piper
Gas/Oil Ratio (scf/stb) 340 613 (1390*) Formation. To the southeast, in Quadrant 15, the Renee and Glenn
Bubble Point Pressure, Pb (psig) 1840 1914 (3474*) discoveries also contain oil in Upper Jurassic Sandstones. To the south,
Formation Volume Factor at Pi (rb/stb) 1.2 1.37 (1.8*) in Quadrant 21, the Buchan field produces oil from the fractured Late
Oil Compressibility (vol/vol/psi) 6.8 x 10-6 Devonian Buchan Formation. Scott, a substantial Upper Jurassic oil
Original Reservoir Pressure, Pi (psig) 3560 3510 field to the north commenced production in September 1993.
At Datum Depth of (ft TVDSS) 8000 8000
Reservoir Temperature (F) 189 175
Rock Properties
Reserves The Ivanhoe and Rob Roy fields are two separate faulted structures.
Ivanhoe Rob Roy Hamish The reservoir sands are within the Upper Jurassic Piper Formation
Total Oil Reserves (MMstb) ---------------------------- 160 -------------------------- which averages 400 to 850 feet in thickness. These marine sandstones
Total Gas Reserves (Bcf) ----------------------------- 60 --------------------------- vary from relatively argillaceous sands of good porosity but poor
Est. Oil Production to 31.12.95 (MMstb) ---------------------------- 137 -------------------------- permeability to clean sands of excellent porosity and permeability.
Est. Gas Production to 31.12.95 (Bcf) ----------------------------- 52 --------------------------- Two separate reservoirs can be identified: an upper 'Supra Piper'
Remaining Oil Reserves (MMstb) ----------------------------- 23 --------------------------- and a lower 'Main Piper' sandstone unit. These two units have been
Remaining Gas Reserves (Bcf) ------------------------------ 8 ---------------------------- faulted into juxtaposition in Ivanhoe with a common oil water contact at
8040 feet. The Rob Roy field however has no communication between
Production the two units and has two oil water contacts at 7926 and 7994 feet.
All of the reservoirs are undersaturated except the Rob Roy Supra
Water depth (feet) ---------------------------- 459 -------------------------
Piper which is 100 psi above saturation pressure.
Production Start Date ----------------------- July 1989 --------------------
The undersaturated, generally high quality reservoirs have oil of low
Peak Production (stb/day) -------------------------- 64000 -----------------------
viscosity and favourable mobility ratio for water flooding. This, and good
well productivities indicate that a very high recovery factor will be
Platform(s) -------- Floating Production Facility ------
achieved. Gas lift is anticipated as the most likely artificial mechanism
Number of Wells - Producers 3 5
to be used once watercut becomes excessive. It will not be utilised in
Water Injectors 3 3
Rob Roy Supra Piper. Production from the fields began in July
Gas Injectors
1989.Since its peak performance in 1992, production from both Ivanhoe
Oil and NGL Export ------------- Pipeline to Claymore -----------
and Rob Roy has experienced a fairly swift decline and a final output is
Gas Export ---------------- Pipeline to Tartan --------------
anticipated in 1999.
A small satellite discovery named Hamish was discovered by Well
* indicates Supra Piper reservoir in Rob Roy field. 15/21b-21. Annex B approval for its development as a Rob Roy satellite
was granted in February 1990 with production starting immediately. A
single well was used, tied to the Rob Roy subsea manifold and
production ceased in 1994.
STRATIGRAPHY AND STRUCTURE
UNITED KINGDOM
TOP SUPRA PIPER
reservoir in the Rob Roy/Ivanhoe fields area. The
reservoir sandstones are Upper Oxfordian to Middle DEPTH STRUCTURE
Kimmeridgian in age, and commonly overlie the coastal 0 1 km OWC 7926
plain sediments of the Sgiath Formation. A minor
(Contours in feet TVDSS)
stratigraphic break separates the Piper Formation from
0
790
the overlying Kimmeridge Clay Formation mudstones ROB ROY
7700
7800
which form the seal and no major truncation of reservoir 76
00
MANIFOLD
7900
sands is apparent. Rob Roy and Ivanhoe are located on 9 25 24
4
a complex, probably highly faulted terrace, downthrown 00 11
80
from the Halibut Horst to the north by the major South
00
0
800
0
82
770 16
810
Halibut Fault. Early production data suggest that the 0 31
800 18 0
faults in the field are not barriers to in-field 00 8 790
00
80 19 77
00
0 12A
78
communication. IVANHOE 78
79
78 00
MANIFOLD 80
00
80 00 790 7900
00 50 0 14
800
SEDIMENTOLOGY AND DEPOSITIONAL 10 80 13 0 8000
ENVIRONMENT 7800 26
00 8100
790 81
0 33 00
The Piper Formation sediments in the Rob Roy and 3 82 8200
8000
Ivanhoe area represent the components of stacked, 820
0
shoreface progradation sequences. Two major 83
00
regressive sequences are recognised, separated and OWC 8040
capped by transgressive sequences. Unit 1, the lower
unit, comprises a basal unit of marine mudstones,
overlain by a repeated sequence of relatively coarse
grained clean shoreface and shoreface attached bar
sandstones. The unit thickens to the north and northwest, (After Parker RH, 1991)
4000
Chalk Group
6000 PALEOCENE
TRIASSIC
8000
Piper Fm. UPPER CRETACEOUS
oup
Zechstein Gr LOWER CRETACEOU
10000 S
DEVONIAN
Kimmeridge Clay Formation
12000
Rattray Formation
14000
0 1 2 3 km
AGE
VF
M
PIPER FORMATION
HUMBER GROUP
Py M
8100
( Py
rubble )
Progradational sequence of nearshore bar or
shoreface sandstones.
Geometry
Sheetlike to broad, elongate lenticular
sandbodies, elongate parallel or oblique to
palaeo-shorelines.
and K
Expected and K moderate to good. profile
likely to show upward increase due to increasing
8200
1000
15/21-3
15/21-1 100
Unit 3
Unit 2
PERMEABILITY (md.)
10
15/21-5 Unit 1
0.1
100
200 feet
0.01
0 10 20 30
400 1.4 5.0 The Ivanhoe field and Rob Roy Main Piper reservoir are normally
pressured assuming a gradient to surface of 0.45 psi/ft. The Rob
4.5
GOR Roy Supra Piper reservoir however is approximately 100 psi
4.0
300 overpressured.
3.5
GOR (scf/stb)
B0 3.0
B0 (rb/stb)
0 (cp)
2.0
1.5
100 7250
0
1.0
IVANHOE ROB ROY SUPRA PIPER
0.5
@ 189F 7500
0 1.0 0.0
DEPTH (feet TVDSS)
the sheetlike geometry of the Piper reservoir sands and the presence of mudstone 3000 3200 3400 3600 3800 4000
horizons which act as vertical permeability baffles INITIAL RESERVOIR PRESSURE (psia)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type semi-submersible
Function production/
accommodation
Displacement 27067
(tonnes)
Accommodation 100
Well slots 24
Wells 14
Net Present Value 902.78 592.27 460.33 388.74 327.69 252.23 158.89
Net Present Value (Deflated) 919.87 585.52 443.36 366.23 300.51 219.35 119.26
@
Profit/Inv Ratio 2.57 1.89 1.56 1.38 1.21 0.98 0.68
Profit/Inv Ratio (Deflated) 1.78 1.26 1.02 0.87 0.75 0.58 0.34
NPV/Unit Oil Equiv. 5.33 4.95 4.68 4.48 4.26 3.91 3.24
NPV/Unit Oil Equiv. (Deflated) 4.84 4.32 3.95 3.68 3.40 2.94 2.08
PRODUCTION PERFORMANCE
Payback Year 1991 HISTORICAL AND PROJECTED
Nominal Rate Of Return % 38.21
Real Rate Of Return % 30.23 70 100
Liquid
Post Corporation Tax
Gas
@@@
Net Present Value 602.80 390.20 298.88 249.04 206.37 153.39 87.48 60
Average Annual Daily Liquid Rate (Mbbl/day)
@@@
30
Gross Revenue 1,870.71 1,324.32 1,091.56 964.65 855.86 720.21 549.35
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 116.57 81.71 66.60 58.31 51.19 42.30 31.14
Corporation Tax 299.98 202.07 161.45 139.70 121.32 98.84 71.40 20
Capital Expenditure 351.00 313.66 294.34 282.54 271.51 256.27 233.86 25
Operating Costs 500.36 336.68 270.29 235.07 205.47 169.41 125.47
Gross Revenue (Deflated) 2,104.15 1,507.51 1,250.88 1,110.17 989.02 837.17 644.40 10
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 126.45 88.71 72.35 63.36 55.64 46.00 33.89
Corporation Tax (Deflated) 320.30 216.87 173.78 150.65 131.08 107.08 77.69 0 0
Capital Expenditure (Deflated) 517.48 463.70 435.76 418.65 402.65 380.49 347.82
Operating Costs (Deflated) 540.36 369.58 299.42 261.92 230.22 191.33 143.44 1985 1990 1995 2000
Year
Post Corporation Tax 1986 0.0 0.0 0.0 25.0 0.0 0.0 0.0 -25.0 -77.1 0.0 0.0 0.0
1987 0.0 0.0 0.0 110.0 0.0 0.0 0.0 -110.0 -301.2 0.0 0.0 0.0
Net Present Value 61.51 59.43 58.21 57.41 56.62 55.46 53.62 1988 0.0 0.0 0.0 150.0 0.0 0.0 0.0 -150.0 -365.6 0.0 0.0 0.0
Net Present Value (Deflated) 61.03 58.87 57.61 56.80 56.00 54.83 52.98 1989 114.1 0.0 22.5 50.0 0.0 0.0 0.0 41.6 90.3 27.6 7.3 0.0
NPV/Unit Oil Equiv. 2.59 2.69 2.74 2.77 2.80 2.84 2.90 1990 297.2 0.0 51.3 10.0 0.0 0.0 0.0 235.9 455.7 60.7 15.3 0.0
1991 269.0 0.0 54.6 0.0 0.0 45.1 45.1 169.3 291.3 63.3 15.2 0.0
Earnings Data 1992 263.9 0.0 60.8 3.0 45.9 55.6 101.5 98.6 151.0 64.0 28.0 0.0
1993 273.8 0.0 60.1 0.0 44.9 44.5 89.4 124.3 169.4 64.0 26.0 0.0
Gross Revenue 269.10 250.04 239.93 233.68 227.77 219.50 207.11 1994 220.6 0.0 57.0 0.0 15.0 51.3 66.3 97.3 118.1 56.0 27.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1995 163.1 0.0 49.1 3.0 3.2 43.3 46.5 64.4 69.6 40.0 24.2 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total To Start Of Discounting ( 1/JAN/1996)
Corporation Tax 62.63 59.85 58.28 57.27 56.30 54.89 52.70 1,601.6 0.0 355.4 351.0 109.0 239.8 348.8 546.4 601.6 137.1 52.2 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs 144.96 130.76 123.45 119.00 114.85 109.14 100.79 1996 109.4 0.0 39.0 0.0 0.0 33.6 33.6 36.8 35.4 26.0 14.0 0.0
1997 76.1 0.0 33.4 0.0 0.0 20.2 20.2 22.4 19.2 17.0 7.4 0.0
Gross Revenue (Deflated) 258.64 240.81 231.35 225.48 219.93 212.17 200.51 1998 49.2 0.0 28.3 0.0 0.0 11.8 11.8 9.0 6.9 11.0 0.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1999 34.4 0.0 26.7 0.0 0.0 5.2 5.2 2.5 1.7 7.4 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 61.59 58.81 57.26 56.26 55.30 53.92 51.77 2000 0.0 0.0 17.5 0.0 0.0 -8.3 -8.3 -9.3 -5.6 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 136.03 123.13 116.48 112.42 108.64 103.42 95.77 Total 269.1 0.0 145.0 0.0 0.0 62.6 62.6 61.5 57.6 22.4 7.8 0.0
8 operator *
21/17b Shell
1 7
0 5 km
21/18b Phillips
Fluid Properties The Kittiwake field lies near the western edge of a northwestern lobe
of the Central Graben. The field produces from Upper Jurassic Fulmar
Oil Gravity (API) 38.5 sands at a depth of 10000 ft TVDSS and is sourced from the
Gas Oil Ratio (scf/stb) 360 Kimmeridge Clay Formation. The development of structures in the area
Bubble Point Pressure, Pb (psig) 1830 is principally associated with the diapiric movement of Zechstein salt.
Formation Volume Factor at Pi (rb/stb) 1.2 Nearby fields include Forties and Montrose, both of which produce from
Reservoir Pressure, Pi (psig) 6500 the Paleocene. To the south lies the cluster of Gannet fields, which are
at Datum Depth of (ft TVDSS) 10005 productive from Eocene and Jurassic sands.
Reservoir Temperature (F) 228
Rock Properties
Reserves
Production
FIELD DESCRIPTION
Water Depth (feet) 279
Production Start Date September 1990 The Kittiwake field produces from the Upper Jurassic Fulmar
Peak Production (Oil and NGL) (stb/day) 33,000 Formation sandstones. Non-produceable oil is also present in the
Platform(s) Single slimline jacket. Triassic Skagerrak Formation. The reservoir is sealed by the
Number of Wells - Producers 5 Kimmeridge Clay Formation. Porosities are mainly moderate to good
and permeabilities are mainly good to very good, although poorer
Water injectors 5
values occur in argillaceous reservoir units and where dolomite
Gas injectors
cementation is extensive. The reservoir is overpressured by
Oil Export Offshore loading
approximately 2000 psi and the GOR is 360 scf/stb.
Gas & NGL export Via Fulmar line to St. Fergus
The field is being developed using a single slimline jacket weighing
6000 tonnes, which was put into place in 1990. All wells have been
drilled from the central platform with 5 producing wells: 4 produce from
the eastern part of the reservoir and the fifth from the western area. Five
water injectors are positioned at the edge of the field. There are 6 spare
slots on the platform. Oil is transported by tankers from the Exposed
Location Single Buoy Mooring System (ELSBM), whilst gas and NGLs
are exported via the Fulmar gas pipeline to St. Fergus.
STRUCTURE AND STRATIGRAPHY
UNITED KINGDOM
the west of the Gannet Fault, the main fault bounding the TOP FULMAR SAND (UNIT 2)
DEPTH STRUCTURE
Kittiwake
western margin of the Central Graben. The domal
structure is elongated in an east-west direction and is 0 1 km
about 6 kilometres long and 2 kilometres wide. The crest (Contours in feet TVDSS)
of the structure is at about 9750 feet TVDSS and oil
extends down to 10450 feet TVDSS.
The main reservoir is the Fulmar Formation which
00
ranges in thickness from 161 feet to 208 feet, being 107
10300
thinner to the east. Oil has also been tested at low rates
0
from the underlying Skagerrak Formation which has 1050 10000
generally poor reservoir properties in this field. 107 10
10
10300 00 90
30
0
The structure is related to/generated by the
0
10300
underlying diapiric movement of Zechstein salt. The 21/18-6 21/18-2A 21/18-4
1100
reservoir is sealed by Kimmeridge Clay Formation 0
mudstones. 00
10
10100 1
10
10
50
30
Thinning of the sandstones results in stratigraphic
0
0
trapping in the western and southern parts of the field. OWC 10450
Base Cretaceous
Erosion Edge
SEDIMENTOLOGY AND DEPOSITIONAL
ENVIRONMENT
2000
Nordland and Hordaland
Groups (undiff.)
4000
Horda Formation
6000
Chalk Group
8000 Rogaland and Montrose Groups
10000
VF
..... ()
FULMAR FORMATION
()
UPPER JURASSIC
HUMBER GROUP
10250
()
()
10300
()
()
Gl
M Stacked sheetflood sandstones deposited
frac.
'TRIASSIC GROUP'
on a distal braidplain.
SKAGERRAK FM.
10350
TRIASSIC
M
frac.
RESERVOIR GEOLOGY POROSITY-PERMEABILITY CHARACTERISTICS
W
21/18-3
10000
Kittiwake
E
21/18-4
Kimm. Clay
Formation
1000
ation
Humber Group
orm
all F
Valh m.
21/18-2A eC lay F
eridg
Kimm Fm.
'Hot' Clay
Fulmar
ge
erid
imm
ty K
o o l' sil n it 5 100
'C U
3
Unit
4
'Triassic' Group
Unit Unit
2
PERMEABILITY (md.)
Skagerrak
1
Unit
10
Zechstein Gp.
tones
muds
mitic alt
0 c a n d dolo o v e rl ying s
driti tone
Anhy d muds
te a n 1
A nhydri
100 feet
0.1
The Fulmar Formation can be divided into five units based on detrital clay content and
consequent gamma ray response. Unit 1 consists of very argillaceous, mainly very fine
grained sandstones whose log responses are commonly similar to those of the underlying
Skagerrak Formation. Unit 2 consists of the cleanest, relatively coarse grained sandstones
which sharply/erosively overlie Unit 1 in some wells. Units 3,4 and 5 are progressively more 0.01
argillaceous and their tops are picked at sharp changes in gamma ray log response. The 0 10 20 30
thicknesses of the reservoir units show generally small variations between the available
wells. The overall thickness of the Fulmar Formation is uniform (about 200 feet) in Wells Variations in porosity and permeability can be related to facies
21/18-2A, 3 and 4 but it is relatively thin in Well 21/18-4A (161 feet). No significant characteristics (mainly grain size and original detrital clay content)
mudstones were observed in the available cores but relatively fine grained, argillaceous and dolomite cementation. The higher values of porosity (25 to 31
units may hinder vertical communication in the more argillaceous units. per cent.) and permeability (500 to 2000 md) tend to occur in the
cleaner, coarser grained sandstones. However poikilotopic dolomite
cementation may cause severe reductions (down to about 11 per
cent. porosity and less than 10md permeability). Extensive dolomite
cementation is common in Unit 2, occurs at the top of Unit 4 and
locally occurs in other units. The more argillaceous, finer grained
sandstones tend to have moderate porosities and poor or very poor
permeabilities.
FLUID PROPERTIES
The Kittiwake field contains an undersaturated moderately light oil with a gravity of 38.5
degrees API and GOR of 360 scf/stb.
400 1.25
GOR
1.1
300 1.20 B0
0.9
GOR (scf/stb)
B0 (rb/stb)
10000
DEPTH (feet TVDSS)
0.45 psi/ft
A moderate to good recovery factor is expected for the Kittiwake field. The porosity and
permeability of the Fulmar sands which constitute the reservoir in the field are generally
good. The sheet like sands are also expected to have good areal continuity. In conjunction
with the favourable mobility ratio, these factors will enhance the efficiency of the waterflood.
An unfavourable factor in this context is the decreasing upwards nature towards the top of 12000
the permeability profile which is likely to promote under-running of oil by water. An overall 5000 6000 7000 8000
recovery factor of the order of 40 per cent. is expected. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Kittiwake
Platform type steel jacket
Function drilling/production/accommodation
Well slots 16
Wells 5 producers
5 water injectors
ELSBM = Exposed Location Single Buoy Mooring system, previously used on Auk
development.
@
Net Present Value 224.57 128.68 87.90 65.90 47.29 24.59 -2.63
Net Present Value (Deflated) 181.55 84.25 43.53 21.82 3.64 -18.22 -43.72
Profit/Inv Ratio 0.83 0.55 0.41 0.32 0.24 0.14 -0.02
Profit/Inv Ratio (Deflated) 0.50 0.27 0.15 0.08 0.01 -0.07 -0.20
NPV/Unit Oil Equiv. 3.17 2.56 2.12 1.80 1.46 0.90 -0.13 PRODUCTION PERFORMANCE
NPV/Unit Oil Equiv. (Deflated) 2.39 1.55 0.97 0.55 0.10 -0.61 -1.93 HISTORICAL AND PROJECTED
Payback Year 1993 35 20
Nominal Rate Of Return % 19.41
Liquid
Real Rate Of Return % 12.45
Gas
@@@
Post Corporation Tax
Average Annual Daily Liquid Rate (Mbbl/day)
@@@
15
Earnings Data
Gross Revenue (Deflated) 821.74 587.85 486.58 430.92 382.93 322.75 246.37
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
0 0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 81.85 55.45 44.26 38.21 33.07 26.76 19.03 1985 1990 1995 2000
Capital Expenditure (Deflated) 359.86 312.65 288.81 274.46 261.20 243.14 217.14
Operating Costs (Deflated) 280.33 190.95 154.24 134.64 118.09 97.82 72.95 Year
Net Present Value 33.41 36.21 37.48 38.18 38.79 39.54 40.43 CASH FLOW REPORT
Net Present Value (Deflated) 36.45 38.68 39.66 40.20 40.65 41.19 41.79
NPV/Unit Oil Equiv. 2.58 2.96 3.16 3.29 3.41 3.58 3.84 Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
Post Corporation Tax MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
Net Present Value 12.35 14.54 15.57 16.16 16.69 17.36 18.24 1987 0.0 0.0 0.0 5.0 0.0 0.0 0.0 -5.0 -14.6 0.0 0.0 0.0
Net Present Value (Deflated) 14.45 16.27 17.11 17.59 18.01 18.55 19.23 1988 0.0 0.0 0.0 65.0 0.0 0.0 0.0 -65.0 -171.8 0.0 0.0 0.0
NPV/Unit Oil Equiv. 0.95 1.19 1.31 1.39 1.47 1.57 1.73 1989 0.0 0.0 0.0 75.0 0.0 0.0 0.0 -75.0 -171.8 0.0 0.0 0.0
1990 23.5 0.0 11.3 60.0 0.0 0.0 0.0 -47.8 -94.0 5.0 0.0 0.0
Earnings Data 1991 118.7 0.0 27.9 35.0 0.0 0.0 0.0 55.8 92.8 28.9 1.0 0.0
1992 115.2 0.0 29.9 25.0 0.0 0.0 0.0 60.3 87.9 29.1 3.9 0.0
Gross Revenue 145.98 137.59 133.05 130.21 127.50 123.68 117.85 1993 128.8 0.0 30.3 5.0 0.0 9.0 9.0 84.5 109.8 31.2 4.6 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1994 125.9 0.0 30.7 0.0 0.0 23.5 23.5 71.7 84.9 33.4 5.2 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1995 107.6 0.0 28.5 0.0 0.0 24.7 24.7 54.4 58.2 28.0 3.6 0.0
Corporation Tax 21.06 21.67 21.90 22.02 22.10 22.17 22.19 Total To Start Of Discounting ( 1/JAN/1996)
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 619.8 0.0 158.6 270.0 0.0 57.2 57.2 134.0 -18.6 56.8 6.7 0.0
Operating Costs 112.57 101.38 95.58 92.03 88.72 84.14 77.42
1996 69.3 0.0 25.6 0.0 0.0 21.1 21.1 22.6 21.8 17.7 0.0 0.0
Gross Revenue (Deflated) 141.93 133.92 129.59 126.88 124.29 120.63 115.05 1997 47.2 0.0 24.2 0.0 0.0 10.6 10.6 12.3 10.5 11.2 0.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1998 29.5 0.0 23.4 0.0 0.0 4.7 4.7 1.4 1.1 6.6 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 22.01 22.42 22.55 22.61 22.64 22.64 22.56 1999 0.0 0.0 39.4 0.0 0.0 -15.4 -15.4 -24.0 -16.3 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 105.47 95.24 89.93 86.68 83.64 79.44 73.26 Total 146.0 0.0 112.6 0.0 0.0 21.1 21.1 12.3 17.1 13.0 0.0 0.0
LOCAL SETTING
The Leman field is located in the southern part of the Southern North
Sea Basin, on the Sole Pit axis of inversion.
Gas is found in Rotliegendes Group sandstones located in the main
RESERVOIR CHARACTERISTICS aeolian dune belt. The reservoir section comprises predominantly
aeolian sandstones with only minor fluvial sediments in the basal part of
Fluid Properties the sequence.
Nearby accumulations are generally Rotliegendes sandstone
Gas Gravity S.G. (air =1) 0.585 reservoirs, although the Hewett field and its satellites also produce from
Condensate Gas Ratio (bbl/MMscf) 0.7 Triassic sandstones and Zechstein dolomites.
Gas Expansion Factor (vol/vol) 212 The reservoir quality of the Rotliegendes in this area is quite
Reservoir Pressure Pi (psig) 3020 variable. Poor to moderate quality sandstones are found in the Leman
at Datum Depth of (ft TVDSS) 6700 field with better quality found in both the Thames complex located to the
Reservoir Temperature (F) 125 east and the Hewett area to the west. Vulcan to the northwest, also lying
on the Sole Pit axis of inversion has poor reservoir quality.
Rock Properties
UNITED KINGDOM
49/26 49/27
large northwest to southeast trending faulted anticline
6800 700
0
LEMAN in the Anglo-Dutch sub basin. It comprises a gas
TOP ROTLIEGENDES accumulation in the Lower Permian, Rotliegendes
Leman
4
660
0 STRUCTURE Group, Leman Sandstone Formation which is
4 2
(Contours in feet) encountered at a depth of approximately 5900 feet
TVDSS at the crest of the structure. The gas-water
65
5
63 contact is at approximately 6700 feet TVDSS and the
00
63 00
00 61
00 reservoir is 600 to 900 feet thick. The maximum gross
gas column is 800 feet.
65
00
17
The Leman Bank structure is 13 km wide and 30
km long. The entire area is faulted, faults being less
59
00
62 0
common in the northwestern area.The principal
0 6 40 0
60 00 3 orientation of the faults is broadly west-northwest to
61 00 east-southeast, although minor north-south cross
14
3 faults are also recognised. Faulting has generated
630
65 0
64
00
horst and graben structures and faults are both
0
61
0
00
65 00
66
sealing and non sealing. Sealing faults are a barrier to
0 0
65
650 4
00
0 1
horizontal gas migration. The reservoir is sealed by
64
00
1500 feet of Zechstein evaporites.
70 65 63 00
00 00
64
00
2
0 5 km
The Leman Sandstone Formation which forms the reservoir of the field
comprises a sequence of alluvial plain sandstones, mudstones and 49/26-25 49/27-3
conglomerates deposited in a hot semi-arid desert setting. The basin was
Feet SW NE
bounded by the London Brabant Massif in the south and southwest, by the 0
mid North Sea and Ringkobing-Fyn highs in the north and by an area of TERTIARY
Pennine uplift in the west. The sequence comprises predominantly well CRETACEOUS
JURASSIC
sorted, clean aeolian dune sandstones, with subordinate less well sorted- 2000
locally argillaceous interdune and fluvial sands. The sequence comprises TRIASSIC
CORE
DEPTH (feet)
AGE
VF
permeability.
Geometry
Laterally extensive sheet geometry.
49/26-25
LEMAN SANDSTONE FORMATION
and K
generally moderate but locally poor in low
ROTLIEGENDES GROUP
10000
M 49/26-2
M Marine Reworked Member; cemented sandstones
A Aeolian Sandstone Member; stacked aeolian 49/28-1 M
dune sandstones
Leman
B Basal Member ; predominantly fluvial conglomerates,
sandstones and mudstones.
1000
A
A
M 49/27-C1
100
B
49/26-25
PERMEABILITY (md.)
B
A
M
0 10
100
200 feet
A
1
0.1
B
FLUID PROPERTIES
The Leman field contains a dry gas with a producing condensate gas ratio of
approximately 0.7 bbl/MMscf. The reported data indicate no variation in gas composition
across the field.
A reported separator gas composition is listed below.
RESERVOIR PRESSURE
CO2 0.04
GAS DEVIATION FACTOR Z
N2 1.26
H2S - 6000
1.00
He 0.02
C1 95.05
C2 2.86
C3 0.49
C4 0.17
C5 0.90 Zi = 0.86
0.05
C6 0.02
DEPTH (feet TVDSS)
PRESSURE (psig)
7000
CONTROLS ON RECOVERY
2900 2950 3000 3050 3100
The recovery factor is expected to be moderately good (some 85 per cent.) INITIAL RESERVOIR PRESSURE (psig)
UNITED KINGDOM
PLATFORMS PLATFORMS
Leman
(feet)
Platform Complexes 9 8
Platforms per Complex 1-5 1-4
Number of Platforms 18 15
Platform Type steel piled jackets steel piled jackets
and jackup platforms
Jacket Weights 251-960 205-1220
(tonnes)
Topside Weights 616-4160 100-5000
(tonnes)
Accommodation 125 142
Well 92 123
Well Slots 90 91
y
Gas Throughput 900 900
(MMscf/day)
Peak Capacity 2700
(MMscf/day)
Gas Export 3 x 30" x 35 km pipelines to Bacton
PRODUCTION PERFORMANCE
HISTORICAL AND PROJECTED
5 1600
Liquid
Gas
yyyy
Average Annual Daily Liquid Rate (Mbbl/day)
yyyy
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00%
2
Pre Corporation Tax
Net Present Value 2,510.17 1,012.17 609.11 439.00 317.67 194.59 78.64
Net Present Value (Deflated) 5,300.79 2,220.37 1,292.42 870.93 553.97 213.68 -130.31 400
Profit/Inv Ratio 2.06 2.06 1.86 1.67 1.45 1.10 0.56 1
Profit/Inv Ratio (Deflated) 1.74 1.15 0.80 0.59 0.40 0.17 -0.12
NPV/Unit Oil Equiv. 1.34 1.14 0.99 0.88 0.78 0.63 0.38
NPV/Unit Oil Equiv. (Deflated) 0.88 0.62 0.47 0.37 0.27 0.13 -0.11
Net Present Value 1,291.23 533.05 315.36 222.17 155.17 86.57 20.92
Net Present Value (Deflated) 2,828.18 1,090.80 550.13 300.72 111.05 -95.09 -306.63
Profit/Inv Ratio 1.06 1.08 0.96 0.84 0.71 0.49 0.15
Profit/Inv Ratio (Deflated) 0.93 0.57 0.34 0.20 0.08 -0.08 -0.28
NPV/Unit Oil Equiv. 0.69 0.60 0.51 0.45 0.38 0.28 0.10 CASH FLOW REPORT
NPV/Unit Oil Equiv. (Deflated) 0.47 0.30 0.20 0.13 0.05 -0.06 -0.26
Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Nominal Rate Of Return % 22.66 Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
Real Rate Of Return % 13.48 MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
Earnings Data 1966 0.0 0.0 0.0 35.0 0.0 0.0 0.0 -35.0 -3,167.3 0.0 0.0 0.0
1967 0.0 0.0 0.0 40.0 0.0 0.0 0.0 -40.0 -3,230.8 0.0 0.0 0.0
Gross Revenue 6,389.49 2,224.12 1,323.44 972.75 733.87 501.40 290.68 1968 6.0 0.0 4.0 40.0 0.0 0.0 0.0 -38.0 -2,765.8 0.1 144.1 0.0
Royalty 517.44 196.46 118.65 87.17 65.32 43.78 24.18 1969 12.2 0.0 7.0 30.0 0.0 0.0 0.0 -24.8 -1,600.7 0.2 280.2 0.0
Petroleum Revenue Tax 39.53 8.98 3.90 2.28 1.35 0.63 0.19 1970 34.9 0.0 7.0 25.0 0.0 0.0 0.0 2.9 163.6 0.5 755.5 0.0
Corporation Tax 1,106.41 466.89 290.36 215.36 161.85 107.83 57.69 1971 61.4 2.1 9.0 15.0 0.0 0.0 2.1 35.3 1,748.6 0.9 1,250.9 0.0
Capital Expenditure 1,216.98 492.11 327.22 262.94 219.47 177.59 139.66 1972 68.0 5.2 10.0 5.0 0.0 0.0 5.2 47.8 1,995.9 0.9 1,270.9 0.0
Operating Costs 2,105.37 514.39 264.57 181.36 130.06 84.79 48.02 1973 73.1 5.9 11.3 5.0 0.0 0.0 5.9 50.9 1,842.1 0.9 1,270.9 0.0
1974 95.3 7.6 12.7 0.0 0.0 0.0 7.6 75.0 2,294.1 1.1 1,521.0 0.0
Gross Revenue (Deflated) 12,098.20 5,652.53 3,903.67 3,131.81 2,556.48 1,937.04 1,290.91 1975 106.7 9.8 14.0 0.0 0.0 36.1 45.9 46.8 1,224.2 1.0 1,461.0 0.0
Royalty (Deflated) 1,037.10 478.81 321.52 251.96 200.39 145.56 90.02 1976 137.0 12.8 16.0 0.0 0.0 42.7 55.5 65.5 1,277.8 1.1 1,511.0 0.0
Petroleum Revenue Tax (Deflated) 39.12 9.20 4.06 2.40 1.44 0.68 0.21 1977 162.1 16.8 18.0 0.0 0.0 55.1 71.8 72.3 1,120.2 1.1 1,531.0 0.0
Corporation Tax (Deflated) 2,472.61 1,129.57 742.29 570.21 442.91 308.77 176.32 1978 174.5 19.3 19.5 0.0 0.0 65.4 84.6 70.4 870.5 1.0 1,421.0 0.0
Capital Expenditure (Deflated) 3,052.01 1,927.80 1,617.01 1,476.81 1,369.13 1,246.70 1,102.50 1979 179.0 20.4 21.0 0.0 0.0 70.2 90.6 67.4 712.2 0.9 1,340.9 0.0
Operating Costs (Deflated) 2,669.17 1,016.37 668.66 529.71 431.56 330.42 228.49 1980 138.2 18.1 24.0 5.0 0.0 71.4 89.4 19.8 170.9 0.6 910.6 0.0
1981 231.8 21.0 30.0 10.0 0.0 48.8 69.8 122.0 827.7 0.9 1,290.9 0.0
1982 228.7 26.3 30.0 15.0 0.0 85.9 112.2 71.5 401.0 0.8 1,140.8 0.0
1983 254.9 27.6 30.0 5.0 0.0 82.0 109.6 110.3 527.8 0.8 1,170.8 0.0
1984 204.5 25.8 35.0 20.0 0.0 96.3 122.1 27.4 116.2 0.6 897.0 0.0
1985 253.1 24.9 40.0 70.0 0.0 60.6 85.5 57.6 215.1 0.7 1,060.7 0.0
1986 246.6 25.9 45.0 250.0 0.0 60.0 85.8 -134.2 -437.8 0.7 980.7 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1987 275.7 24.5 45.0 60.0 0.0 33.1 57.6 113.1 330.3 0.7 1,060.7 0.0
1988 245.9 23.8 45.0 50.0 0.0 49.2 73.0 77.9 205.9 0.6 910.6 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1989 212.3 19.4 50.0 31.5 0.6 41.5 61.4 69.4 158.9 0.5 682.5 3.8
1990 272.7 20.4 55.0 165.0 2.9 31.9 55.1 -2.4 -4.8 0.6 796.5 11.8
Pre Corporation Tax 1991 248.3 20.9 60.0 50.0 3.1 37.6 61.6 76.7 127.5 0.5 687.8 10.5
1992 214.6 16.8 63.0 50.0 3.8 30.8 51.4 50.1 73.0 0.4 568.0 12.8
Net Present Value 361.07 399.52 392.94 383.09 370.95 350.74 316.65 1993 162.3 11.4 63.0 50.0 2.9 21.6 35.8 13.4 17.4 0.3 422.0 8.7
Net Present Value (Deflated) 406.40 395.03 376.07 361.77 347.11 325.47 292.24 1994 127.2 6.6 63.0 70.0 1.8 8.4 16.8 -22.6 -26.8 0.2 342.0 10.0
NPV/Unit Oil Equiv. 1.63 2.36 2.66 2.82 2.95 3.11 3.28 1995 175.3 8.7 60.0 30.0 2.7 -2.6 8.8 76.5 81.9 0.3 460.0 12.5
Total To Start Of Discounting ( 1/JAN/1996)
Post Corporation Tax 4,602.7 421.9 887.5 1,126.5 17.8 1,026.1 1,465.7 1,123.0 5,268.7 6.9 9,906.1 25.6
Net Present Value 168.22 251.33 264.26 265.24 262.49 254.22 235.60 1996 167.1 11.9 58.0 0.0 2.9 14.6 29.4 79.7 76.7 0.3 420.4 12.5
Net Present Value (Deflated) 247.78 270.77 267.01 261.21 253.96 241.80 221.01 1997 159.6 11.5 60.3 36.4 3.1 17.2 31.8 31.1 26.7 0.3 384.2 12.5
NPV/Unit Oil Equiv. 0.76 1.49 1.79 1.95 2.09 2.25 2.44 1998 152.2 11.6 43.3 0.0 3.2 14.7 29.4 79.4 60.6 0.2 351.1 12.5
1999 144.0 12.5 45.0 0.0 2.8 20.7 35.9 63.1 42.8 0.2 320.8 10.3
Earnings Data 2000 136.5 11.9 46.8 0.0 2.3 20.2 34.5 55.2 33.3 0.2 293.2 8.7
2001 129.3 11.4 48.7 0.0 1.9 19.3 32.7 47.9 25.8 0.2 267.9 7.2
Gross Revenue 1,786.77 1,327.92 1,139.36 1,038.10 952.02 845.32 711.06 2002 122.7 11.0 50.7 0.0 1.6 18.1 30.6 41.4 19.8 0.2 244.9 6.0
Royalty 95.57 84.02 76.68 72.03 67.66 61.70 53.32 2003 116.4 10.5 52.8 0.0 1.3 16.5 28.3 35.3 15.0 0.2 223.8 5.0
Petroleum Revenue Tax 21.77 17.92 16.16 15.15 14.25 13.08 11.50 2004 110.0 9.8 54.9 0.0 1.0 14.8 25.6 29.5 11.2 0.1 204.5 4.2
Corporation Tax 192.85 148.19 128.67 117.85 108.45 96.52 81.05 2005 104.4 9.0 57.1 0.0 0.8 13.0 22.7 24.5 8.3 0.1 186.9 3.5
Capital Expenditure 90.48 64.69 54.75 49.62 45.40 40.36 34.33 2006 99.0 8.3 59.4 0.0 0.5 11.2 20.0 19.6 5.9 0.1 170.8 2.8
Operating Costs 1,217.87 761.77 598.84 518.22 453.76 379.44 295.26 2007 94.0 7.3 61.8 54.1 0.3 9.3 16.9 -38.8 -10.4 0.1 156.1 2.3
2008 89.2 5.6 64.3 0.0 0.2 3.2 9.0 15.9 3.8 0.1 142.6 2.0
Gross Revenue (Deflated) 1,428.41 1,096.43 956.89 880.93 815.68 733.79 628.80 2009 83.2 4.8 66.9 0.0 0.0 2.5 7.3 9.0 1.9 0.1 130.3 0.0
Royalty (Deflated) 88.15 75.26 68.26 64.03 60.15 54.95 47.76 2010 79.2 4.0 69.6 0.0 0.0 1.0 5.0 4.5 0.9 0.1 119.1 0.0
Petroleum Revenue Tax (Deflated) 18.94 15.83 14.39 13.55 12.81 11.83 10.49 Remain
Corporation Tax (Deflated) 158.62 124.26 109.06 100.57 93.15 83.67 71.23 2011 0.0 -45.4 378.2 0.0 0.0 -3.56 -48.96 -329.24 -55.17 0.0 0.0 0.0
Capital Expenditure (Deflated) 70.00 52.50 45.63 42.03 39.04 35.40 30.93
Operating Costs (Deflated) 844.92 557.81 452.54 399.54 356.58 306.15 247.37 Total 1,786.8 95.6 1,217.9 90.5 21.8 192.85 310.19 168.22 267.01 0.9 1,320.1 32.7
These cash flows include Leman field only, plus Camelot tariff income
23/16d 7/7 Statoil 7/8 SUMMARY
4
3 Hess Con .
3
5
MUNGO The Lomond gas condensate field is located in Quadrant 23 some
5
260 km due east of Aberdeen in the UK Sector of the Northern North
6 2 Sea. Lomond was discovered in 1972 by Well 23/21-1 which
encountered gas condensate in sandstones of Paleocene age.
Further gas was encountered in 1984, but it was not until 1987 that
gas condensate was discovered by Well 23/21-4 on the north eastern
22/20 23/17 flank of the salt induced domal structure.
BP 23/16a BP Amerada
Development involves a single integrated steel platform installed in
22/25b 23/21 Amoco 23/22b Agip
Shell June 1992, tied via Everest to 'CATS' (Central Area Transmission
System). Production commenced in 1993, upon commissioning in
Teesside of a new power station, which is contracted to buy all gas
1 output from both Lomond and Everest.
1 The current interests in the Lomond field in per cent. are:-
22/25a
BP LOMOND
3,4
2 Amoco UK Exploration Co. * 22.22
British Gas plc 50.00
Amerada Hess Ltd 16.67
BG North Sea Holdings Ltd 11.11
7/10 7/10d
4 Amoco Am.
operator *
0 4 km
23/22a BP
MEDAN 2
3
LOCAL SETTING
RESERVOIR CHARACTERISTICS
The Lomond gas condensate field is located close to the UK-
Fluid Properties Norwegian border on the eastern side of the Central Graben. The
nearest hydrocarbon accumulations are the Mungo and Monan fields
Gas Gravity S.G. (air =1) 0.66 10-15 km to the northwest and the Pierce and Medan discoveries 10-15
Condensate/Gas Ratio (bbl/MMscf) 55 km to the south. To the west, at a distance of between 30 and 45 km lie
Gas Expansion Factor (scf/rcf) 240 the Marnock gas condensate discovery and the Montrose and Arbroath
Dew Point Pressure (psig) oil fields, all of which contain hydrocarbons in sandstones of Paleocene
Original Reservoir Pressure, Pi (psig) 4715 age. The Erskine HP/HT gas condensate discovery lies 23 km to the
At Datum Depth of (ft TVDSS) 9180 south. Erskine will be developed by a not normally manned platform
Reservoir Temperature (F) 236 controlled from Lomond. Gas and condensate from Erskine will be
processed on the Lomond platform
Rock Properties Everest is a gas condensate field which lies approximately 50 km
north-northwest of Lomond.
Rock Type Sandstone
Stratigraphic Unit Forties Formation
Geological Age Paleocene
Porosity Range (per cent.) 15-25
Permeability Range (md) 0.1-100
Connate Water Saturation (per cent.) 30-50
Hydrocarbon Water Contact (ft TVDSS) 8990-9450
Depth to Top of Structure (ft TVDSS) 8250
Reserves
Production
The main reservoir in the Lomond field is the gas bearing, Upper Paleocene, size within Paleocene sandstones. It is underlain by a salt diapir at depth, close to
UNITED KINGDOM
Forties Formation. Gas was also tested from the Chalk Group and minor oil shows the eastern margin of the Central Graben. The reservoir is sealed by the overlying
were recorded in Triassic sandstones. The structure is a culmination of moderate mudstones of the Rogaland Group.
Lomond
INTERPRETATIVE STRUCTURAL CROSS SECTION
23/21-1 23/22-1
Feet
W E
2000
4000 TERTIARY
10000
TRIASSIC JURASSIC
12000 Chalk Group
oll Gr oup
14000 Cromer Kn Salt diapir at depth
0 1 2 3 4 5 km
The sediments of the Forties Formation were deposited mainly by turbidity based, fine grained sandstones and laminated mudstones are interpreted as
currents on a submarine ramp during the Late Paleocene. The main facies relatively proximal classical turbidites. Thin, laterally impersistent mudstones are
associations comprise the following: locally present.
The majority of the reservoir section comprises generally massive sandstones, Sections dominated by laminated mudstones containing numerous graded silt
which are poorly sorted, with scattered glauconite grains and locally common and very fine sandstone beds are recognised. These sediments are interpreted
mudclasts. These are interpreted as high density turbidite sandstones deposited as relatively distal classical turbidites and inter-turbidite mudstones. Units of
in broad, shallow channels. Units characterised by interbedded sharp greenish grey, bioturbated mudstones represent hemipelagic deposits.
CORE
DEPTH (feet)
AGE
VF
8550
8600
8650
RESERVOIR GEOLOGY POROSITY-PERMEABILITY CHARACTERISTICS
23/21-1
10000
Lomond 100
1000
200 feet
23/21-2
100
23/22-1
Sele Balder
Fm. Fm.
Rogaland
Group
PERMEABILITY (md.)
10
?Andrew-Forties Formations
Montrose Group
1
0.1
Ekofisk Maureen
Fm. Fm.
Chalk
Gp.
0.01
0 10 20 30
The Forties Formation in the Lomond field forms a thick sheetlike sediment body, Porosities in the Forties Formation in the Lomond field are
internally composed of elongate, lenticular channel sandbodies and thinner, more sheetlike, generally moderate, typically ranging from 18 to 20 per cent.
inter-channel sandstones interbedded with thin, generally laterally impersistent mudstones. Permeabilities are commonly poor to moderate, ranging from 0.1 to
The channel sandstones have the best reservoir quality. These sandstones dominate the 100 md. Trends in porosity and permeability values are controlled by
sequence in the centre of the field probably forming a northwest-southeast trending band, primary textural characteristics and hence by facies. The higher
passing laterally into units of poorer reservoir quality, inter-channel turbidite sandstones and porosity values are found in the coarser grained, clean channel fill
thin mudstones. sandstones.
The Lomond field contains a gas condensate with a condensate gas ratio of 55 The Lomond field is overpressured by about 500 psi relative to a
bbls/MMscf, underlain by an oil rim in the west of the field. hydrostatic pressure gradient of 0.45 psi/ft. It is divided into at least
two separate pressure regimes.
1.05
8800
GAS DEVIATION FACTOR Z
Zi = 0.992
1.00
0.085 psi/ft
9000 GDT @ 8990 ft TVDSS
0.95
DEPTH (feet TVDSS)
@ 236 F
0.90
0 1000 2000 3000 4000 5000 GWC @ 9300 ft TVDSS
9600
4500 4600 4700 4800
CONTROLS ON RECOVERY
Recovery of gas and condensate liquids in the Lomond field is expected to be moderate
to good.
The positive factors affecting recovery are the good permeability within the clean
coarser-grained channel fill sands and the small areal extent of the reservoir. It is also
expected that compression facilities will be installed, leading to a low reservoir
abandonment pressure. Recovery is expected to be reduced by the faulted nature and
associated lack of continuity in the reservoir, by the generally poor sand permeability,
especially at the margins of the field, and by the lack of pressure support by an active
aquifer.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type Integrated Steel Platform
Lomond
Function Processing/compression/drilling
Accommodation
Production throughput :
condensate (bbl/day) 7800
gas (mmscfd) 200
y
(An Amoco Photograph)
yyyy
Profit/Inv Ratio 0.62 0.16 -0.04 -0.16 -0.25 -0.38 -0.53
Average Annual Daily Liquid Rate (Mbbl/day)
yyyy
Net Present Value 114.03 0.70 -46.03 -70.06 -89.40 -111.27 -133.75
Net Present Value (Deflated) 38.77 -66.46 -107.15 -127.38 -143.23 -160.48 -176.80
Profit/Inv Ratio 0.34 0.00 -0.16 -0.25 -0.33 -0.43 -0.57 50
Profit/Inv Ratio (Deflated) 0.10 -0.19 -0.32 -0.40 -0.46 -0.54 -0.65
NPV/Unit Oil Equiv. 1.27 0.01 -1.02 -1.81 -2.68 -4.10 -6.78 5
NPV/Unit Oil Equiv. (Deflated) 0.48 -1.26 -2.56 -3.52 -4.55 -6.22 -9.30
Earnings Data
0 0
Gross Revenue 1,285.01 775.31 588.43 494.60 418.87 330.72 230.09
1990 1995 2000 2005 2010
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Year
Corporation Tax 95.35 49.46 33.94 26.58 20.93 14.75 8.43
Capital Expenditure 335.00 304.59 288.47 278.49 269.06 255.88 236.17
Operating Costs 740.64 420.55 312.05 259.60 218.28 171.35 119.24
Gross Revenue (Deflated) 1,096.50 679.80 523.52 444.03 379.25 302.99 214.48
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 72.41 37.72 25.95 20.36 16.05 11.34 6.51
Capital Expenditure (Deflated) 385.48 350.94 332.61 321.25 310.52 295.50 273.02
Operating Costs (Deflated) 599.84 357.60 272.11 229.81 195.91 156.63 111.75
These cash flows include Lomond field only, plus Erskine tariff income
3/1a Total 3/2 Conoco 3/3 Chevron SUMMARY
0 4 km
The Lyell field is located entirely within Block 3/2 some 480 km
7 11 northeast of Aberdeen in the UK sector of the Northern North Sea. The
3
3/1b Rel. field was discovered in 1975 by Well 3/2-1A which encountered oil in
1 Jurassic sandstones of the Brent Group at a depth of approximately
LYELL 6 11200 feet TVDSS. The field was subsequently appraised with six wells,
1,1A 3 three of which intersected oil bearing reservoir. The field is elongated in
5 a north-south orientation and is some 15 km long and 3 km wide.
N
The Annex B was approved in January 1991 and production
9 2
10
commenced in March 1993. The field has been developed as a satellite
2 2 to the Ninian South platform where all separation and processing takes
3 4 7 9,9A place before export to Sullom Voe via the Ninian pipeline. The
6 8 development is in the form of a subsea tie-back to Ninian and the
1 4
C manifold was installed in May 1992. Gas from Lyell is used to
5,5A supplement the Ninian supplier.
COLUMBA
B NINIAN The current interests in the Lyell field in per cent. are:
8
3/6a Rel. 3/7d Rel. 3/7a 3/8a Ranger 3/8b Lasmo
Chev. 2 Chevron 33.33
Oryx * 66.67
S 1
Rock Properties
Reserves
Production The Lyell field is a complex faulted tilted horst block that shows minor
erosion of the Upper Brent Group formations. The reservoir occurs
Water Depth (feet) 479 within the shallow marine and deltaic sandstones of the Middle Jurassic
Production Start Date March 1993 Brent Group. The three main reservoir horizons, the Broom, Etive and
Peak Oil Production (stb/day) 16000 the Upper Ness Formations are effectively separated by the very tight
micaceous Rannoch Formation and the impermeable Lower Ness
Peak Gas Production (MMscf/d) 10
mudstones. The Tarbert Formation is largely absent and the field is
Platforms subsea manifold
extensively faulted. Porosity is generally moderate and permeability is
Number of Wells Producers 7
variable but poor.
Water Injectors 2
Development of the field has taken place using a subsea manifold as
Oil Export Pipeline to Ninian South and
a satellite to the Ninian field and water injection is being used. The
onwards to Sullom Voe reservoir contains a moderate gravity oil and may exhibit a number of
isolated compartments in terms of both pressure and fluid composition.
To overcome this problem installation of a second manifold has been
considered, although no firm plans have been made as yet. There has
also been a plan put forward using horizontal wells, particularly
exploiting the Lower Brent section. However, no decision has yet been
made as to the viability of this programme.
STRATIGRAPHY AND STRUCTURE
The reservoir sequence in the Lyell field comprises the Middle Jurassic bounded to the east by a north northwest to south southeast trending normal fault.
UNITED KINGDOM
sandstones of the Brent Group. The reservoir section overlies the Lower Jurassic The structure comprises at least five subordinate fault blocks, is extensively faulted
Drake Formation offshore marine mudstones of the Dunlin Group and is overlain by and is dip and fault closed to the west. The thin northern and southern extremities of
the Upper Jurassic marine mudstones of the Humber Group. The Upper Jurassic this elongate structure are also dip and fault closed. The dominant fault orientation
Lyell
sediments are overlain by Cretaceous sediments of the Cromer Knoll and Shetland is north northwest-south southeast with a secondary southwest to northeast fabric.
Groups. The Tarbert Formation is commonly absent due to erosion below the Mid-
Cretaceous unconformity. It is completely absent in the north and east of the field
area.
The Lyell structure comprises a westerly dipping, tilted fault block that is
6000
10000
LOWER CRETACEOUS
Dunlin Group
14000
Brent Group
16000 0 5 km
VF
bays
Geometry
Ribbonlike and lobate to sheetlike sand
bodies. Moderate interconnectivity
NESS FORMATION
MIDDLE JURASSIC
of unit
and k
11400
Geometry
P Broadly sheet like but cut by elongate
channel complexes
and k
ETIVE FORMATION
Geometry
Broad, sheet like sandbody orientated
parallel to paleo-shoreline
and k
Generally moderate to good. Locally very
good, or poor where calcite cemeted
1. HUMBER GROUP
2. HEATHER FM.
3. TARBERT FM.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
NW S E
10000
U. Jurassic
3/2-2 3/2-4
3/2-3 3/2-1A 3/2-5
2 1
Lyell 1000
Ness Fm.
Middle Jurassic
Brent Group
100
Etive
PERMEABILITY (md.)
3
4 10
Dunlin Gp.
L. Jurassic
0
1
1. Humber Group
2. Heather Formation
3. Rannoch Formation
50 feet 4. Broom Formation
The reservoir interval may be divided into two main units. The lower interval comprises 0.1
the Broom, Rannoch and Etive Formations and the upper interval the Ness Formation. The
uppermost Brent Group formation, the Tarbert, is absent or very thin and attenuated over
most of the field as a result of either non-deposition or erosion. The Broom, Rannoch and Well 3/2-4
Etive Formations exhibit a similar development to that seen in the Ninian field regarding Well 3/2-1a
thickness and depositional history and may be modelled together. Each of the formations 0.01
may be treated as sheetlike sandbodies over the area of the field. The Broom Formation is 0 10 20 30
a stacked and coalesced composite sand body with thin mudstones of several square
POROSITY (per cent.)
kilometre extent. Net to gross ratio and porosity values are good. The Rannoch Formation
is diachronous and forms a sheetlike horizon with very poor to poor but locally moderate
reservoir quality. The Etive Formation is a sheetlike horizon of stacked and coalesced The Broom Formation is commonly moderately cemented and
sandstones which exhibit a gradual thickening to the north and east and exhibits excellent exhibits porosity values in the range 14 to 20 per cent. Permeability
reservoir quality. Average thicknesses for the Broom, Rannoch and Etive Formations are values are moderate and range from 5 to 40 md. The degree of
approximately 50, 40 and 50 feet respectively. cementation (principally calcite) is the main controlling factor on
The Ness Formation may also be subdivided into two main intervals on the basis of the poroperm distribution although kaolinite development is also
nature of development of sandstone bodies. The sequence includes shoreline, channel, bar, important. The Rannoch Formation porosity is low and averages
crevasse splay, levee and sheet flood sandstones interbedded with floodplain and lagoonal approximately 8 per cent. whilst permeability ranges from <1 to 5
mudstones. In most wells the top of the Ness coincides with the top of a correlatable md. The poorer quality of the horizon represents the development of
sandstone unit of average thickness 40 feet. The unit is a major north-south orientated low illite in response to the micaceous nature of the sediments. The
sinuosity distributory channel complex which exhibits good connectivity and is considered sediments also exhibit a laminated structure even on a microscopic
to be correlatable with the Ninian field. The unit is expected to exhibit good connectivity due scale. The Etive Formation exhibits good porosity and moderate
to diagonal stacking of the channels. The sandstone unit is not seen in Well 3/2-1A where permeability with values in the ranges 16 to 20 per cent. and 5 to 20
there are laterally equivalent interbedded sandstones and shales. This major channel and md respectively. Calcite cementation is also common and locally
overbank unit forms the upper subdivision of the Ness Formation. The Tarbert is not extensive in these fined grained sandstones. The Ness sandstone
considered to be of significance as a reservoir horizon in the Lyell field. The lower interval bodies exhibit moderate porosity values and highly variable
averages 100 feet in thickness and comprises saline bay and non-marine interdistributary permeabilities. Porosities range from 14 to 18 per cent. whilst
bay shales and sandstones. The sandstone horizons are relatively thin (less than 25 feet ) permeabilities are in the range 50 to 1000 md and are related to
and are interbedded with mudstones and exhibit poor connectivity. The unit forms a vertical complex channel sand architecture. The thicker stacked channel
permeability barrier between two of the main reservoir horizons, the Etive and the Upper sequences generally have excellent poroperm characteristics. In all
Ness channel unit. The Ness is not significantly truncated in the area of the field. the main reservoir horizons primary textural characteristics, with the
exception of variable cementation, appear to have exerted the main
FLUID PROPERTIES control on poroperm distribution.
The Lyell field contains a medium gravity oil in the range 35-38 degrees API and a RESERVOIR PRESSURE
viscosity of 0.5 cp at 240 F. The GOR is variable and ranges from approximately 400 to 800
scf/stb and the bubble point pressure lies in the range 1500 to 2300 psig. The range of oil Pressure data from both DST and RFT sources is of poor quality.
properties encountered suggest that there is a zoning of oil types both between and within Based on a regional hydrostatic gradient to surface of 0.45 psi/foot
the main reservoir units. The geological and structural configuration of the field suggest that the Lyell field, on the evidence of Well 3/2-2 RFT data alone, is
segregation into a number of isolated reservoirs is possible but the available data are not overpressured by some 2100 psi. The initial Lyell reservoir pressure
sufficient to better describe the distribution or control. is 7100 psig at a datum depth of 11434 feet TVDSS. The
overpressuring of the reservoir is comparable to that observed in
Ninian. Bubble point pressure of the oil in Well 3/2-1A is 2345 psig
and the oil gradient is 0.33 psi/foot. The OWC presented for the Well
1000 2.0 2.0 3/2-3 data is a field wide inferred contact on the basis of
GOR saturation/height trends. No reliable data points were available for
B0
pressures in the water leg.
800
1.5 1.5
GOR (scf/stb)
600
B0 (rb/stb)
11400
0 (cp)
1.0 1.0
400
0
0.5 0.5
200 11600
0.33 psi/ft
DEPTH (feet TVDSS)
@ 240 C
0 0 0
permeability distribution, particularly in the Broom and Rannoch Formations. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
NINIAN CENTRAL (feet)
Development Subsea Manifold
NINIAN SOUTH
Lyell
Total Weight 500
LYELL
(tonnes)
Well Slots 15
10" x 15.5 km Oil
8" x 15.5 km Gas
Wells 13 planned
plus 3" and 4" x 15.5 km Chemical lines Producers 7
12" x 15km Oil Injectors 2
10" x 15km Water
2" x 15km Methanol 2 km Flowlines
PROCESSING AND EXPORT SPECIFICATIONS
STRATHSPEY
12" x 20km
Water Oil Throughput 70000
(bbl/day)
Oil Export 12" x 15 km Pipeline
to Ninian South
STAFFA
SCHEMATIC FIELD LAYOUT
Net Present Value 46.36 7.79 -7.45 -15.33 -21.78 -29.32 -37.76
Net Present Value (Deflated) 21.80 -11.13 -24.06 -30.71 -36.11 -42.37 -49.24
Profit/Inv Ratio 0.26 0.05 -0.05 -0.11 -0.16 -0.23 -0.32
Net Present Value 31.06 -1.46 -14.38 -21.07 -26.55 -32.96 -40.12
Net Present Value (Deflated) 9.15 -18.79 -29.80 -35.47 -40.07 -45.40 -51.21
Profit/Inv Ratio 0.18 -0.01 -0.10 -0.15 -0.20 -0.26 -0.34
Profit/Inv Ratio (Deflated) 0.05 -0.11 -0.19 -0.23 -0.27 -0.32 -0.40
NPV/Unit Oil Equiv. 0.89 -0.06 -0.67 -1.09 -1.52 -2.18 -3.32
5
NPV/Unit Oil Equiv. (Deflated) 0.28 -0.76 -1.42 -1.87 -2.33 -3.03 -4.22
Earnings Data
0
Gross Revenue 422.15 302.18 252.20 225.20 202.17 173.56 137.54
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1990 1995 2000 2005
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax 15.30 9.26 6.93 5.74 4.77 3.64 2.36 Year
Capital Expenditure 175.00 156.15 146.53 140.70 135.28 127.84 117.02
Operating Costs 200.79 138.24 113.12 99.83 88.67 75.03 58.28
Gross Revenue (Deflated) 394.62 288.03 242.89 218.26 197.11 170.60 136.79
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 12.65 7.66 5.74 4.76 3.96 3.03 1.97
Capital Expenditure (Deflated) 190.65 170.64 160.39 154.17 148.39 140.45 128.86
Operating Costs (Deflated) 182.16 128.52 106.56 94.80 84.83 72.53 57.18
Post Corporation Tax 1991 0.0 0.0 0.0 25.0 0.0 0.0 0.0 -25.0 -41.6 0.0 0.0 0.0
1992 0.0 0.0 0.0 60.0 0.0 0.0 0.0 -60.0 -87.4 0.0 0.0 0.0
Net Present Value 100.93 85.23 77.54 73.01 68.88 63.36 55.64 1993 49.7 0.0 18.0 45.0 0.0 0.0 0.0 -13.3 -17.3 12.0 0.0 0.0
Net Present Value (Deflated) 89.73 76.20 69.56 65.64 62.07 57.28 50.56 1994 60.3 0.0 23.7 15.0 0.0 0.0 0.0 21.6 25.6 16.0 0.0 0.0
NPV/Unit Oil Equiv. 4.78 4.84 4.86 4.86 4.86 4.86 4.83 1995 38.6 0.0 16.7 15.0 0.0 0.0 0.0 6.9 7.3 10.0 0.0 0.0
Total To Start Of Discounting ( 1/JAN/1996)
Earnings Data 148.5 0.0 58.4 160.0 0.0 0.0 0.0 -69.9 -113.4 13.9 0.0 0.0
Gross Revenue 273.62 225.16 202.60 189.63 178.06 162.92 142.39 1996 36.4 0.0 15.6 15.0 0.0 0.0 0.0 5.8 5.6 9.1 0.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1997 35.7 0.0 15.3 0.0 0.0 0.0 0.0 20.4 17.5 8.3 0.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1998 33.6 0.0 14.9 0.0 0.0 0.2 0.2 18.4 14.1 7.5 0.0 0.0
Corporation Tax 15.30 11.81 10.18 9.24 8.41 7.33 5.88 1999 32.1 0.0 14.6 0.0 0.0 2.5 2.5 15.0 10.2 6.9 0.0 0.0
Capital Expenditure 15.00 14.64 14.43 14.30 14.17 13.99 13.69 2000 30.0 0.0 14.3 0.0 0.0 3.0 3.0 12.7 7.7 6.2 0.0 0.0
Operating Costs 142.39 113.49 100.44 93.08 86.60 78.25 67.18 2001 28.7 0.0 13.9 0.0 0.0 3.1 3.1 11.7 6.3 5.7 0.0 0.0
2002 27.2 0.0 13.4 0.0 0.0 3.3 3.3 10.4 5.0 5.2 0.0 0.0
Gross Revenue (Deflated) 238.06 198.33 179.68 168.92 159.28 146.60 129.29 2003 25.6 0.0 13.2 0.0 0.0 3.4 3.4 9.0 3.8 4.7 0.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2004 24.3 0.0 12.9 0.0 0.0 3.2 3.2 8.2 3.1 4.3 0.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 12.65 9.78 8.44 7.67 6.98 6.09 4.89 2005 0.0 0.0 14.2 0.0 0.0 -3.5 -3.5 -10.7 -3.6 0.0 0.0 0.0
Capital Expenditure (Deflated) 15.00 14.64 14.43 14.30 14.17 13.99 13.69
Operating Costs (Deflated) 120.67 97.71 87.25 81.31 76.05 69.25 60.14 Total 273.6 0.0 142.4 15.0 0.0 15.3 15.3 100.9 69.6 21.1 0.0 0.0
The Machar oil field lies wholly within Block 23/26a, close to the
9 UK/Norway median line and is one of the "diapir" fields located in the
eastern trough of the Central North Sea. It was discovered by Well
SCOTER 12 PIERCE 23/26a-1 in 1976 and since then a number of appraisal wells have been
drilled to delineate the field in preparation for a two phase long term
5
production testing programme. Phase 1 was conducted in 1994 and
involved the production of 7 MMstb of oil through a long term production
23/26a BP test. Phase 2 involves an additional 18 month long production test which
started in mid-1995. Assuming that these two phases are successful,
MACHAR Machar will probably be developed via a minimal facilities platform tied
16
12 back to the Marnock field as part of the Eastern Trough Area Project
13 (ETAP). Oil will most likeky be exported via the Forties pipeline system,
1,5
and gas via CATS.
2,2A 6,18,18A,B
BP has 100 per cent. interest in the field.
22/30a Shell 10
19
3
7
23/26c
ERSKINE Enterprise
SHEARWATER 14
8
3,3RE,4 4
15 17
11
9 11
22/30b Shell 23/26b Texaco 23/27 Ranger
29/5b Elf 30/1f Enterprise 30/1e 30/1a BP 30/2a BP
BP
Fluid Properties The Machar field is located in Block 23/26a and lies in the eastern
trough of the Central North Sea with the Lomond oil field some 25 km
Oil Gravity (oAPI) 41 to the north. The Erskine gas condensate field occurs directly to the
Gas/Oil Ratio (scf/stb) 877 south and the UK/Norway median some 20 km due east. The field is
Bubble Point Pressure,Pb (psia) 3160 located in an area where salt diapir related discoveries are common.
Formation Volume Factorat Pi (rb/stb) 1.43 These fields include Lomond, Medan, Mungo, Monan, Pierce and
Oil Compressibility (vol/vol/psi) Scoter.
Original Reservoir Pressure Pi (psia) 3800 The Machar field comprises fractured Cretaceous chalk and
At Datum Depth of (ft TVDSS) 6562 Paleocene sand reservoirs overlying a Zechstein salt diapir. On the
Reservoir Temperature (F) 230 northeastern crestal area of the field the salt has pierced both the
Cretaceous and Paleocene reservoirs, such that no reservoir section is
Rock Properties present.
The Machar field is situated on the southwestern margin of the Central Graben.
UNITED KINGDOM
The reservoir comprises fractured Cretaceous chalk and Paleocene sand, overlying
30
and on the steeply dipping flanks of a piercement salt diapir. The field is divided into 00
24
northeastern and southwestern areas by penetrative salt with associated faulting. In 00
Machar
the northeastern crestal area of the field, the salt has pierced the reservoir horizons,
12Z
and no reservoir is preserved.
22
The trap is a combination dip and diagenetic closure. The Paleocene sand 16 20
00
180 00
accumulation is expected to show four-way dip closure; flank drilling currently has 0
not intersected the reservoir deep enough to identify the contact depth. In the chalk 160
0
however, the reservoir quality deteriorates with depth, diminishing to negligible 13
before any oil water contact is seen. 18Z
The structure is interpreted to have developed by deposition of thin Cretaceous 1RE
13ZA 6Y
and Tertiary sequences over the crest of the salt high and thick sequences off the 5
flank due to long lived salt "buoyancy". Production from the chalk relies on drainage 10
20Y 00 0
of the poorly permeable matrix via fractures. The fractures are interpreted to have 2
14 60 0
10Z 1 0
developed due to passive jointing and gravity sliding, rather than by salt 2STRE 18
emplacement and brittle fracturing.
The structure is overlain by some 1500 metres of Tertiary sediments. Salt piercement
2000
SEDIMENTARY AND DEPOSITIONAL ENVIRONMENT 2200
2400
19 2600
The Machar field comprises Paleocene sand, fractured chalk and diagenetic 2800
19Y
celestite reservoirs. The main reservoir is the chalk, with the Paleocene sand 3000
representing the secondary reservoir.
The Paleocene and Upper Cretaceous chalk of the Ekofisk, Tor and Hod MACHAR
Formations is mainly represented by clean, pelagic bioclastic mudstones (chalky TOP CHALK
limestone). This facies displays a matrix of tiny coccolith fragments which has low DEPTH STRUCTURE
permeability due to narrow pore throats but good intergranular porosity. Minor, local
developments of packstones and wackstones have been encountered in redeposited 0 2 km
chalk units which were probably a result of syn-depositional resedimentation caused (Contours in metres TVDSS)
by salt movement and/or sediment instability. The chalk facies represents an open
marine depositional environment, free of major clastic input.
The Paleocene sands were sourced from the northwest and represent the (After Marshall, 1995)
deposits of submarine, gravity flow processes. The dominant one of these is the high
density turbidites. The sediments are typically represented by thin sand units (up to
7m thick) with rarer thicker units, and are separated by generally thicker shales. The Upper Cretaceous and Paleocene. As a result the salt buoyancy effect is interpreted
sands are best developed within the Forties Formation where they are relatively to have caused a sea floor topographic "high" to occur, over which relatively thin
clean, moderately well sorted, and fine to coarse grained. Internal sedimentary clastic and chalk sequences accumulated. In the case of the Paleocene sandstone
structures include convolution and slumping, consistent with the facies reservoir, the crestal area is also dominated by shale as well as being thin. This is
interpretations. due to the density driven turbidity currents preferring to flow in the surrounding
The thickness distribution of the sandstone and chalk reservoirs is interpreted to topographic lows off the flank of the structure.
have been controlled by the continued buoyancy of the salt structure throughout the
CRETACEOUS
5000
JURASSIC
7500
Zechstein
Group TRIASSIC
10000
PERMIAN AND OLDER
12500 0 5 km
(After Foster and Rattey, 1993)
DEPTH (m)
(API Units) ROCK ( g/cc )
0 1.95 2.95
AGE
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER
150
UNIT NEUTRON
(PERCENT) (md) (Inches) (Limestone units)
40 0 0.01 10000 5 25 45 -15
Marine shales, forming a regionally ROGALAND
GROUP
SELE
FM.
extensive blanket
FORTIES/ANDREW/MAUREEN FMS.
Geometry
PALEOCENE
and K
Moderate and good in clean sands, poor
where cemented and muddy
EKOFISK
Geometry
Thick sequence of chalk, forming a blanket
geometry except where pierced by the
TOR FORMATION
salt diapir
and K
Moderate and high matrix porosity, but low
permeability due to very small sediment
particle size. Locally the chalk is fractured
and open fractures lead to high permeability
CHALK GROUP
HOD FORMATION
CROMER KNOLL
1925
GROUP
Marine shales
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
23/26a-10/10Z
23/26a-6Y 23/26a-1,1RD 10000
23/26a-13
23/26a-12Z
Depth
Machar
(mss)
1500 1000
23/26a-13ZA
2000
23/26a-16 Pay Limit of pay 100
in chalk
Paleocene
Non-pay
PERMEABILITY (md.)
Sands
2500
Ekofisk
Formation ? OWC 10
3000
0 1 km
Tor Hod
Formation Formation (From Foster and Rattey, 1993) 1
The main reservoir section is the fractured chalk reservoir over the salt structure. The
crestal condensed sequence is thinned to approximately 300 metres in thickness in contrast
with the surrounding basinal area, where over 1000 metres is preserved. The reservoir has 0.1
a dual porosity system, the first being the primary matrix which has good porosity but low
permeability. The second is due to an intricate, pervasive fracture system which production
tests indicate has a widespread interconnectivity. Although fracture porosity is difficult to Chalk
estimate, it is thought that it is probably less than 1 per cent., although permeabilities reach Paleocene sandstone
above 1000 md. It is these fractures that should provide a way of accessing and draining 0.01
the otherwise tight matrix reservoir and thus allowing acceptable flow rates to be achieved. 0 10 20 30
The porous chalk only occurs to depths of above approximately 2500 metres TVDSS. Below POROSITY (per cent.)
this depth the chalk is diagenetically cemented and "tight".
The Paleocene sandstone sequence shows a marked thinning across the structure,
further highlighting the effect of the development of the structure on depositional thickness The chalk reservoir has a dual porosity system comprising matrix
distribution. As such the Paleocene high density turbidite sandstones are thickest off and fracture porosity. Primary matrix porosity ranges from 12-35 per
structure and on the flanks with the section across the top of the structure consisting of thin cent. with permeabilities usually less than 1md. Fracture porosity on
sands and shales. As a result, reservoir quality on the rest of the structure is relatively poor the other hand is very low, probably less than 1 per cent., while
with thin, fine grained sands and consequently relatively poor permeability. Sand thickness permeability values reach over 1000 md due to the wide, open,
will improve off structure on the flanks, but at greater depths of burial, below 3000 metres connected fracture porosity. The fracture system should allow good
TVDSS, porosity and permeability are expected to be moderate at best. drainage of the otherwise tight chalk matrix.
Diagenesis and compaction has led to the development of
stylolites in the shalier chalk units. Early oil migration is interpreted
to have arrested this process high on the structure, and therefore
matrix and fracture pore space in the hydrocarbon zone have been
preserved. Deeper in the structure, cementation continued, sealing
fractures and promoting stylolites, destroying porosity, probably prior
FLUID PROPERTIES to the complete charging of the field.
The limit of pay downflank is therefore delineated by a diagenetic
Machar field is moderately undersaturated, containing a relatively light 41 degrees API front. Porosity and permeability in the Paleocene sandstones are
gravity oil. The saturation pressure is 3160 psia at a reservoir temperature of 230 degrees moderate to poor. Although porosity of 15 to 25 per cent, is common,
F. The oil viscosity at the saturation pressure is 0.4 cp which leads to a favourable mobility the thin, fine grained often muddy sands have poor permeability,
ratio for waterflooding. rarely exceeding 10 md. Unlike the chalk, the clastic sediments are
not prone to the development of a connected fracture network and
1000 1.5
therefore there is no aid to permeability.
1.0
B0
GOR (scf/stb)
1500
0.28 psi/ft
CONTROLS ON RECOVERY 2000
DEPTH (m TVDSS)
Oil recovery in Machar is very difficult to assess. The oil recovery factor will be crucially
dependent on intensity of fracturing in the reservoir and the interaction between the
fractures and low permeability reservoir matrix. The planned phased development approach
should better define the risks. The first extended test in 1994 produced sufficient oil (7 A B
MMstb) to demonstrate reservoir connectivity. The second test, which commenced in mid 2500
1995, is design to assess not only the production but also the injection characteristics of the
reservoir over an 18 month period. The third phase, namely full field development, will only C
proceed after full analysis of the prior periods of production. 0.45 psi/ft
The reservoir has in its favour a large vertical relief of several hundred metres. This will A,B and C are the aquifer pressures and gradients from the
Arbroath, Montrose and Leman fields, indicating that the Machar
aid gravity stable fluid displacement under water injection or gas reinjection. The Paleocene OWC is probably at or below approximately 2525 metres TVDSS
reservoir represents a significant potential upside, particularly on the flanks of the structure 3000
where the sands thicken. Moderate reservoir quality and potential fault 2500 3000 3500 4000 4500 5000
compartmentalisation will impair recovery from this sandstone sequence. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
LTPT* DEVELOPMENT
UNITED KINGDOM
Water Depth 275 275
(feet)
Machar
Drilling Rig
SEDCO 707 Platform Type SEDCO 707 + tanker minimum facilities
platform **
Function production/accommodation/ drilling/production/
storage/export export/unmanned
Dynamically positioned
storage/shuttle tanker
"SWOPS" Rigid Jacket Weight TBA
production riser (tonnes)
Total Weight TBA
"SWOPS" Type (tonnes)
xmas trees 6" Flexible
export flowline
Accommodation N/K none
Jumper flowline
Well slots not relevant TBA
Wells producers planned 2 then 2 TBA
r ox. injectors planned 0 then 1 TBA
app
km
1.5
Net Present Value 320.96 220.69 179.25 157.21 138.73 116.31 89.31
Net Present Value (Deflated) 271.15 189.12 155.36 137.40 122.30 103.93 81.61
Profit/Inv Ratio 1.48 1.37 1.31 1.28 1.25 1.22 1.18
Profit/Inv Ratio (Deflated) 1.39 1.29 1.25 1.23 1.21 1.19 1.17
@
NPV/Unit Oil Equiv. 4.81 4.77 4.71 4.67 4.62 4.55 4.43
NPV/Unit Oil Equiv. (Deflated) 4.79 4.69 4.62 4.57 4.52 4.45 4.35
@@@
Profit/Inv Ratio 0.93 0.86 0.83 0.81 0.80 0.78 0.76
Average Annual Daily Liquid Rate (Mbbl/day)
@@@
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 10
Corporation Tax 120.25 81.35 65.67 57.40 50.48 42.09 31.94
Capital Expenditure 216.32 161.30 136.63 122.81 110.74 95.36 75.44
Operating Costs 320.58 198.29 154.48 132.75 115.33 95.19 72.27
25
Gross Revenue (Deflated) 713.83 496.09 408.40 361.97 322.99 275.45 217.24 5
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 100.31 69.25 56.60 49.87 44.21 37.30 28.82
Capital Expenditure (Deflated) 195.18 146.33 124.38 112.08 101.32 87.59 69.77
Operating Costs (Deflated) 247.51 160.64 128.65 112.50 99.37 83.93 65.87 0 0
1990 1995 2000 2005 2010
Year
5,5A
3
5 4
19 15
Fluid Properties The Magnus field is located in the North Viking Graben, close to the
median boundary with Norway. Magnus is the most northerly of all the
Oil Gravity (API) 39 UK North Sea fields and the small Penguin discovery which lies 10 km
Gas/Oil Ratio (scf/stb) 750 to the east is its closest neighbour. Fields which lie less than 50 km
Bubble Point Pressure, Pb (psig) 2500 south of Magnus include Tern, Cormorant, Hutton and North West
Formation Volume Factor at Pi (rb/stb) 1.43 Hutton, Brent, Statfjord, Dunlin, Thistle, Don and Murchison. All these
Oil Compressibility (vol/vol/psi) 7.9 x 10-6 fields contain oil in sandstones of the Brent and/or Statfjord Formations.
Original Reservoir Pressure, Pi (psig) 6805 However, Magnus is unusual in that it contains oil in an Upper Jurassic
At Datum Depth of (ft TVDSS) 10335 reservoir, above the Brent Group, which in Magnus is water bearing.
Reservoir Temperature (F) 240
Rock Properties
UNITED KINGDOM
TOP MAGNUS SANDSTONE Kimmeridgian age developed within the Kimmeridge Clay Formation and
DEPTH STRUCTURE assigned to the Magnus Sandstone Member. The reservoir sandstones are up
Magnus
211/7 3 1 to 650 feet in thickness and are encountered at a depth of about 9500 feet
211/12 towards the crest of the structure. The field is located on the southeasterly
10 dipping flank of a fault block on the southern side of the North Shetland Trough.
North-south trending normal faults downthrowing to the east are developed on
the structure, with throws of about 100 feet. The structural and stratigraphic trap
6 is formed by east-southeast dipping Jurassic sediments overlain
Stratigraphic
uncomformably by Cretaceous mudstones and limestones. The subcrop of the
Pinch-out base Magnus sandstone on the base Cretaceous defines the westerly limit of
the field. The base of the reservoir is the oil water contact at 10335 feet TVDSS
2 resulting in a maximum closure of 835 feet.
Cretaceous, Shetland Group and Cromer Knoll Group and Jurassic,
3000
Kimmeridge Clay Formation mudstones provide vertical seal and lateral bottom
00
31
0
A seal respectively.
320
3300
1 9
3400
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
290
0
The Magnus Sandstone Member represents part of a submarine fan
5
300
0 sequence, deposited during eastwards progradation of the fan system during
the Kimmeridgian. The Magnus fan was probably orientated east-west, and
sourced from a westerly direction. The majority of the section (up to 80 per cent.
3A,13
of the vertical sequence) comprises thick bedded and massive sandstones
separated by rare thin mudstone partings, or by mudclast conglomerates. The
sandstones are generally sharply bounded but locally have graded tops. These
sediments are interpreted as high density turbidite sandstones with minor
3300
12A hemipelagic mudstones. Intervals of thinly bedded fine grained sandstones
exhibiting sharp, locally loaded bases, with current ripple and planar horizontal
lamination. These commonly have mudclasts above bed bases, and are
0 4 km
interbedded with thin mudstones. These are interpreted as low density turbidite
4
(Contours in metres) sandstones with hemipelagic mudstones. Up to a maximum of 20 per cent. of
the vertical sequence may be composed of heterogeneous muddy sandstone or
sandy mudstone containing abundant mudclasts and sandstone clasts, with
contorted bedding and fluid escape structures. These sediments are interpreted
(After De'Ath & Schuyleman, 1981)
as sandy debris flow deposits.
10000
INTERPRETATIVE STRUCTURAL CROSS SECTION
Feet 211/12-5
W E
8000
Magnu Kimmer
s Sand idge C
stone lay For
11000 Kimmer Memb mation
idge C er
lay For
mation
0 1 km
12000
(After De'Ath & Schuyleman, 1981)
AGE
VF
Geometry
10400
M
KIMMERIDGE CLAY FORMATION
10500
M
10600
10000
211/12-5 211/12-2
Cromer 200 feet
Knoll
Magnus
Group
211/12-3
N
S 211/12-6 211/12a-10 211/7-1 1000
211/12-4 211/12-1 Shetland
Group
1
100
PERMEABILITY (md.)
2
10
The sandstones within the Magnus Sandstone Member form elongate to lobate
sandbodies which are amalgamated to produce a thick, lobate sediment body including
laterally impersistent intervals of thinly interbedded sandstones and mudstones. Sand to 0.01
shale ratios decrease eastwards towards the distal part of the fan. Sandstone bed thickness 0 10 20 30
trends indicate a predominance of channels and massive sands in the west central area POROSITY (per cent.)
while depositional lobes predominate in the north and east. The Magnus Sandstone
Member thins towards the northeast and south and also updip to the west as a result of
erosion. A three fold zonation of the Magnus Sandstone based on correlation of sequences Average porosity in the Magnus field is generally moderate to
does not indicate the presence of permeability barriers between discrete sandbodies. good, 19 per cent. along the eastern flank, to 25 per cent. in the
Individual sandbodies are likely to form laterally persistent units and have good horizontal updip western area. This difference corresponds to both a decrease
permeability via turbidite channel sandbodies. in depth (updip) and decreasing distance from sediment source (to
the west).
Average permeability is generally good; over 500 md in updip
Well 211/12-1 and 100 md in downdip Well 211/12a-9. As with
porosity, permeability shows a trend of decreasing values with
increasing depth and increasing distance from the source in the
west. Primary textural characteristics and hence facies also control
trends in porosity and permeability values such that coarser grained,
FLUID PROPERTIES thicker sandstones have higher values. Flushing by meteoric water
causing formation of kaolinite, coupled with down flank flushing of
The reservoir fluid is a highly undersaturated oil with an API gravity of 39. Laboratory the kaolinite, may have enhanced porosity, particularly near to the
studies have shown it to be miscible at reservoir conditions with Magnus field solution gas. erosion surface. Porosity and permeability values are reduced in the
water leg due to the development of authigenic illite. Dolomite
cementation reduces porosity and permeability values most
1000 1.5 B0 0.9 commonly in the south of the field and in thin sandstones adjacent to
mudstones.
0.8
800 GOR
1.4
0.7
GOR (scf/stb)
600
B0 (rb/stb)
0 (cp)
1.3 0.6
400
0.5
1.2
200
0 0.4
@ 240 F
0 1.1 0.3 RESERVOIR PRESSURE
0 2000 4000 6000 8000
PRESSURE (psig) The Magnus field is overpressured by some 2000 psi over
hydrostatic. It has an averge oil water contact at 10335 feet TVDSS.
9800
The depositional setting and intra-field faulting in Magnus have made reservoir pressure 0.29 psi/ft
support by water injection necessary to sustain adequate oil offtake rates. Pressure
DEPTH (feet TVDSS)
10200
continuity across the field is interrupted by faults and shale horizons within the Magnus
Sandstone Member (MSM) and a comprehensive appraisal drilling programme has made
possible optimal placement and perforation of production and injection wells. OWC @ 10335 ft TVDSS
The reservoir is divided into several lobes of the MSM and additionally the Lower 10400
Kimmeridge Clay Formation (LKCF). Over 80 per cent. of STOIIP is found in the good
quality MSM with the remainder in the thin sandstone beds within clays of the LKCF. A
0.45 psi/ft
recovery factor in the order of 50 per cent. or more is expected for the MSM, whilst in the 10600
LKCF a much lower recovery factor is projected.
Permeability within the oil column typically falls from 500 md to 100 md at the OWC.
Below the OWC, diagenetic modification reduces permeability such that adequate injectivity
cannot be achieved and for this reason, the peripheral water injection wells are completed 10800
6600 6700 6800 6900 7000
low in the oil column. This will reduce sweep efficiency in the structurally low parts of the
reservoir. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type steel jacket
Magnus
Function drilling/production/
accommodation
Jacket weight 34400
(tonnes)
Total Weight 77000
(tonnes)
Accommodation 194
Well slots 20
Wells - producers (platform/subsea) 11/4
Planned - water injectors (platform/subsea) 6/3
(A BP Photograph)
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@@@
Profit/Inv Ratio 2.00 1.37 1.07 0.90 0.75 0.55 0.29
Average Annual Daily Liquid Rate (Mbbl/day)
@@@@
Net Present Value 1,895.71 978.91 648.99 486.36 357.48 211.55 54.14
Net Present Value (Deflated) 2,128.45 932.17 501.10 289.41 122.69 -63.77 -258.46
Profit/Inv Ratio 1.28 0.86 0.65 0.53 0.43 0.28 0.09
Profit/Inv Ratio (Deflated) 0.72 0.40 0.24 0.15 0.07 -0.04 -0.19
NPV/Unit Oil Equiv. 2.34 2.30 2.16 2.01 1.82 1.45 0.58 40 50
NPV/Unit Oil Equiv. (Deflated) 2.09 1.65 1.23 0.87 0.45 -0.31 -1.89
Earnings Data
0 0
Gross Revenue 9,819.22 5,319.36 3,832.62 3,124.58 2,573.55 1,957.08 1,289.54
1980 1985 1990 1995 2000 2005
Royalty 923.61 492.92 350.60 283.12 230.86 172.86 110.96
Petroleum Revenue Tax 2,334.00 1,178.04 803.90 630.14 498.25 355.84 211.23
Year
Corporation Tax 1,070.80 579.32 413.19 333.51 271.35 201.87 127.25
Capital Expenditure 1,485.00 1,141.41 993.89 911.93 840.23 748.13 625.73
Operating Costs 2,110.10 948.75 622.04 479.52 375.38 266.82 160.23
Gross Revenue (Deflated) 12,743.03 7,293.45 5,405.03 4,481.27 3,748.10 2,909.25 1,971.75
Royalty (Deflated) 1,177.36 658.53 480.40 394.01 325.97 248.93 164.30
Petroleum Revenue Tax (Deflated) 2,775.90 1,440.83 1,000.93 794.20 635.73 462.55 283.15
Corporation Tax (Deflated) 1,391.68 779.86 566.14 461.77 379.30 285.75 183.24
Capital Expenditure (Deflated) 2,957.09 2,358.04 2,087.46 1,933.42 1,796.45 1,617.49 1,374.43
Operating Costs (Deflated) 2,312.55 1,124.02 768.99 608.47 487.96 358.31 225.09
CASH FLOW REPORT
Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1978 0.0 0.0 0.0 25.0 0.0 0.0 0.0 -25.0 -309.1 0.0 0.0 0.0
1979 0.0 0.0 0.0 50.0 0.0 0.0 0.0 -50.0 -528.2 0.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1980 0.0 0.0 0.0 150.0 0.0 0.0 0.0 -150.0 -1,294.5 0.0 0.0 0.0
1981 0.0 0.0 0.0 350.0 0.0 0.0 0.0 -350.0 -2,374.1 0.0 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1982 0.0 0.0 0.0 300.0 0.0 0.0 0.0 -300.0 -1,682.3 0.0 0.0 0.0
1983 216.8 0.0 20.0 250.0 11.6 0.0 11.6 -64.8 -310.0 30.1 0.0 0.0
Pre Corporation Tax 1984 1,046.6 58.6 60.0 100.0 109.7 0.0 168.3 718.3 3,042.8 125.1 48.0 0.0
1985 1,012.4 108.1 75.0 50.0 68.5 0.0 176.6 710.8 2,653.5 130.1 54.0 0.0
Net Present Value 314.26 297.76 287.26 280.26 273.35 263.23 247.31 1986 498.2 73.4 80.0 25.0 54.2 232.4 360.0 33.2 108.4 135.1 58.0 0.0
Net Present Value (Deflated) 307.17 288.64 277.62 270.45 263.47 253.42 237.86 1987 544.5 44.5 84.0 20.0 12.5 130.5 187.4 253.0 738.6 130.1 54.0 0.0
NPV/Unit Oil Equiv. 2.00 2.17 2.26 2.31 2.35 2.41 2.49 1988 451.0 41.9 90.0 15.0 -150.6 137.0 28.3 317.7 839.6 141.1 61.0 0.0
1989 600.9 46.0 92.5 0.0 356.2 71.5 473.7 34.7 79.4 145.1 63.0 0.0
Post Corporation Tax 1990 650.1 59.2 97.1 0.0 327.9 46.0 433.0 119.9 236.0 134.1 35.0 0.0
1991 568.8 61.7 102.0 0.0 284.6 51.2 397.4 69.3 115.3 135.1 34.0 0.0
Net Present Value 145.61 144.48 141.95 139.82 137.44 133.59 126.82 1992 611.7 64.3 105.0 10.0 288.8 41.8 394.9 101.8 148.2 151.0 51.8 0.0
Net Present Value (Deflated) 147.99 143.51 139.77 137.04 134.22 129.89 122.72 1993 653.0 70.2 103.0 5.0 317.5 46.0 433.7 111.3 144.6 155.0 53.3 0.0
NPV/Unit Oil Equiv. 0.93 1.05 1.11 1.15 1.18 1.22 1.28 1994 600.7 69.9 101.0 45.0 149.2 66.2 285.4 169.4 200.5 156.0 53.7 0.0
1995 472.5 58.4 100.0 60.0 124.0 79.6 262.0 50.5 54.0 120.0 40.2 0.0
Earnings Data Total To Start Of Discounting ( 1/JAN/1996)
7,927.1 756.1 1,109.6 1,455.0 1,954.1 902.1 3,612.4 1,750.1 1,862.6 616.1 221.2 0.0
Gross Revenue 1,892.14 1,634.67 1,509.62 1,436.00 1,369.07 1,279.51 1,153.95
Royalty 167.48 150.72 142.00 136.69 131.73 124.90 114.93 1996 396.2 45.1 100.0 30.0 122.4 57.2 224.7 41.5 39.9 97.1 31.4 0.0
Petroleum Revenue Tax 379.90 357.99 344.49 335.60 326.88 314.23 294.52 1997 342.6 36.8 101.4 0.0 105.6 38.0 180.4 60.9 52.1 78.3 24.4 0.0
Corporation Tax 168.65 153.27 145.31 140.44 135.91 129.65 120.48 1998 287.2 30.0 102.9 0.0 83.6 27.4 140.9 43.4 33.1 63.2 18.7 0.0
Capital Expenditure 30.00 29.28 28.87 28.60 28.35 27.98 27.39 1999 240.2 23.6 104.4 0.0 61.6 20.8 106.0 29.8 20.2 50.9 14.1 0.0
Operating Costs 1,000.50 798.92 707.00 654.85 608.77 549.17 469.81 2000 200.8 18.2 105.9 0.0 43.0 15.1 76.3 18.7 11.3 41.0 10.4 0.0
2001 168.2 13.8 107.3 0.0 27.4 10.1 51.3 9.6 5.1 33.1 7.4 0.0
Gross Revenue (Deflated) 1,713.04 1,492.79 1,385.13 1,321.51 1,263.49 1,185.58 1,075.74 2002 139.5 10.0 108.9 0.0 13.6 5.9 29.6 1.0 0.5 26.4 5.0 0.0
Royalty (Deflated) 156.83 141.47 133.51 128.67 124.15 117.92 108.84 2003 117.4 7.4 105.5 0.0 4.3 2.0 13.7 -1.8 -0.8 21.5 3.1 0.0
Petroleum Revenue Tax (Deflated) 369.65 345.82 331.91 322.94 314.27 301.85 282.77 Remain
Corporation Tax (Deflated) 159.17 145.13 137.85 133.41 129.26 123.53 115.14 2004 0.0 -17.3 164.2 0.0 -81.6 -7.9 -106.8 -57.4 -21.7 0.0 0.0 0.0
Capital Expenditure (Deflated) 30.00 29.28 28.87 28.60 28.35 27.98 27.39
Operating Costs (Deflated) 849.39 687.58 613.22 570.84 533.25 484.41 418.89 Total 1,892.1 167.5 1,000.5 30.0 379.9 168.6 716.0 145.6 139.8 150.2 41.8 0.0
49/9a Shell 49/9c Shell 49/10b Total J6 Lasmo K4a Petroland operator *
Fluid Properties The Markham field is located towards the northern limit of the
Rotliegendes reservoir approximately 140 kms northeast of Bacton on
Gas Gravity S.G (air = 1) 0.66 the Norfolk coast. The Permian reservoir section comprises the mainly
Condensate Gas Ratio (bbl/MMscf) - argillaceous Rotliegendes Group. A thick Silverpit Formation shale
Gas Expansion Factor @ Pi (vol/vol) 269 interval overlies the thin Lower Leman Sandstone Formation reservoir
Reservoir Pressure Pi (psig) 5700 sands.
at Datum Depth of (ft TVDSS) 11470 Porosities and permeabilities range from poor to good due to the
Reservoir Temperature (F) 233 range of facies developed within the reservoir. The accumulation has a
generally low relief, being largely dip - closed, except for the
Rock Properties southwestern flank where it is fault-closed.
Neighbouring fields are Schooner, approximately 30 km to the
Rock Type Sandstone northwest, which is a Carboniferous producer and the K4, K5 and K7
Stratigraphic Unit Rotliegendes Group fields where gas is produced from the moderate and good quality
Geological Age Lower Permian Slochteren sandstone, the Dutch equivalent of the Rotliegendes Group.
Average Porosity (per cent.) 13.0
Average Permeability (md) 50.0
Average Water Saturation (per cent.) 10-20
Gas Water Contact (m TVDSS) approx. 3496
Depth to Top of Structure (m TVDSS) approx. 3425
FIELD DESCRIPTION
Reserves
The Markham field is a complex low relief faulted anticline with gas
UK* Netherlands*
contained in sandstones of Permian age. The reservoir shows
Total Condensate Reserves (MMstb) 2 3
variations in sand quality controlled by variations in depositional facies.
Total Gas Reserves (Bcf) 262 438
The reservoir comprises the Lower Leman Sandstone Formation,
Gas Production to 31.12.95 (Bcf) 86 123
which is sealed by the mudstones of the overlying Silverpit Formation.
Remaining Gas Reserves (Bcf) 176 315
The Silverpit Formation represents the distal facies development of the
*Based on equity split of 37.4 : 62.6% reservoir sandstones encountered to the southwest at Audrey and other
(subject to future redetermination) V fields.
The field gained Annex B approval in November 1992, with
Production production via a single platform and unmanned tie back.
The main J6A platform is a six legged steel jacket with eight well
Water Depth (feet) 120 slots located in the eastern (Dutch) part of the field. A second not
Production Start Date November 1992 normally manned platform (ST1) was installed during 1994 in the
Peak Gas Production (MMscf/day) 195 (UK + NL) western (UK) part of the field. Current estimates anticipate that the field
Platform(s) 1 and 1 satellite will plateau at around 190 MMscf/day with a field life in the order of
Number of Wells 8 twenty years. Export of gas is via the Westgastransport (WGT) pipeline
Gas Export Via Westgastransport (WGT) to the Netherlands.
system to the Netherlands A number of future prospects exist in the Markham area and of
these, the neighbouring Windermere field (formerly Avalon) looks
particularly promising. Well 49/5b-4 was a deviated appraisal of this
structure and found an entirely separate accumulation from the
Markham field. Development is expected to involve a minimum facilities
platform linked by umbilical to Markham with first production in 1997.
Other areas under discussion are two exploration prospects located
close to the eastern flank of Markham. Drilling is expected to proceed
into 1996, via a programme of deviated wells from Markham.
The Charlie prospect 2 km to the northeast of the J6-A platform was
confirmed as a new gas discovery in October 1995. The field lies in
Block J3a and is due on stream in early 1996. The field will be exploited
via deviated wells drilled from the J6A platform.
STRATIGRAPHY AND STRUCTURE 49/5a LASMO J3b LASMO
34
The main reservoir of the Markham field is the Lower MARKHAM
75
UNITED KINGDOM
Permian, Lower Leman Sandstone Formation of the TOP MAIN RESERVOIR
5 GWC @ 3496 m TVDSS
Rotliegendes Group. The underlying Carboniferous
Markham
DEPTH STRUCTURE
3475
5Z
sequence is locally penetrated and although sands are of 0 2 km
1 2 B3
reservoir quality they are water bearing. The reservoir
35
34
00
75
interval consists of interbedded sandstones and 5 34 (Contours in metres TVDSS)
47
35
3 50
00
mudstones and varies from 80 to 150 ft in thickness over
34
3475
50
the field. The field was sourced by the prolific gas prone
34
50
Carboniferous Coal Measures. The reservoir comprises 342
5
a complex mainly dip closed faulted anticline with the
5
347
Low B2
Variscan fault trend resulting in a north-northwest to 3 3(A2)
south-southeast elongation of the field. The structure is 34
75 ST-1
3425
dip closed to the northwest and northeast while fault 75
34
34 J3a NAM
75
closure occurs to the southwest. The reservoir shows low
340
Low A3 J6 LASMO
relief and shallow dip, with a crestal depth of 3425m
0
34
J6-A
TVDSS, and a gas water contact at 3496 m TVDSS. The
75
3400
Silverpit Formation mudstones act as a top seal together 49/5a-6Z (B1) 2(A1)
34
with the overlying Zechstein evaporitic deposits.
75
The reservoir is buried below a thick sequence of
mainly Tertiary, Cretaceous and Upper Permian GWC @ 3496 m TVDSS 345
0
sediments. As is common with Rotliegendes reservoirs, Low A4 1 3425
the varying lithologies in the overburden can lead to a
33
50
NETH
variety of depth interpretations being made at reservoir
level. 0
ERLA
3403425
UK
NDS
49/10b Total
The Markham field is located in the central part of the Southern North Sea with south, and at the base, well-developed aeolian dunes define the initial fieldwide
the Silverpit Basin to the north and Cleaver Bank High to the south. In this area the development of a dunefield that persisted in the south throughout the deposition of
Rotliegendes Group consists of a thin basal aeolian dune and sabkha sandstone the reservoir. Northwards and upwards, the dune facies pass via sand-rich (dune
sequence, overlain by a thick pile of desert lake mudstones and siltstones. margin) and mud rich (lake margin) sabkha sandstones into playa lake mudstones.
The Lower Leman (UK nomenclature) and Slochteren (Dutch nomenclature) The top of the Lower Leman Sandstone Formation marks the cessation of coarse
Sandstone Formations that comprise the Rotliegendes Group reservoir in the clastic supply and the inundation of the whole area by lacustrine mudstones.This
Markham field display four principal lithofacies associations: aeolian, sand-rich change is explained by the proximity of the Silverpit Lake to the north, whose
sabkha, mud rich sabkha and fluvial deposits. The reservoir generally has a sheet fluctuations, due to climatic changes extended or reduced the distance of the field
geometry, but the distribution of facies types varies areally and vertically. In the from its shoreline.
500 TERTIARY
1000
Chalk Group
1500 UPPER CRETACEOUS
Cromer Knoll Group LOWER CRETACEOUS
2000
2500 TRIASSIC
Zechstein Group
PERMIAN
3000 Silverpit Formation
Rotliegendes Group
3500
Lower Leman CARBONIFEROUS
4000 Sandstone Formation and older
0 2 km
4500
Geometry
11550
Markham
1
Zone 1
1000
PERMIAN
PERMEABILITY (md.)
10
Zone 3
CARBONIFEROUS
1
0
Lacustrine mudstones
and muddy sabkha
Sandy sabkha
Aeolian dune and interdune
50 ft 1. Silverpit Formation 0.1
The Rotliegendes reservoir of the Markham field can be subdivided in to four major
lithostratigraphic facies. There are aeolian deposits, sand-rich (>90% sand) sabkha
deposits, mud rich (<90% sand) sabkha deposits and fluvial deposits. Interbedded
0.01
mudstones represent playa lake deposits.
0 10 20 30
The aeolian deposits comprise fine to medium grained, moderately to well sorted
POROSITY (per cent.)
sandstones which display large scale cross stratification of dune slip faces grading through
to the flat lying dry interdunal areas.
The sand-rich sabkha facies consists of medium to fine grained sandstones showing
bedding on a millimetre to centimetre scale and a variable mud content. Lamination is often Porosity values are generally moderate, typically 5 to 17 per cent.
wavy as a result of adhesion and wind ripple processes. and permeability values are moderate, typically 0.1 to 100 md.
The mud-rich sabkha comprise silty mudstones to fine grained sandstones interbedded Values are highest in the clean, well sorted aeolian dune sands
on a millimetre to centimetre scale. These laminae often show disruption or rupturing due to developed towards the base and the south of the reservoir. Poorer
water escape or desiccation. quality is shown by the poorly sorted fluvial and sabkha sands which
The fluvial deposits comprise very fine to medium grained mud-rich sandstones. These show variable, generally high mud content and hence restricted
commonly have erosional bases and contain 'rip-up' clasts. porosity and particularly permeability values.
Although lateral facies variations occur across the field, resulting in a generally
northward deterioration in reservoir quality, the sequence can be subdivided into a number
of correlatable layers. We show three principal zones, although small scale correlations
allow this zonation to be further refined. The alternating good/poor reservoir quality between
sub-zones, caused by the contraction and expansion of the Silverpit lake during deposition,
will probably result in the reservoir behaving in a stratified manner.
FLUID PROPERTIES
Markham contains a dry gas at an initial pressure of approximately 5700 psia and a
temperature of 240 degrees F. The separator gas relative density is 0.66 (air=1).
Component Well 49/5-3
(Mol %)
CO2 0.00
N2 11.03 RESERVOIR PRESSURE
C1 82.04
C2 4.98
C3 0.99 The gas water contact at Markham is identified from the log and
iC4 0.15
nC4 0.37
RFT data at 3496 m TVDSS. Therefore prior to production start up
iC5 0.12 the field was overpressured by approximately 500 psi, relative to a
nC5 0.14
C6 0.08
regional hydrostatic aquifer gradient to surface of 1.54 psi/m.
C7+ 0.10
100.00
3460
1.2 400 0.03
GAS EXPANSION FACTOR (scf/rcf)
g 3470
GAS DEVIATION FACTOR Z
300
GAS VISCOSITY (cp)
z factor
200 0.02
3490
1.0
GWC @ 3496 m TVDSS
100
3500
Eg
0.9 0 0.01 3510 1.87 psi/m
0 1000 2000 3000 4000 5000 6000 7000
PRESSURE (psig)
3520
CONTROLS ON RECOVERY
3530
The recovery factor of the Markham field is expected to be moderate to good, in the order 5680 5700 5720 5740 5760 5780 5800
of 80 per cent. The main factors controlling recovery are: INITIAL RESERVOIR PRESSURE (psig)
generally moderate (in the west) to good (in the east) reservoir quality
the expected installation of compression in later years
aquifer influx, exacerbated by the low relief of the structure, may lead to water
production problems
reservoir faulting may adversely influence reservoir continuity, particularly in the west of
the field when the reservoir is thinner.
FACILITIES SPECIFICATIONS
J6A ST1
UNITED KINGDOM
Markham
Water Depth 120 100
(feet)
Platform Type Steel jacket Steel jacket
Function Production, Production
accommodation
y
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
yyyy
Liquid
Net Present Value 263.75 175.79 138.36 118.22 101.21 80.41 55.15
Net Present Value (Deflated) 245.00 161.86 126.99 108.29 92.49 73.18 49.65 Gas
yyyy
Real Rate Of Return % 52.34
100
Post Corporation Tax
2
Net Present Value 169.20 115.42 91.28 78.03 66.69 52.68 35.42
Net Present Value (Deflated) 160.40 106.86 83.68 71.09 60.37 47.16 30.94
Years To Payback 4.45 4.59 4.68 4.74 4.81 4.91 5.17
Years To Payback (Deflated) 4.56 4.72 4.82 4.89 4.96 5.13 5.50 50
Profit/Inv Ratio 2.12 1.70 1.47 1.34 1.21 1.03 0.79 1
Profit/Inv Ratio (Deflated) 1.83 1.43 1.22 1.10 0.99 0.83 0.62
NPV/Unit Oil Equiv. 3.73 3.70 3.60 3.50 3.39 3.20 2.84
NPV/Unit Oil Equiv. (Deflated) 3.75 3.57 3.41 3.28 3.14 2.91 2.50
Gross Revenue (Deflated) 518.82 354.89 288.28 252.79 222.84 186.11 140.81
Tariff Revenue (Deflated) 14.55 8.28 6.04 4.94 4.06 3.06 1.96
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 69.00 46.61 37.25 32.21 27.94 22.71 16.31
Corporation Tax (Deflated) 84.61 55.00 43.31 37.20 32.12 26.01 18.71
Capital Expenditure (Deflated) 87.62 74.75 68.39 64.61 61.15 56.49 49.89
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1990 0.0 0.0 0.0 1.9 0.0 0.0 0.0 -1.9 -3.7 0.0 0.0 0.0
1991 0.0 0.0 0.0 16.8 0.0 0.0 0.0 -16.8 -27.9 0.0 0.0 0.0
Pre Corporation Tax 1992 3.4 0.0 1.4 22.4 0.0 0.0 0.0 -20.4 -29.6 0.0 5.5 0.0
1993 39.0 0.0 7.4 5.2 0.0 0.0 0.0 26.4 34.3 0.4 60.1 0.0
Net Present Value 212.37 186.07 171.69 162.88 154.72 143.61 127.84 1994 57.6 0.0 9.1 16.8 0.0 3.8 3.8 27.9 33.0 0.5 83.7 0.0
Net Present Value (Deflated) 194.83 169.53 156.42 148.53 141.28 131.48 117.64 1995 57.5 0.0 9.2 13.1 2.8 12.6 15.4 19.8 21.1 0.6 85.0 0.0
NPV/Unit Oil Equiv. 6.94 7.19 7.24 7.26 7.26 7.25 7.20 Total To Start Of Discounting ( 1/JAN/1996)
157.5 0.0 27.1 76.2 2.8 16.4 19.2 35.0 27.1 0.5 85.5 0.0
Post Corporation Tax
1996 59.7 0.0 9.2 3.7 14.9 10.3 25.2 21.6 20.8 0.6 85.0 0.0
Net Present Value 141.75 125.55 116.47 110.85 105.60 98.42 88.11 1997 63.7 0.0 9.6 0.0 17.0 8.9 25.9 28.2 24.2 0.6 85.0 3.3
Net Present Value (Deflated) 131.21 115.23 106.82 101.71 97.00 90.59 81.45 1998 66.6 0.0 10.0 0.0 18.3 9.8 28.1 28.5 21.8 0.6 85.0 4.0
NPV/Unit Oil Equiv. 4.63 4.85 4.91 4.94 4.96 4.97 4.96 1999 51.1 0.0 8.4 0.0 12.5 10.9 23.4 19.3 13.1 0.4 62.2 4.0
2000 39.3 0.0 7.4 0.0 6.4 9.1 15.5 16.4 9.9 0.3 45.6 3.7
Earnings Data 2001 30.2 0.0 6.6 0.0 1.6 7.8 9.4 14.2 7.6 0.2 33.4 3.3
2002 23.5 0.0 6.1 0.0 0.1 6.8 7.0 10.5 5.0 0.2 24.5 2.9
Gross Revenue 403.90 334.78 303.30 285.36 269.41 248.59 220.31 2003 17.9 0.0 5.7 0.0 0.0 5.2 5.2 7.0 3.0 0.1 17.9 2.5
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2004 14.0 0.0 5.5 0.0 0.0 3.6 3.6 4.8 1.8 0.1 13.1 2.2
Petroleum Revenue Tax 70.81 63.52 59.77 57.49 55.37 52.45 48.18 2005 11.0 0.0 5.3 0.0 0.0 2.5 2.5 3.2 1.1 0.1 9.6 2.0
Corporation Tax 70.62 60.52 55.22 52.04 49.12 45.20 39.73 2006 8.2 0.0 5.2 0.0 0.0 1.7 1.7 1.4 0.4 0.0 7.0 1.7
Capital Expenditure 3.70 3.61 3.56 3.53 3.50 3.45 3.38 2007 6.5 0.0 5.1 0.0 0.0 0.8 0.8 0.6 0.2 0.0 5.2 1.5
Operating Costs 117.02 81.59 68.28 61.46 55.83 49.08 40.91 2008 4.7 0.0 3.7 0.0 0.0 0.3 0.3 0.7 0.2 0.0 3.8 0.8
2009 3.2 0.0 3.0 0.0 0.0 0.2 0.2 -0.1 0.0 0.0 2.8 0.0
Gross Revenue (Deflated) 353.29 297.85 272.13 257.32 244.07 226.61 202.62 2010 2.4 0.0 2.3 0.0 0.0 0.0 0.0 0.1 0.0 0.0 2.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2011 1.8 0.0 1.6 0.0 0.0 0.0 0.0 0.2 0.0 0.0 1.5 0.0
Petroleum Revenue Tax (Deflated) 66.13 59.52 56.12 54.04 52.11 49.44 45.55 Remain
Corporation Tax (Deflated) 63.62 54.29 49.60 46.82 44.28 40.89 36.18 2012 0.0 0.0 22.5 0.0 0.0 -7.5 -7.5 -15.0 -2.2 0.0 0.0 0.0
Capital Expenditure (Deflated) 3.70 3.61 3.56 3.53 3.50 3.45 3.38
Operating Costs (Deflated) 88.63 65.19 56.03 51.22 47.19 42.24 36.06 Total 403.9 0.0 117.0 3.7 70.8 70.6 141.4 141.8 106.8 1.2 176.5 11.7
These cash flows include the UK portion of Markham reserves, plus tariff income from the UK portion of J3 and Windermere
16/23 Conoco SUMMARY
15/12a Statoil 3
1
The Maureen field is located in Quadrant 16 some 220 km northeast
of Aberdeen in the UK Sector of the North Sea. The field was
0 4 km
discovered in 1973 by Well 16/29-1 which encountered oil in
sandstones of Paleocene age. Development drilling commenced in
3 June 1979 through a template with all the production wells being
16/24a Phillips
16/24c Rel.
completed prior to production start-up in September 1983. Three
additional small accumulations have been brought on stream in the
1 15/12e Rel.
early 1990s. Moira, a Paleocene reservoir developed as a subsea
satellite of Maureen, started production in August 1990 from Well
16/24b Phillips 16/29A-8Z. Morag, a Zechstein reservoir directly under Maureen,
16/28 BP 16/29d 16/29b 3 started production in March 1991 from recompleted wells. Mary,
Rel. Phillips
MORAG/MARY producing from the Upper Jurassic sandstone on the eastern side of
3 5 15/12c Statoil Maureen was brought on stream in May 1992. Maria is a deeper
2 Jurassic discovery below the Moira Paleocene reservoir. Oil is
9
A 1 transported via an offshore loading system with excess gas being
MAUREEN flared.
16/29a Phillips 15/12b Statoil
The current interests in the Maureen field in per cent. are:-
6
16/29e Phillips Petroleum Co UK Ltd * 33.78
4 Rel. 5
6,9
2 Fina Exploration Ltd 28.96
MABEL Agip (UK) Ltd 17.26
British Gas plc 11.50
10
8
Pentex Oil 8.50
4
12 FLEMING operator *
7
11 7 FENRIS
8 16/29c Phillips
MOIRA
MARIA 9
15/12d Statoil
LOCAL SETTING
The Maureen field is located in the Central North Sea in the South
Viking Graben and is situated in the northeastern corner of Block 16/29.
RESERVOIR CHARACTERISTICS The reservoir section consists mainly of sandstones and mudstones of
Paleocene age assigned to the Maureen Formation. There are a
Fluid Properties number of additional accumulations of Paleocene age in the vicinity of
Maureen. These include the Mabel structure adjacent to Maureen, the
Oil Gravity (API) 35 Balmoral, Andrew and Cyrus fields to the west and the Moira field to the
Gas/Oil Ratio (scf/stb) 465 southwest. The Mabel structure is in the same reservoir sands with the
Bubble Point Pressure, Pb (psig) 1772 same oil properties as the Maureen field but at present is considered
Formation Volume Factor at Pi (rb/stb) 1.32 uncommercial. The Armada area of Fleming, Drake and Hawkins is to
Oil Compressibility (vol/vol/psi) 10.5 x 10-6 the southeast in Quadrants 16 and 22. This area consists of a large gas
Original Reservoir Pressure, Pi (psig) 3832 and condensate accumulation of Paleocene and Jurassic ages.
At Datum Depth of (ft TVDSS) 8630
Reservoir Temperature (F) 234
Rock Properties
UNITED KINGDOM
16/29b 16/29a
Paleocene Maureen Formation, Montrose Group. On the eastern basin margin,
this formation consists of interbedded outer-fan channel and lobe sandstones,
Maureen
outer-fan and basin plain mudstones, and locally derived olistostromal
NO K
OWC 8680
3
limestones. In the Maureen area, the Montrose Group nowhere exceeds 500
RW
feet in thickness, but thickens and offlaps towards the western limit of the
U
AY
Montrose Group. The overlying mudstones of the Lista Formation provide the
seal. The Maureen field is a stratigraphic trap situated over a salt dome. The
combination of halokinetic uplift and stratigraphic trapping by compaction of
mudstones over the raised topography of the reservoir sandstones has
generated the Maureen field closure.
The Montrose Group has been divided into four lithostratigraphic units. The
2
correlation is valid if the top Montrose Group sand is correlatable. The basal
unit, (Unit 4), consists of a thick sheet of calcareous hemipelagic mudstone
overlying the Ekofisk Chalk in the Mabel area. Laterally, it passes northwards
into an interbedded calcareous mudstone and chalky limestone sequence,
which may be absent or very thin in structurally high wells. Local olistostromal
1 limestone sequences represent gravitational sliding of material away from a
reactivated eastern graben margin fault.
0
820 Unit 3 represents the progradation of a sequence of turbidite sandstones into
0 the Maureen field area from the west. This has resulted in the deposition of a
840
0 thick sequence of generally massive fine and medium grained sandstones
860
00 which thins laterally into three thinner, more distal sequences interbedded with
88
MAUREEN 00 basinal marine mudstones.
90 00
TOP MAUREEN FORMATION 92 Unit 2 consists of a basal marine mudstone overlain by a stacked sequence
00
DEPTH STRUCTURE of turbidite sandstones, which pass laterally into thinner turbidite and lobe
94
0
960
0 1 km
sandstones interbedded with basinal mudstones.
16/29c
Unit 1 predominantly comprises interbedded basinal mudstones and easterly
(Contours in feet TVDSS) derived olistostromal limestones. Minor, thin turbidite and lobe sediments are
locally developed.
(Modified after Cutts PL, 1991)
0 1 2 3 4 km
CORE
DEPTH (feet)
AGE
VF
non-reservoir horizon.
(
Frac. ) Stacked sequence of thickly bedded, high
(
density, turbidite sandstones with minor
) interbedded basinal and interturbidite marine
mudstones.
(
)
Frac. Geometry
M
Sheet geometry sandbodies composed of
stacked and coalesced broad elongate sand
units. Interbedded mudstones of variable
lateral extent, rarely forming extensive
8700
( and K
MAUREEN FORMATION
(
Frac. )
8800
Frac.
(
)
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
16/29-5
16/29-3X 10000
ROGALAND GP.
LISTA FM.
16/29-2X
100
PERMEABILITY (md.)
MONTROSE GP.
MAUREEN FM.
10
CHALK GP.
0
1 1
100
0.01
0 10 20 30 40
The sediments of the Maureen field form a thick, stacked sequence of broad, elongate
turbidite sandstones which thin into distal turbidite and lobe sediments and interdigitate with POROSITY (per cent.)
basinal mudstones. The complex sandbody geometry suggests that fluid migration paths are
likely to be fairly tortuous, although the thin interbedded mudstones are unlikely to be Porosity and permeability values are typically good, ranging from
laterally extensive. 20 to 25 per cent. and 100 to 1000 md respectively.
However, more extensive sheet geometry mudstones deposited in periods of reduced In general, burial depth has controlled the regional variations in
clastic input may form vertical permeability barriers, for example, the mudstone at the base maximum porosity values in the Montrose Group in the Maureen
of Unit 2. field, and the relatively deeply buried lower Maureen reservoir
Carbonate concretions and limestones do not form widespread permeability barriers, but sandstones exhibit relatively low porosities, compared to those of
may act as local baffles to vertical flow. nearby fields such as Andrew and Balmoral.
In Maureen the trends in porosity and permeability are controlled
by grain size, detrital clay and mica content. Diagenesis is a minor
factor, and the porosity and permeability values of the clean,
generally massive, turbidite sandstones are high.
The secondary factors which reduce reservoir quality in the field
are the slight to moderate compaction, as reflected in the tangential
to slightly sutured grain contacts, the common quartz overgrowths,
the locally important ferroan calcite concretions and, to a lesser
extent, the authigenic clays. The authigenic clays, however, are
mostly in situ and grain replacive or occur as thin tangential grain
coatings which have little influence on intergranular pore dimensions
FLUID PROPERTIES and hence relatively little influence on reservoir quality. The
authigenic chlorite, which occurs mostly as patchy, tiny crystals
The oil has a medium gravity, low shrinkage factor and low GOR. The oil to water apparently floating within the intergranular pores, may be moved by
viscosity ratio is approximately 2 giving marginally favourable displacement characteristics. rapidly migrating pore fluids, possibly causing occlusion of narrow
pore throats.
1.4
500 B0 2.0
GOR
400 1.3
RESERVOIR PRESSURE
GOR (scf/stb)
1.5
B0 (rb/stb)
300
0 (cp)
8200
DEPTH (feet TVDSS)
0.293 psi/ft
8400
8600
UNITED KINGDOM
(feet)
Platform Type steel gravity base
Maureen
Function drilling/production/
accommodation
Jacket weight 42750
(tonnes)
Total Weight (including ballast) 111750
(tonnes)
Accommodation 150
Well slots 24
Wells 19
Net Present Value 1,068.98 582.01 393.50 297.35 219.45 129.28 29.47
Net Present Value (Deflated) 1,234.30 551.48 291.70 161.06 56.65 -61.71 -186.93
Net Present Value 656.91 339.90 214.27 149.67 97.15 36.26 -30.77
Net Present Value (Deflated) 655.20 206.16 34.13 -52.15 -120.69 -197.37 -275.52
Profit/Inv Ratio 0.76 0.49 0.35 0.27 0.19 0.08 -0.08
Profit/Inv Ratio (Deflated) 0.36 0.14 0.03 -0.04 -0.11 -0.19 -0.31
NPV/Unit Oil Equiv. 2.97 2.53 2.10 1.75 1.35 0.64 -0.80 20
NPV/Unit Oil Equiv. (Deflated) 2.04 1.03 0.22 -0.40 -1.10 -2.27 -4.59
Earnings Data
0
Gross Revenue 3,051.90 1,921.58 1,486.64 1,262.44 1,078.04 858.85 601.47 1980 1985 1990 1995 2000
Royalty 244.44 153.54 118.13 99.83 84.78 66.93 46.09
Petroleum Revenue Tax 212.78 127.94 96.53 80.73 67.98 53.16 36.33 Year
Corporation Tax 412.06 242.11 179.22 147.67 122.30 93.01 60.24
Capital Expenditure 863.00 688.34 608.13 562.23 521.32 467.77 395.02
Operating Costs 662.70 369.75 270.35 222.30 184.51 141.71 94.57
Gross Revenue (Deflated) 4,598.81 2,963.21 2,319.32 1,983.29 1,704.44 1,369.63 970.92
Royalty (Deflated) 364.90 233.13 181.02 153.84 131.35 104.45 72.69
Petroleum Revenue Tax (Deflated) 297.48 184.15 141.31 119.47 101.66 80.69 56.39
Corporation Tax (Deflated) 579.10 345.32 257.57 213.21 177.33 135.65 88.59
Capital Expenditure (Deflated) 1,801.46 1,469.19 1,312.47 1,221.53 1,139.69 1,031.44 882.17
Operating Costs (Deflated) 900.68 525.26 392.82 327.39 275.09 214.76 146.60
Fluid Properties The Miller field is situated very close to the Brae complex of fields
which lie to the west and north. The reservoir section itself is of a similar
Oil Gravity (API) 39.2 age to that of South Brae. There is aquifer communication between
Gas Oil Ratio (scf/stb) 1900 Miller and South Brae and reservoir pressure in Miller has been reduced
Bubble Point Pressure, Pb (psig) 4815 as a result of production from Brae. There may also be aquifer
Formation Volume Factor at Pi (rb/stb) 2.0 communication with Central Brae.
Reservoir Pressure, Pi (psig) 7320
at Datum Depth of (ft TVDSS) 13420
Reservoir Temperature (F) 255
Rock Properties
Reserves
UNITED KINGDOM
TOP BRAE sandstones of the Brae Formation. These sediments pass laterally into
DEPTH STRUCTURE mudstones of the Kimmeridge Clay Formation towards the axial part of the
South Viking Graben in the east, and overlie mudstones of the Kimmeridge
Miller
0 2 km
Clay and Heather Formations. The hot shales of the upper part of the
(Contours in metres TVDSS) Kimmeridge Clay Formation in part form the reservoir seal. The Kimmeridge
Clay Formation is also the oil source. The field lies in a basinal half graben
contained within the South Viking Graben. The basin is abruptly terminated
to the west by the Devonian basement of the Fladen Ground Spur and rises
3800 4200
0
gently eastwards towards the Vestland Arch. The field has an oval shape
390
with a northwest-southeast trend, and has a maximum oil column of about
U
T
360 feet, above an oil-water contact at 13420 feet TVDSS. Trapping is by a
O
28 OWC 4100 combination of dip, structure and stratigraphic pinch out with deterioration
H
0
NC
6,7
400
of reservoir quality to the northwest.
PI
IC
APH
4000
STRATIGR
20
00
area, the reservoir comprises submarine fan sandstones deposited from
41
5,5a
25 50 high density turbidity currents. The sandstones are generally structureless
40 and clean, although mudstone laminae become more common towards the
410
outer margins of the fan complex where distal, outer fan/fan fringe, thin
0
bedded turbidite deposits are present. This rapid shale-out where
sandstones pass laterally into interbedded sandstones and mudstones and
420
0
ultimately into mudstones, has generated the stratigraphic trap to the
northwest of the Miller field.
16/7b 16/8b
TERTIARY
5000
PALEOCENE
10000
CRETACEOUS
Zechstein Salt
20000
TRIASSIC and older
0 4 km
VF
Geometry
13450
NW
10000
16/7b-20
Kimmeridge
Clay Fm.
Miller
Unit 1
1000
Brae Formation
B
Unit 2
100
C
D
NE
PERMEABILITY (md.)
Unit 3 16/8b-2
S 10
16/8b-3
A
1
0.1
0
100
200 feet
0.01
0 10 20 30
In the Miller area, the Brae Formation may be subdivided into three members (Upper, The reservoir in the Miller field is dominated by structureless,
Middle and Lower) based on gross lithological characteristics. The Middle member clean, high density turbidite sandstones which are moderately well
constitutes the main Miller reservoir and can be subdivided into four layers based on sorted and generally fine to medium grained. Porosities are
chronostratigraphic and wireline log correlation (A-D). The upper layer A, is not present generally poor to good, typically ranging from 10 per cent. to 17 per
throughout the field. Sandstones within each layer are likely to be laterally continuous, cent. and permeabilities are moderate to very good, typically ranging
forming sheetlike bodies locally containing thin mudstones of restricted lateral extent. from 1 md to 1000 md.
Laterally extensive mudstone horizons reflecting periods of relative inactivity on the fan The thinner bedded sandstones associated with mudstones are
surface are recognised between layers B and C and between C and D and act as vertical likely to have lower porosity and permeability values due to
permeability barriers. Net to gross ratio values are generally high for the main Miller increased cementation and compaction.
reservoir (Unit 2). The zonation into four layers by the recognition of laterally persistent The main control on porosity and permeability is therefore the
mudstone dominated units is important in the prediction of pressure depletion patterns. distal and lateral fining into more argillaceous/finer grained facies,
Significant horizontal permeability barriers are not thought to be present. where diagenesis is likely to have been more severe and primary
porosities lower.
The Miller field contains a light oil of 39 degrees API which is sour and contains up to 22 Relative to a hydrostatic gradient to surface of 0.44 psi/ft, the
per cent. (by volume) CO2 and small amounts of H2S. Significant volumes of NGL are Miller field was initially 1400 psi overpressured. The reservoir
present in the associated gas. Analysis of a fluid sample from DST 4 of Well 16/8b-2 has pressure has declined since production started from South Brae, to
been used to derive the plot below. the west.
B0
1500 1.9
12000
GOR (scf/stb)
B0 (rb/stb)
0.26 psi/ft
0 (cp)
0
13000
500 1.3
15000
A high recovery factor is expected for the Miller field. The porosity and permeability of
the Brae Formation sands which constitute the reservoir in the field are generally good. The
vertical permeability profile of the reservoir section is quite uniform which will give good
vertical sweep efficiency during waterflooding. The relatively low viscosity of the reservoir oil
and the good lateral continuity of the reservoir sands will also lead to high recovery
efficiencies. The implementation of a WAG scheme should enhance reserves further. An
overall recovery factor of some 50 per cent. is expected.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Platform Type steel piled jacket
Miller
Function drilling/production/accommodation
Accommodation 200
Well Slots 40
Wells Planned 18 producers
9 water injectors
(A BP Photograph)
@
@@@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
HISTORICAL AND PROJECTED
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00%
150 400
Pre Corporation Tax
Liquid
Net Present Value 880.94 482.33 306.68 211.01 129.88 31.10 -86.00
Gas
@@@
Net Present Value (Deflated) 712.78 299.83 124.17 30.33 -48.07 -141.69 -248.93
Average Annual Daily Liquid Rate (Mbbl/day)
@@@
Net Present Value 485.69 226.66 107.71 41.97 -14.20 -82.93 -164.36
Net Present Value (Deflated) 325.02 48.70 -71.43 -135.95 -189.88 -254.02 -326.23
Profit/Inv Ratio 0.38 0.21 0.11 0.04 -0.02 -0.10 -0.22 50
Profit/Inv Ratio (Deflated) 0.21 0.04 -0.06 -0.11 -0.17 -0.24 -0.35
NPV/Unit Oil Equiv. 1.50 1.01 0.59 0.26 -0.10 -0.71 -1.89 100
NPV/Unit Oil Equiv. (Deflated) 0.98 0.21 -0.38 -0.82 -1.30 -2.09 -3.60
25
Nominal Rate Of Return % 11.46
Real Rate Of Return % 6.13
Earnings Data
0 0
Gross Revenue 3,331.76 2,300.73 1,866.41 1,631.46 1,431.39 1,184.06 877.12 1990 1995 2000 2005
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 32.13 21.24 16.72 14.31 12.28 9.81 6.84 Year
Corporation Tax 395.26 255.67 198.97 169.04 144.08 114.04 78.36
Capital Expenditure 1,275.40 1,094.09 1,003.97 950.19 900.81 833.96 738.66
Operating Costs 1,143.30 703.07 539.05 455.95 388.42 309.19 217.62
Gross Revenue (Deflated) 3,384.07 2,351.76 1,914.37 1,676.98 1,474.33 1,223.09 909.98
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 32.14 21.25 16.73 14.32 12.29 9.82 6.84
Corporation Tax (Deflated) 387.76 251.14 195.60 166.28 141.81 112.33 77.30
Capital Expenditure (Deflated) 1,576.86 1,361.56 1,253.86 1,189.37 1,129.99 1,049.35 933.86
Operating Costs (Deflated) 1,062.28 669.12 519.61 442.97 380.13 305.62 218.20
1
22/21 22/22a Amoco 22/23a Amoco
Shell
MARNOCK
2
3
0 5 km
ARKWRIGHT
Fluid Properties MONTROSE ARBROATH The Montrose and Arbroath fields are located on the Forties-
Montrose high at the northern end of the Central Graben. The nearest
hydrocarbon accumulation is the Marnock gas condensate discovery,
Oil Gravity (oAPI) 39 39 22 km to the southeast in Block 22/24. The Nelson and Forties fields,
Gas/Oil Ratio (scf/stb) 600-800 500 30 and 40 km to the northwest respectively, contain oil in Paleocene
Bubble Point Pressure, Pb (psig) 2398-2737 1990 sandstones. The Everest Paleocene field contains gas condensate and
Formation Volume Factor at Pi (rb/stb) 1.4-1.5 1.3 lies 45 km to the northeast. The Gannet oil field lies 35 km to the
southwest.
Oil Compressibility (vol/vol/psi) 24-46 x 10-6 16 x 10-6
Original Reservoir Pressure, Pi (psig) 3795 3100
At Datum Depth of (ft TVDSS) --------------------------------- 8150 ------------------------------
Reservoir Temperature (F) ---------------------------------- 255 -------------------------------
Rock Properties
Total Oil Reserves (MMstb) 99 135 The Montrose field is a low relief, double anticlinal structure with dip
Est. Oil Production to 31.12.95 (MMstb) 85 71 closure. The reservoir comprises Paleocene sandstones and is sealed
Remaining Oil Reserves (MMstb) 14 64 by shales of the Sele Formation. Five lithostratigraphic layers are
identified in the sequence, deposited by current and related gravity
Production driven turbidity processes during the progradation of a submarine fan
system. Reservoir properties are good in the uppermost layer but
Water Depth (feet) 289 308 decline with depth in the other layers. The oil gravity is 39o API and the
Production Start Date July 1976 April 1990 gas oil ratio varies from 600 to 800 scf/stb between the two lobes.
Peak Production (Oil) (stb/day) 28000 35000 Production of oil from Montrose began in 1976 and to date some 85 per
Platform(s) Steel jacket Steel jacket cent. of reserves have been produced.
Number of Wells -Producers 15 11 An active water drive is supplemented by peripheral water injection
from six wells. Excess gas is flared. Submersible pumps have been
Water injectors 6 6
used on Montrose wells to allow production at high water cuts.
Gas injectors
Arbroath is a low relief, irregular lobate structure with virtually no
Oil and NGL Export Pipeline to Cruden Bay
faulting and dip closure in all directions. Reservoir porosity and
via Forties oil field
permeability are good. Development involves a minimal facilities, not
Gas Export Excess flared
normally manned steel platform, use of Montrose production facilities
and both water injection and gas lift. The field was put on production in
April 1990. Both oil and gas are transported to Montrose. Oil is then sent
with Montrose output to Forties, whilst gas is processed and piped back
to Arbroath for injection.
A small oil accumulation, named Arkwright, exists in Block 22/23a to
the south. The discovery will be developed through Montrose/Arbroath
facilities with a possible start-up in 1996.
Montrose & Arbroath
22/17 22/18 STRATIGRAPHY AND STRUCTURE
MONTROSE AND ARBROATH The Montrose and Arbroath fields contain hydrocarbons in the Upper
82
UNITED KINGDOM
TOP PALEOCENE SANDSTONE Paleocene, Forties Formation. The reservoir sands are overlain by Upper
00
DEPTH STRUCTURE Paleocene mudstones of the Rogaland Group (Balder and Sele Formations)
8200
which form the seal. The fields are situated on the Forties-Montrose High,
815 comprising two main culminations on a north-south trending, low relief anticlinal
0
structure.
1 2 The Arbroath field contains oil in Paleocene sandstones below 8150 feet
TVDSS with 100 gross feet of oil bearing sandstones above the OWC in the
OWC 8235
00 discovery well. The contact was found at 8256 feet TVDSS in this well. The
82 0 A Subsea
815 81
00 Montrose field has a maximum oil column of 190 feet. The Paleocene reservoir
815
0 is found below approximately 8000 feet TVDSS. The structural development
MONTROSE
82
was probably similar to that of the Forties field with closure resulting from
00
differential compaction of sediments draped over the Forties-Montrose High. No
8200
OWC 8295 8150 significant faulting is recorded at the reservoir level.
Subsea
8150
825
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
0
81
00
4000
Horda Formation
8000
Rogaland + Montrose Groups
PRE - JURASSIC
12000 0 5 km
FORTIES - MONTROSE HIGH
AGE
VF
Py Geometry
Broad, elongate sandbodies with minor thin
8300
M
UPPER PALEOCENE
rubble
8400
M
8500
M
Py
Montrose & Arbroath
RESERVOIR GEOLOGY E
POROSITY - PERMEABILITY CHARACTERISTICS
22/18-2
1. Balder Formation 10000
Rogaland Group
W 2. Sele Formation 1
22/17-1 3. Forties Shale Member
2
0
1000
100 feet
Forties Formation
PERMEABILITY (md.)
22/17-A12
Montrose Group
10
3 1
Andrew Fm.
0.1
Maureen Fm.
0.01
0 10 20 30 40
TD
POROSITY (per cent.)
The Forties Formation has been subdivided into the Forties Sandstone Member and the Porosities in the two fields are generally good, typically 18 to 27
Forties Shale Member of which the former comprises the main reservoir horizon. The per cent. Permeabilities are poor to good, commonly 1 to 1000 md.
Forties Sandstone Member is between 350 and 500 feet thick, forming a sheetlike sediment Trends in porosity and permeability values are controlled by primary
body. In the Montrose field, there are two main northwest-southeast trending axes of textural characteristics and hence facies. The cleaner, coarser
channel sandstones, which are composed of thick, broad elongate sand units with good grained channel fill sandstones have the better reservoir quality. The
reservoir quality. These pass laterally into poorer reservoir quality, thinner, sheetlike, thinner, sheetlike interchannel turbidite sandstones are generally
interchannel sandstones interbedded with thin mudstones, which form a northwest- finer grained and have poorer reservoir quality. The thin sandstones
southeast trending band down the central part of the field. This band of relatively poor within facies association 'C' are commonly tight due to diagenetic
reservoir quality with thin mudstones will act as a baffle to horizontal flow. Mudstones within cementation.
the Forties Sandstone Member are generally thin and laterally impersistent and are
therefore unlikely to restrict vertical flow on a field scale.
RESERVOIR PRESSURE
FLUID PROPERTIES
Both the Montrose and Arbroath fields are approximately
Three separate fluid systems exist in the east and west lobes of the Montrose field and normally pressured with a gradient to surface of about 0.46 psi/ft.
in the Arbroath field. Separate pressure regimes exist in the east and west lobes of the
All reservoirs are undersaturated, bubble point pressures varying from about 2000 psig Montrose field and in the Arbroath field. Oil water contacts in the east
in the Arbroath field to about 2700 psig in parts of the Montrose field. and west lobes of the Montrose field are at about 8235 and 8295 feet
Oil viscosities are moderately low, giving favourable mobility ratios. TVDSS respectively. The two lobes are believed to be in pressure
communication through the aquifer.
The Arbroath field was pressure depleted at the time of
commencement of offtake due to production from Montrose. The
1000 1.6 GOR B0 0 0.7
West Montrose Arbroath field oil water contact is at about 8256 ft TVDSS.
East Montrose
800 Arbroath
1.5 0.6
8100
GOR (scf/stb)
Arbroath
0 (cp)
0.45 psi/ft
CONTROLS ON RECOVERY
The Montrose oil accumulation is entirely underlain by a large aquifer which provides the
main source of reservoir energy. Permeability is typically moderate to good and vertical
8400
pressure communication is poor due to the stratified nature of the reservoir sands.
3000 3200 3400 3600 3800 4000
Production performance has shown that pressure support in the east lobe is inadequate to
maintain oil offtake rates and three of the four water injection wells are located in this part INITIAL RESERVOIR PRESSURE (psig)
of the field. An overall recovery factor of 45 to 50 per cent. is expected.
Montrose is at an advanced stage of decline. The field is now producing significant
volumes of water and electric submersible pumps are being used to increase well
productivities. These will enable individual wells to produce to water cuts in excess of 90 per
cent.
Reservoir quality in Arbroath is similar to that in Montrose. The structure is of even
shallower relief, however, and this will probably lead to earlier water production problems
and possibly a slightly lower recovery factor.
Montrose & Arbroath
FACILITIES SPECIFICATIONS
MONTROSE ARBROATH
UNITED KINGDOM
Water Depth 289 308
(feet)
Platform Type steel jacket steel jacket
Function drilling/production/ wellhead
accommodation
Accommodation 83 25
(not normally manned)
Well slots 24 21
Wells 21 17
Net Present Value 1,115.20 510.54 338.48 262.72 206.72 147.12 85.86
Net Present Value (Deflated) 1,442.93 676.03 437.07 325.26 238.66 141.55 34.74
Profit/Inv Ratio 2.69 2.01 1.69 1.51 1.35 1.14 0.83 PRODUCTION PERFORMANCE
Profit/Inv Ratio (Deflated) 1.45 0.93 0.70 0.56 0.45 0.29 0.08
NPV/Unit Oil Equiv. 4.77 4.79 4.67 4.55 4.40 4.12 3.52 HISTORICAL AND PROJECTED
NPV/Unit Oil Equiv. (Deflated) 4.21 3.59 3.10 2.73 2.33 1.70 0.56
50
Payback Year 1979
Nominal Rate Of Return % 40.65
Real Rate Of Return % 22.33
Net Present Value 643.87 288.76 186.92 142.26 109.41 74.68 39.21
Net Present Value (Deflated) 772.99 320.12 179.51 113.98 63.36 6.71 -55.55
Profit/Inv Ratio 1.55 1.13 0.93 0.82 0.72 0.58 0.38
Profit/Inv Ratio (Deflated) 0.78 0.44 0.29 0.20 0.12 0.01 -0.13 30
NPV/Unit Oil Equiv. 2.75 2.71 2.58 2.47 2.33 2.09 1.61
NPV/Unit Oil Equiv. (Deflated) 2.25 1.70 1.27 0.96 0.62 0.08 -0.90
Gross Revenue (Deflated) 4,318.39 2,346.33 1,742.30 1,460.17 1,241.33 994.69 719.30 0
Royalty (Deflated) 224.54 147.78 117.43 101.50 88.21 72.11 52.66 1975 1980 1985 1990 1995 2000 2005 2010
Petroleum Revenue Tax (Deflated) 121.30 77.56 60.71 51.94 44.66 35.88 25.35
Corporation Tax (Deflated) 669.94 355.91 257.57 211.28 175.31 134.85 90.29 Year
Capital Expenditure (Deflated) 994.86 726.11 627.16 576.77 535.34 485.59 424.79
Operating Costs (Deflated) 1,528.02 714.19 496.16 401.43 331.62 257.22 180.08
1974 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -124.0 0.0 0.0 0.0
1975 0.0 0.0 0.0 50.0 0.0 0.0 0.0 -50.0 -551.9 0.0 0.0 0.0
1976 5.2 0.0 4.0 30.0 0.0 0.0 0.0 -28.8 -283.1 2.0 0.0 0.0
1977 56.3 1.3 17.5 10.0 0.0 0.0 1.3 27.5 241.0 17.0 0.0 0.0
1978 63.7 4.9 17.5 10.0 0.0 0.0 4.9 31.3 243.5 24.0 0.0 0.0
1979 99.9 7.6 17.5 10.0 0.0 0.0 7.6 64.8 449.6 28.0 0.0 0.0
1980 137.4 12.0 20.0 5.0 0.0 15.6 27.6 84.8 523.7 25.0 0.0 0.0
1981 148.0 14.9 22.0 0.0 25.8 46.2 86.9 36.3 199.7 22.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1982 125.0 14.1 24.0 0.0 21.3 40.9 76.3 24.4 119.2 18.0 0.0 0.0
1983 101.9 11.1 26.0 5.0 4.8 38.7 54.6 16.3 71.0 14.0 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1984 133.7 11.8 28.0 30.0 0.0 31.0 42.7 33.0 128.0 16.0 0.0 0.0
1985 108.6 12.2 30.0 10.0 0.0 31.2 43.4 25.2 87.0 14.0 0.0 0.0
Pre Corporation Tax 1986 46.9 6.7 30.5 0.0 0.0 25.2 31.9 -15.4 -47.4 13.0 0.0 0.0
1987 45.2 2.9 29.4 55.0 0.0 4.1 7.0 -46.1 -126.3 11.0 0.0 0.0
Net Present Value 369.81 350.15 335.54 325.46 315.37 300.53 277.29 1988 31.0 1.9 29.9 75.0 0.0 -0.8 1.1 -75.0 -182.7 10.0 0.0 0.0
Net Present Value (Deflated) 361.74 336.03 319.98 309.46 299.24 284.59 262.26 1989 16.2 0.5 26.9 70.0 0.0 -12.0 -11.5 -69.2 -150.2 4.0 0.0 0.0
NPV/Unit Oil Equiv. 4.77 5.36 5.64 5.79 5.93 6.10 6.32 1990 130.1 0.0 49.5 15.0 0.0 0.0 0.0 65.6 126.7 27.0 0.0 0.0
1991 150.2 0.0 57.2 15.0 0.0 0.0 0.0 78.0 134.2 36.0 0.0 0.0
Post Corporation Tax 1992 151.2 0.0 59.5 5.0 0.0 19.8 19.8 66.9 102.5 38.0 0.0 0.0
1993 144.9 0.2 58.1 10.0 0.0 22.6 22.8 54.0 73.6 35.0 0.0 0.0
Net Present Value 205.01 208.83 205.81 202.58 198.74 192.29 180.83 1994 135.7 0.7 52.3 0.0 0.4 22.0 23.1 60.3 73.2 36.0 0.0 0.0
Net Present Value (Deflated) 213.30 208.00 202.00 197.46 192.68 185.35 173.33 1995 146.5 1.0 53.8 0.0 4.7 22.1 27.7 65.0 70.2 38.0 0.0 0.0
NPV/Unit Oil Equiv. 2.64 3.20 3.46 3.61 3.74 3.91 4.12 Total To Start Of Discounting ( 1/JAN/1996)
1,977.8 103.8 653.6 415.0 56.9 306.5 467.3 438.9 1,177.5 156.2 0.0 0.0
Earnings Data
1996 152.1 0.9 53.8 0.0 6.6 24.8 32.2 66.1 63.6 38.0 0.0 0.0
Gross Revenue 997.83 827.57 748.49 703.09 662.58 609.52 537.43 1997 146.3 1.2 52.8 0.0 1.3 27.2 29.6 63.8 54.7 34.0 0.0 0.0
Royalty 6.93 7.09 6.92 6.74 6.54 6.20 5.63 1998 132.9 1.8 51.7 0.0 0.0 28.3 30.1 51.1 39.0 29.7 0.0 0.0
Petroleum Revenue Tax 7.84 7.59 7.45 7.37 7.28 7.16 6.96 1999 118.2 2.1 50.2 0.0 0.0 24.5 26.7 41.3 28.0 25.4 0.0 0.0
Corporation Tax 164.80 141.31 129.74 122.88 116.63 108.24 96.46 2000 101.6 2.0 48.4 0.0 0.0 20.5 22.5 30.7 18.6 21.0 0.0 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2001 90.6 1.8 46.1 0.0 0.0 16.1 17.9 26.6 14.3 18.0 0.0 0.0
Operating Costs 613.25 462.73 398.58 363.52 333.39 295.64 247.55 2002 76.4 1.7 43.2 0.0 0.0 13.4 15.1 18.1 8.7 14.6 0.0 0.0
2003 68.0 1.4 41.5 0.0 0.0 10.0 11.4 15.0 6.4 12.5 0.0 0.0
Gross Revenue (Deflated) 874.33 734.89 669.50 631.74 597.88 553.31 492.23 2004 61.7 1.5 39.9 0.0 0.0 7.9 9.4 12.4 4.7 10.9 0.0 0.0
Royalty (Deflated) 7.26 6.95 6.63 6.40 6.15 5.79 5.21 2005 50.0 1.3 37.5 0.0 0.0 6.4 7.7 4.8 1.6 8.5 0.0 0.0
Petroleum Revenue Tax (Deflated) 7.79 7.55 7.41 7.32 7.24 7.12 6.93 Remain
Corporation Tax (Deflated) 148.44 128.04 117.97 112.01 106.56 99.24 88.93 2006 0.0 -8.8 148.0 0.0 0.0 -14.3 -23.0 -125.0 -37.6 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 497.54 384.36 335.48 308.56 285.25 255.81 217.83 Total 997.8 6.9 613.3 0.0 7.8 164.8 179.6 205.0 202.0 77.6 0.0 0.0
Fluid Properties The Morecambe gas fields are located in the northern Irish Sea
SOUTH NORTH basin. They are the most westerly of all the producing UK oil and gas
MORECAMBE MORECAMBE reservoirs. North Morecambe started production in October 1994. The
nearest fields are the Hamilton North and Hamilton gas fields and the
Gas Gravity S.G. (air =1) 0.65 0.69 Douglas oil field, all in Block 110/13. A number of single wells and
Condensate Gas Ratio (bbl/MMscf) 4 4 smaller fields have been discovered by British gas around the two
Dew Point 1650 psi Morecambe fields.
Gas Expansion Factor (bbl/MMscf) 145 145 The Millom gas accumulation was found in Block 113/26a in 1982
Original Reservoir Pressure, Pi (psia) 1861 1808 followed by the Darwin gas discovery in Block 110/8a in 1991 and two
At Datum Depth of (ft TVDSS) 3640 3900 gas prospects, Crossans and Hodder, found in 1991 and 1993
Reservoir Temperature (F) 90 90 respectively. These have become collectively known as "The River
fields" and are likely to be developed as future satellites to Morecambe.
Rock Properties
Total Gas Reserves (Bcf) 5200 1025 The Morecambe reservoirs are two highly faulted anticlines trending
Est. Gas Production to 31.12.95 (Bcf) 1650 129 approximately north-south. These are separated by a very narrow and
Remaining Gas Reserves (Bcf) 3550 896 deep graben structure. The South Morecambe reservoir is at depths of
about 2400 ft while the deeper North Morecambe field is up to 3000 ft
Production below sea level. The Triassic Sherwood Sandstone Group forms the
main reservoir. The Sherwood Sandstone Group is several thousand
Water depth (feet) 85-100 85-100 feet thick and contains a dry gas entirely underlain by water. Porosities
Production Start Date January 1985 October 1994 are moderate to good. Primary permeabilities are generally high but the
Peak Production (yrly average) (MMscf/day) 860 in 1993 300 in 1995 presence of illite severely reduces permeability in the lower part of the
Platform(s) 7 Steel jackets 1 reservoir.
Number of Wells - Producers 40 7 planned The illite occurs below what has been interpreted as a palaeo gas-
water contact, and this surface (top platy illite) can be mapped.
Subsequent late stage (post-illite) quartz overgrowths are present in the
Gas and Condensate Export Pipeline to Westfield Point
illite free zones so porosities here are generally lower than the illite
terminal
affected zones, though permeabilities are much higher.
The North Morecambe structure is separated from South
Morecambe by a graben feature and is about a quarter of its size.
Closure is completed to the east by faulting and to the north and west
by faulting and dip closure. Morecambe gas has a relatively high
nitrogen content of 7-8 per cent. with North Morecambe gas exhibiting
a higher carbon dioxide content than that of South Morecambe. Due to
the shallow nature of the reservoir, several small wellhead platforms
have been installed and slant hole drilling has been used to give as long
a well reach as possible in South Morecambe.
STRATIGRAPHY AND STRUCTURE 113/27 113/28
110/2a 110/3b
The Morecambe field gas accumulation occurs within sandstones of the Lower 4A
UNITED KINGDOM
Triassic Sherwood Sandstone Group, which is subdivided into Ormskirk Formation GWC
Morecambe
and the older St. Bees Sandstone Formation. The Ormskirk Sandstone Formation 3950 NORTH
00
forms the majority of the reservoir and comprises the Keuper Waterstones Unit and 38 MORECAMBE
5
00
the underlying Keuper Sandstone Unit. The Keuper Sandstone Formation is further
36
110/3a
30
3400
subdivided into the upper Frodsham, the middle Delamere and the lower Thurstaston
00
3
Members. The Sherwood Sandstone Group is up to 4800 ft thick and greatly
exceeds the maximum closure of the structure. The reservoir is sealed by a series
of four halite and mudstone cycles of the overlying Triassic Mercia Mudstone Group 8
which locally exceed 3000 feet in thickness. Subdivision of the Ormskirk and the St
Bees Sandstone Formation is based upon lithostratigraphic considerations, there
being an absence of valid biostratigraphic data. 0
2 300
The Morecambe structure comprises a broad faulted anticline oriented 7
approximately north-south. A major fault of variable throw forms the western DP8
boundary while the eastern edge relies on both fault and dip closure. The field is 32
00 SOUTH
divided into the North and South Morecambe fields by a northeast-southwest 6 1
MORECAMBE
oriented graben.
3000
3600
5000
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
0 DP4
300
32000
30
40
The sediments of the Sherwood Sandstone Group were deposited in a semi-arid
00
0
DP6 30
00
enclosed basin over which major braided channel systems prograded from sources 1
26
on the eastern margin of the East Irish Sea Basin. The dominance of sheetflood and 320
00
0
26
00
channelised flow processes was controlled by the advance and retreat of braided CPP1
channel complexes from the hinterland in response to external controls such as
24
boundary fault reactivation and climatic change.
3400
00
110/2b
00
Fining upwards, channel-fill sandstones with mudclasts and erosive bases are AP 3
36
110/7c 110/7a 2 110/8a
the dominant reservoir lithology although sheetflood sandstones are also of
2800
importance. The channel sandstones are generally medium grained and exhibit large DP3
scale cross-stratification and trough cross lamination. The sheetflood sandstones
are generally sharply bounded, very fine to medium grained, argillaceous, and are MORECAMBE 00
30
weakly laminated with extensive disruption by dewatering structures. They are often TOP TRIASSIC SANDSTONE
DEPTH STRUCTURE GWC
interbedded with thin mudstones but show improved reservoir quality when 3750
interbedded with thin aeolian sandstones. Minor intervals of ephemeral lake 0 4 km
mudstones are present with dessication cracks, and minor silty mudstones and
(Contours in feet)
sandy lenses. Minor intervals of clean, well sorted aeolian dune and sheet
sandstones are also recognised throughout the area.
The St Bees Sandstone Formation comprises a thick sequence of alternating (Modified after Bushell, 1986)
channel and sheetflood dominated intervals. The Ormskirk Sandstone Formation,
however, comprises the majority of the reservoir interval and is subdivided into the
oldest Thurstaston Member exhibiting minor aeolian dune development and Fodsham Member and the channel/sheetflood and playa lake deposits of the
reworking of older aeolian sediment, the sheetflood and emphemeral lake dominated Keuper Waterstones Unit. The reservoir is sealed by shales and evaporites of the
sequence of the Delamere member, the channel dominated sequence of the Mercia Mudstone Group.
1000
Mercia Mudstone Group TRIASSIC
TRIASSIC
2000
AGE
VF
argillaceous sediments.
M
M Geometry
M Composite sheet sandbody comprising
stacked broad elongate sandbodies with
M thin, laterally impersistent mudstones.
M
and K
and K of sandstones generally poor to
moderate, locally good. Mudstones form
local barriers to vertical flow.
SHERWOOD SANDSTONE GROUP
ORMSKIRK SANDSTONE FORMATION
3200
Geometry
Composite sheet sandbody comprising
stacked broad elongate sandbodies with
thin laterally impersistent (sheetflood)
sandstones and mudstones.
3300
and K
and K of sandstones poor to
moderate, rarely good, K of sandstones
poor to moderate, locally good.
?FRODSHAM MEMBER
Morecambe 110/2a-5
110/2a-3
1000
110/2a-2
110/3-3
100
110/2a-6
PERMEABILITY (md.)
Ormskirk Sandstone Formation
110/2-1
10
TD
0.1
Both Morecambe complexes contain dry gas with small amounts of condensate (4 Assuming a water pressure gradient to surface of 0.45 psi/ft, South
bbl/MMscf) produced during testing. The gas is similar to that in the Southern North Sea, but Morecambe is overpressured by approximately 180 psi and North
with a higher level of Nitrogen. The CO2 content is higher in North Morecambe compared to Morecambe is normally pressured.
South Morecambe which may indicate a different source for the gas. The condensate has a The reservoir pressure of North Morecambe is 1808 psig at 3900
gravity of 72 API. feet TVDSS and the reservoir pressure of South Morecambe is 1861
The separator gas composition for both fields is given below and shows the high level of psig at 3640 feet TVDSS.
inerts present in the gas, especially in North Morecambe. The aquifer pressure in the North Morecambe field is 150 psi less
than in South Morecambe indicating that the narrow graben
separating them fully sealing.
COMPOSITION
COMPOSITION South
South North
North 1.1
(mol. %)
(mol. %) MorecambeMorecambe
Morecambe Morecambe 3600
COCO2 0.54
0.54 5.925.92
2
GAS DEVIATION FACTOR Z
CC45 0.25
0.51 0.510.27 3800
CC56 0.16
0.25 0.270.13 0.45 psi/ft
0.8
CC67+ 0.14
0.16 0.130.18 North Morecambe
S.G.C(Air=1.0) 0.64
0.14 0.180.69
7+
C.V.
S.G (Btu/scf)
(Air = 1.0) 1006
0.64 0.691156
C.V. (Btu/scf) 1006 1156 @ 90 F 3900 0.05 psi/ft
0.7
0 500 1000 1500 2000 North Morecambe
GWC @ 3950 ft TVDSS
PRESSURE (psig)
4000
0.45 psi/ft
CONTROLS ON RECOVERY
4100
Recovery from the South Morecambe field is expected to be moderate to good 1780 1820 1860 1900 1940
resulting from:
INITIAL RESERVOIR PRESSURE (psig)
UNITED KINGDOM
900
Morecambe
CPP1 AP1 DP1/3/4/6/8
800
@@@
700
(feet)
600 Platform Type steel jacket unmanned
steel jacket
500
Function processing accommodation wellhead
400
Jacket Weight 11754 4100 2350
300
North (tonnes)
200 Total Weight 5850
(tonnes)
100
0
Accommodation 176 Emergency Emergency
1980 1985 1990 1995 2000 2005 2010 2015 2020 2025 for 12 only
Year Well Slots/Platform 12-16 14
Total Wells 40 7 planned
These cash flows include Morecambe South only These cash flows include Morecambe North only
211/13b BP 13a 211/14 Shell 33/6 Rel. SUMMARY
4 7 Shell
2
The Murchison field is located in UK Quadrant 211 and Norwegian
11 8
211/18a BP 211/19a Conoco 33/9a Mobil Quadrant 33 some 195 km northeast of the Shetland Islands in the
15 13 Northern North Sea. The field was discovered in 1975 by Well 211/19a-
9 AREA 9 21 23 2 which encountered oil in Middle Jurassic sands of the Brent Group.
211/18b 16
Enterprise 12 DON Development of Murchison began in 1976 and involves one steel
10
platform. First oil was produced in September 1980 and peak oil
5 22 8
production was achieved in 1983. Oil is piped to the Sullom Voe
24
10 terminal via the Dunlin and Cormorant South fields. Gas is piped to St.
11 6 PLAYFAIR Fergus via the Brent field.
25 14 The current interests in the Murchison field in per cent. are:-
18 33/9b Statoil
17 MURCHISON 6 UK BLOCK 211/19a
Oryx (UK) Energy Ltd* 51.87
3 4
AREA 6 6 Chevron Petroleum Co. Ltd 25.93
19,20 33/9c
2 A NORWEGIAN BLOCK 33/9b
Mobil
8 3 Statoil 11.1
Mobil Exploration Norway 3.33
7 THISTLE Oryx (UK) Energy Ltd * 2.22
A
1 2 211/19b Rel.
Esso Exploration & Production Norway Inc. 2.22
DEVERON 5 A/S Norske Shell 2.22
1
4 Saga Petroleum A/S & Co. 0.42
Enterprise 0.23
7 Amoco Exploration Co. 0.23
211/23b 4 211/24a 211/24c Conoco Amerada Corp. of Norway 0.23
Amerada 8 9 OMV
7 0 4 km
OSPREY 3 operator *
211/23a Shell
- all percentages rounded to two decimal places
On the basis of the most recent unitisation, 77.8 per cent. of the field
reserves are attributed to UK Block 211/19a and 22.2 per cent. to
Norwegian Block 33/9b.
Fluid Properties The Murchison field is located in the North Viking Graben and
straddles the median boundary with Norway. Murchison is surrounded
Oil Gravity (API) 38 by fields such as Brent, Dunlin, Statfjord, Thistle and Don all of which lie
Gas/Oil Ratio (scf/stb) 540 within a 20 km radius. Fields within a 50 km radius include Magnus,
Bubble Point Pressure, Pb (psig) 1900 Cormorant, Hutton and North West Hutton, Ninian and Gullfaks. All
Formation Volume Factor at Pi (rb/stb) 1.35 these fields contain oil in sandstones of the Brent Group and/or Statfjord
Oil Compressibility (vol/vol/psi) 8.3 x 10-6 Formation.
Original Reservoir Pressure, Pi (psig) 6434
At Datum Depth of (ft TVDSS) 9850
Reservoir Temperature (F) 230
Rock Properties
10300
The reservoir in Murchison is formed by Brent Group sandstones. These overlie MURCHISON
10300
10300
UNITED KINGDOM
the Lower Jurassic offshore mudstones of the Dunlin Group. The five constituent TOP BRENT
formations of the Brent Group (Broom, Rannoch, Etive, Ness and Tarbert ) are all
Murchison
DEPTH STRUCTURE 0 33/9
generally present. However, uplift of the crestal parts of the field during the Callovian 30
resulted in local erosion of the Tarbert Formation and the upper parts of the Ness 0 1 km 10 0
20
Formation. Structural growth occurring contemporaneously with sedimentation has 10
0
(Contours in feet TVDSS)
10
resulted in thickening of the Brent Group on the downthrown sides of faults.
10
The Brent Group is generally overlain by Middle - Upper Jurassic marine
6
010
0
00
mudstones. Locally there are Callovian aged marine sandstones overlying the Brent
C1
10
Group. These are the products of crestal stripping.
OW
The Murchison structure is a northwest dipping fault block which is bounded to
the south by a fault complex and to the west and east by major faults.
Compartmentalisation of the reservoir by minor faults is expected, particularly in the
southern part of the field. 00
3 99
4
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
00
The Brent Group represents the deposits of a northward prograding shallow 98
00
marine and deltaic complex in response to the onset of subsidence in the Viking 97
98 0
97
Graben and uplift in the central North Sea.
00
00
0
A
99
The Broom Formation at the base of the Brent Group consists of a thin
9600
0
1
980
development (generally < 4 feet) of medium to coarse grained, bioturbated
sandstones which commonly contain chamositic ooliths. These are interpreted as
sublittoral sandstones. 00
97 2
They are overlain by a coarsening - upward sequence, the Rannoch Formation,
which consists of the base of wave rippled and burrowed mudstones, which are
overlain by very fine to fine grained, variably argillaceous and micaceous
9700
sandstones. The sandstones are wave rippled and wavy laminated and burrowed in
the lower part, but become hummocky, cross-stratified and horizontally laminated in
the upper part. The Rannoch Formation is interpreted as representing a
NOR K
0
progradational offshore to middle shoreface sequence. 40 0
100
0 11 30
U
00
WAY
The Etive Formation represents the upper shoreface to backshore portion of the 10 11
00
1020
prograding shoreface system. The lower part of the formation is commonly 103 0 20
0
00
00 10
114
composed of very coarse to coarse, pebbly sandstones which overlie an erosion 10900
11000
surface. These sandstones commonly exhibit a gross fining-upwards and probably
represent tidal inlet or tidal distributary channel sandstones. The upper part of the
Etive Formation consists of fine to medium grained sandstones which have heavy (After Warrender J , 1991)
mineral concentrations, low-angle cross-bedding, high-angle cross-bedding and
water escape structures. These are interpreted as mixed foreshore and backshore
sandstones.
Continued progradation resulted in the shallow marine sandstones of the Etive shallow marine sandstones of the Tarbert Formation. These are variably micaceous
Formation being succeeded by the delta plain sediments of the Ness Formation. The and argillaceous. At the base there is commonly a thin (< 10 feet) coarse grained,
Ness Formation consists of interbedded sandstones, mudstones and coals. Lagoon cross-bedded or current rippled sandstone. This is overlain by very fine to fine
and bay shoreface, mouth bar, crevasse splay and distributary channel sandstones grained, cross-bedded and bioturbated sandstones. The Tarbert Formation is
are interbedded with lagoon/bay and floodplain mudstones and coals. interpreted as having a basal transgressive unit which is overlain by nearshore bar
Subsequent transgression of the Brent delta resulted in the deposition of the and muddy trough sandstones.
7000
TERTIARY + CRETACEOUS
8000
p
10000 Dunlin Grou
rd
11000 Pre - Statfjo
Statfjord Formation
12000 0 1 km
AGE
VF
M Geometry
Sheetlike sandbody.
M and K
9950
and K
BRENT GROUP
S Py
?
Upper shoreface and stacked tidal distributary
or tidal inlet sandstones.
ETIVE FORMATION
Geometry
Lenticular sandbodies coalesced into a
sheetlike sandbody.
and K
Generally very good to excellent due to
coarse, 'clean' nature of sandstones.
1150
RANNOCH FM.
Heather
Murchison
2 4 Sand
Unit
5
1000
0
Ness Formation
100
100 feet
PERMEABILITY (md.)
MIDDLE JURASSIC
10
Brent Group
Etive Fm.
1
Rannoch Formation
F
0.1
Broom Fm.
1. Lower Jurassic
2. Humber Group
3. Dunlin Group
1 3 0.01
4. Heather Formation
5. Tarbert Formation 0 10 20 30
POROSITY (per cent.)
The Broom Formation forms a thin (< 5 feet) sheetlike sandbody which is isolated from Porosity and permeability are reduced in the water leg as
other Brent Group sandstones by a thick development of basal Rannoch Formation compared to the oil leg, reflecting continued diagenesis in the water
mudstones. As a result of both these factors the Broom Formation does not form a reservoir leg following hydrocarbon emplacement. In general, the principal
unit in Murchison. determinants of porosity/permeability characteristics are primary
The Rannoch Formation (175 feet - 200 feet thick) consists of offshore mudstones which textural features with coarser, cleaner sandstones having better
are overlain by a coarsening-upward sequence of sandstones. Only the upper part of the porosity and permeability.
Rannoch Formation, where sandstones are coarser and cleaner, is of potential reservoir The Rannoch Formation is characterised by a general upwards
quality. However, reservoir quality is locally reduced by the development of concretionary increase in porosity and permeability. Concretionary calcite cement
calcite cements. Overall the Rannoch Formation forms a sheetlike sand body with a net to locally causes severe restriction of porosity and permeability.
gross ratio of about 0.6. The Etive Formation is characterised by good to excellent
The relatively coarse, clean sandstones of the Etive Formation (35 feet - 95 feet thick) porosity and permeability. This is a reflection of its relatively coarse,
form a sheetlike sand body. Net to gross ratio is generally greater than 0.8. Within the Ness clean nature.
Formation sandstones occur as more discrete sand bodies which are separated by possibly Within the Ness Formation both porosity and permeability are
laterally extensive mudstones. Sand body geometry is variable. Channel sand bodies have extremely variable, reflecting the range of sand body types. Primary
ribbon like geometries unless stacking and coalescence have resulted in a tabular textural characteristics are the main control on porosity/permeability
geometry. Lagoon/bay shoreline, mouth bar and crevasse splay sandstones tend to have characteristics. Thick distributary channel sand bodies generally
lobate to sheetlike geometries. have the best reservoir quality, with average porosities of about 25
The Tarbert Formation (generally < 30 feet thick) was probably originally sheetlike in per cent. and permeabilities commonly 1500 md or greater.
geometry. Crestal erosion of the unit has modified both its thickness and distribution. Net to The Tarbert Formation generally has lower average porosities
gross ratios are generally about 0.6, reflecting the fact that fine grained, relatively clean (15-20 per cent.) and permeability is generally less than 500 md.
nearshore bar sandstones are interbedded with argillaceous, very fine grained inter-bar This reflects the micaceous, argillaceous, relatively fine grained
sandstones. The nearshore bar sandstones will have lenticular to sheetlike geometries. nature of the unit.
The Murchison field contains relatively low shrinkage undersaturated black oil with a gas The Murchison field is overpressured by around 2200 psi relative
oil ratio of 540 scf/stb. to a hydrostatic gradient to surface of 0.44 psi/ft. The PVT data imply
an oil gradient of 0.29 psi/ft.
600 1.5 0.7
Rs 9800
B0
1.4 0.6
400
B0 (rb/stb)
Rs (scf/stb)
0 (cp)
200 0
1.2 0.4
OWC @ 10106 ft TVDSS
@ 230 F
0 1.1 0.3
0 2000 4000 6000 8000 10200
0.44 psi/ft
PRESSURE (psig)
The overall recovery factor from Murchison is expected to be high at around 50 INITIAL RESERVOIR PRESSURE (psig)
per cent. Good pressure communication across the field is responsible for this high
recovery, although due to the large permeability contrasts between individual sands,
large volumes of produced water will have to be handled. In the complex oil bearing
fault terraces to the south, limited pressure communication with the main field is the expected to have a recovery of around 55 per cent. The permeability contrast
primary control on recovery. between the Etive and the Rannoch sands, particularly the very high permeability
The recovery from the individual sands within the Brent Group varies from 35 to sand at the base of the Etive, reduces the likely recovery from the Rannoch. This is
55 per cent. The Tarbert and Ness sands are of good quality with high permeabilities due to injection water overriding the Rannoch sand and causing premature water
in the Ness channel sands. The combined recovery from these sands is expected to breakthrough. Recovery from the Rannoch sand, although it has a higher
be around 45 per cent. The high permeability Etive sand is permeability than is typical, is consequently expected to be only around 35 per cent.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 512
Murchison
(feet)
Platform Type steel jacket
Function drilling/production/
accommodation
Accommodation 198
Well Slots 33
Wells Planned 33 (3 subsea)
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
HISTORICAL AND PROJECTED
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00%
125 100
Pre Corporation Tax
Liquid
Net Present Value 893.37 573.52 439.19 367.25 306.62 232.78 143.62 Gas
@@@
Net Present Value (Deflated) 1,337.81 783.89 555.11 433.54 331.75 208.90 63.26
@@@
Net Present Value 473.40 310.18 236.68 196.22 161.51 118.48 65.38 50 40
Net Present Value (Deflated) 642.71 341.66 212.76 143.29 84.64 13.38 -71.40
Profit/Inv Ratio 0.93 0.78 0.67 0.60 0.54 0.44 0.28
Profit/Inv Ratio (Deflated) 0.48 0.31 0.22 0.16 0.10 0.02 -0.11
NPV/Unit Oil Equiv. 1.63 1.82 1.85 1.83 1.78 1.67 1.33
NPV/Unit Oil Equiv. (Deflated) 1.40 1.21 0.98 0.77 0.54 0.11 -0.80 25 20
Nominal Rate Of Return % 30.95
Real Rate Of Return % 15.66
Earnings Data
0 0
Gross Revenue 4,391.19 2,701.04 2,079.20 1,763.68 1,506.25 1,202.14 846.52 1975 1980 1985 1990 1995 2000 2005
Royalty 436.55 272.31 209.44 177.15 150.68 119.33 82.73
Petroleum Revenue Tax 1,586.48 981.55 746.12 625.06 526.00 409.31 274.86 Year
Corporation Tax 419.97 263.34 202.51 171.04 145.12 114.30 78.24
Capital Expenditure 509.59 399.44 351.44 324.64 301.12 270.84 230.47
Operating Costs 819.10 366.47 242.60 188.91 149.70 108.67 67.83
Gross Revenue (Deflated) 7,265.88 4,663.19 3,658.20 3,136.30 2,703.83 2,184.50 1,564.13
Royalty (Deflated) 725.13 463.15 360.56 307.20 263.03 210.19 147.60
Petroleum Revenue Tax (Deflated) 2,588.13 1,614.27 1,234.00 1,037.61 876.26 685.29 463.57
Corporation Tax (Deflated) 695.10 442.23 342.35 290.25 247.11 195.51 134.66
Capital Expenditure (Deflated) 1,325.66 1,086.64 976.51 913.21 856.54 781.91 679.34
Operating Costs (Deflated) 989.72 494.04 346.23 278.89 227.86 172.18 113.40 CASH FLOW REPORT
Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1976 0.0 0.0 0.0 3.9 0.0 0.0 0.0 -3.9 -75.9 0.0 0.0 0.0
1977 0.0 0.0 0.0 50.6 0.0 0.0 0.0 -50.6 -783.6 0.0 0.0 0.0
1978 0.0 0.0 0.0 116.7 0.0 0.0 0.0 -116.7 -1,442.9 0.0 0.0 0.0
1979 0.0 0.0 0.0 77.8 0.0 0.0 0.0 -77.8 -821.9 0.0 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1980 37.8 0.0 6.1 62.2 0.0 0.0 0.0 -30.5 -262.9 7.0 0.0 0.0
1981 360.9 17.8 21.2 31.1 0.0 0.0 64.1 244.5 1,658.6 54.5 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1982 579.7 52.6 24.2 54.5 0.0 0.0 142.9 358.1 2,008.2 84.9 0.0 0.0
1983 620.7 68.2 28.6 38.9 287.8 119.3 484.7 68.4 327.5 86.4 6.1 0.0
Pre Corporation Tax 1984 694.8 74.9 33.8 15.6 345.2 96.8 516.9 128.5 544.5 84.0 15.2 0.0
1985 555.8 70.6 36.6 3.9 376.8 82.3 529.7 -14.4 -53.7 72.4 13.9 0.0
Net Present Value -11.47 -1.81 1.98 3.93 5.50 7.31 9.27 1986 221.9 41.3 36.3 3.9 161.9 47.1 250.4 -68.7 -223.9 61.5 12.7 0.0
Net Present Value (Deflated) -3.36 3.30 5.86 7.16 8.19 9.34 10.53 1987 217.6 20.6 33.0 3.9 120.2 15.2 156.0 24.7 72.0 53.0 11.5 0.0
NPV/Unit Oil Equiv. -0.45 -0.08 0.10 0.21 0.30 0.43 0.61 1988 140.5 17.1 31.2 3.9 78.5 14.5 110.1 -4.7 -12.5 45.1 9.1 0.0
1989 118.1 12.4 31.6 7.8 54.1 8.4 74.9 3.8 8.8 28.8 10.9 0.0
Post Corporation Tax 1990 134.7 12.2 33.5 7.8 58.3 7.2 77.8 15.7 30.8 28.0 6.2 0.0
1991 98.3 11.2 35.5 7.8 39.3 7.8 58.3 -3.3 -5.4 23.3 7.8 0.0
Net Present Value -17.78 -7.48 -3.36 -1.22 0.54 2.61 4.94 1992 120.5 10.4 36.4 11.7 43.4 4.5 58.4 14.1 20.5 29.6 13.7 0.0
Net Present Value (Deflated) -9.27 -2.02 0.84 2.31 3.51 4.91 6.44 1993 72.6 8.8 35.8 3.9 25.1 6.5 40.3 -7.4 -9.6 17.3 6.7 0.0
NPV/Unit Oil Equiv. -0.70 -0.34 -0.17 -0.06 0.03 0.16 0.33 1994 53.9 4.7 34.9 3.9 5.1 2.5 12.3 2.7 3.2 14.0 5.7 0.0
1995 55.9 3.7 34.0 0.0 8.4 1.3 13.4 8.5 9.1 14.0 7.6 0.0
Earnings Data Total To Start Of Discounting ( 1/JAN/1996)
4,083.7 426.5 492.7 509.6 1,603.9 413.7 2,590.2 491.2 990.8 256.9 46.4 0.0
Gross Revenue 307.48 260.45 237.91 224.75 212.86 197.07 175.19
Royalty 10.01 10.59 10.62 10.57 10.46 10.25 9.80 1996 50.8 3.7 33.3 0.0 7.4 1.5 12.6 4.9 4.7 12.3 6.4 0.0
Petroleum Revenue Tax -17.46 -4.90 0.05 2.59 4.65 7.03 9.64 1997 47.8 3.4 29.6 0.0 7.3 1.3 12.0 6.2 5.3 10.8 5.3 0.0
Corporation Tax 6.31 5.67 5.34 5.14 4.96 4.70 4.32 1998 43.6 3.2 30.1 0.0 5.7 1.6 10.5 3.0 2.3 9.5 4.4 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1999 39.6 2.7 30.7 0.0 3.6 1.1 7.4 1.5 1.0 8.3 3.6 0.0
Operating Costs 326.39 256.57 225.26 207.67 192.24 172.47 146.48 2000 36.1 2.3 31.3 0.0 1.7 0.6 4.6 0.2 0.1 7.3 2.9 0.0
2001 32.7 2.0 29.1 0.0 0.9 0.1 3.0 0.5 0.3 6.4 2.3 0.0
Gross Revenue (Deflated) 273.94 234.25 215.11 203.88 193.72 180.17 161.29 2002 30.1 1.8 27.1 0.0 0.7 0.0 2.5 0.5 0.2 5.7 1.7 0.0
Royalty (Deflated) 10.75 10.81 10.65 10.50 10.33 10.03 9.51 2003 26.9 1.6 24.6 0.0 0.4 0.0 2.0 0.2 0.1 4.9 1.2 0.0
Petroleum Revenue Tax (Deflated) -6.98 1.72 5.08 6.78 8.14 9.69 11.30 Remain
Corporation Tax (Deflated) 5.90 5.32 5.02 4.84 4.67 4.44 4.09 2004 0.0 -10.6 90.5 0.0 -45.2 -0.0 -55.8 -34.7 -13.2 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 273.53 218.42 193.51 179.45 167.06 151.10 129.95 Total 307.5 10.0 326.4 0.0 -17.5 6.3 -1.1 -17.8 0.8 23.8 10.1 0.0
1 2,2a
1
5 44/28b
44/26c Amoco 44/28c Lasmo Shell
Fluid Properties The Murdoch field is located in the Silverpit Basin area of the
Southern North Sea Gas Basin. The nearest producing gas fields are
Gas Gravity S.G.(air=1) 0.64 the Esmond Complex, some 60 km to the northwest, which produces
Condensate Gas Ratio (bbl/MMscf) 8 from the Triassic Bunter Sandstone, and the Rotliegendes Ravenspurn
Gas Expansion Factor (vol/vol) 280 and Ann/Audrey fields which lie some 90 km to the west and 50 km to
Reservoir Pressure, Pi (psig) 6151 the south respectively. The Markham field lies approximately 50 km to
at Datum Depth of (ft TVDSS) 11883 the southeast and contains gas in the Rotliegendes. The Caister field is
located just to the east of Murdoch and contains gas in the Triassic and
Reservoir Temperature (F) 235
Carboniferous.
The Silverpit Basin is believed to contain very little reservoir potential
Rock Properties
in the Rotliegendes interval as the section is mudstone dominated. This
explains the isolation of the Murdoch and Caister fields with regard to
Rock Type Sandstone
the surrounding Rotliegendes accumulations.
Stratigraphic Unit Westphalian B
Geological Age Carboniferous
Porosity Range (per cent.) 3-15
Permeability Range (md) 0.05-10
Connate Water Saturation (per cent.) 40
Gas Water Contact (ft TVDSS) 12125
Depth to top of Structure (ft TVDSS) 11400
Reserves
FIELD DESCRIPTION
Total Gas Reserves (Bcf) 320
Est. Gas Production to 31.12.95 (Bcf) 93 The field is an elongate northwest-southeast oriented asymmetric
Remaining Gas Reserves (Bcf) 227 anticline which is fault closed to the northeast and southeast and dip
closed to the southwest. The gas bearing intervals are fluvial sediments
Production of Carboniferous Westphalian age. The main reservoir horizon is
termed the Murdoch Sandstone and is a stacked fluvial channel
Water Depth (feet) 98 sequence of approximately 120 feet thickness and is reported as lower
Production Start Date October 1993 Westphalian 'B' age. Only the Murdoch Sandstone is considered to be
Peak Gas Production (yrly average) (MMscf/day) 125 in 1995 laterally continuous over the whole area of the field. The Caister Sand,
a lateral equivalent, forms one of the reservoirs in the Caister field.
Platforms not normally manned
Other potential gas bearing sandbodies are seen both above and
steel jacket
below this horizon. The reservoir is sealed by mudstones of the Permian
Number of Wells 5
Rotliegendes Silverpit Formation. Porosities and permeabilities are
Gas Export Pipeline to Theddlethorpe
generally poor to moderate but are marginally better in the Murdoch
Sandstone than elsewhere in the observed Carboniferous sequence.
Thin zones of high permeability occur throughout the Murdoch
sandstone interval.
The reservoir contains a wet gas with a minor amount of condensate
recovered during testing. The gas contains minor amounts of nitrogen
and carbon dioxide.
Development of the field involved a single not normally manned
platform with capacity for 13 wells although only five wells are
anticipated as being required. Plateau rate was achieved immediately
following start up. Conoco is planning to invest in a compressor platform
in late 1996. Gas export is via a Murdoch/Caister dedicated pipeline to
Theddlethorpe. The same pipeline is due to be used for exportation of
Schooner gas when production begins in late 1996.
Gas deliverability has been increased in the field by use of sub-
horizontal wells which optimise the thin intra-Murdoch Sandstone high
permeability layers.
STRATIGRAPHY AND STRUCTURE
44/22a
11
70
0 MURDOCH The Murdoch field lies on the same northwest-southeast
UNITED KINGDOM
11
119
orientated structural trend as the neighbouring Caister field. The
80
0
12 0 TOP MURDOCH
0
1 121
12 00 00 structure is believed to be a flower structure which was generated
30
DEPTH STRUCTURE
Murdoch
12 0 11900 during strike slip faulting and compression during the early Permian.
50 6
0
11700 0 2 km The structure is a highly faulted asymmetrical anticline which is
11700 3
bounded on both long sides by major reverse faults, and at its
(Contours in feet TVDSS)
12100
11900
southeastern end by a normal fault. Closure to the southeast,
12300
D4
northeast and northwest is controlled by these faults but to the
11
115
30
00
southwest is controlled by dip within the main fault block. The field is
0
115
11900
1210
00
D5 1150
0 114
cut by numerous subordinate faults.
0
D1 00
Gas is encountered in fluvial sandbodies within the Carboniferous
117 D3
00 Westphalian 'A' and 'B' intervals. The Carboniferous itself forms both
12
10
lateral and vertical seal to the reservoir but the Lower Permian
0
12
11700
20
0
4
D2
1170
Silverpit Formation also caps the reservoir where the Carboniferous
11
90
0
0
1
horizons subcrop against the Variscan unconformity surface or are
12
10
0 11900 11500
juxtaposed by faulting. The crest of the structure lies at approximately
7 GW
C 12
11300 feet TVDSS giving a maximum gas column of some 800 feet.
125 11300 Other potential reservoir horizons in the area are the sandstones
11
of the Triassic Bunter Sandstone Formation. In the Murdoch field
50
12
0
30 11
12
0 90
area these horizons are not seen to be gas bearing although they are
10
0 11
0
70
0
of reservoir quality. The same horizon is gas bearing in the nearby
121
5 Caister field area. The Jurassic has been entirely eroded in the
00 Silverpit Basin area.
0
TERTIARY
gh Group
5000 Haisborou
TRIASSIC ne
Sandsto
Bunter
ale
Bunter Sh
DEPTH (feet)
CORE CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
DESCRIPTION 0 150 ROCK 1.95 2.95
AGE
CLAY
VF
11800
44/22a-1
M
CARBONIFEROUS
11850
M
11900
Geometry
M3
sand body
11950
and k
Poor to moderate. Best quality observed
in very coarse grained to pebbly channel
lag and bar deposits
M2
12000
M
M1
12050
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
E
Silverpit Fm.
44/22a-1 10000
Permian
0
W
Murdoch
44/22a-3
50
ity
onform
an Unc 1000
100 feet Hercyni
100
PERMEABILITY (md.)
+
+ +
+ + +
10 + ++
+ +
+ ++ ++
+ ++++++++++++
+ + + + +++++ + ++ + +
+ + ++++++ +++++++++++ ++++++ + +
+
Carboniferous
+ + + +++++ +++++++++ +++++
+
++ ++++
++ ++++++
+++++
++++++
+++ +
+ + ++++
+ + +
+ +
+ + +++++++++++++ +
+ ++++++++++++++
1 +
+ + +
+
+ ++++++++ ++ +
+ + +
+++ ++++ +++ ++++++++++++++++++++ + +
+ + +++ +++ +++++++++++++++ ++ + +++++++
++
+++++ ++++ ++++ +++
+ ++++++++++ + ++++++++++++ ++
+
++ + +
+ + + +
+ + +
+ +
+ ++++++++++++ +
+ ++ + +
+ + + +
0.1 + ++ + +
+ +
+ +
+
Westphalian 'B'
Murdoch Sst.
M3
++
+
M2
0.01 +
M1 0 10 20 30
POROSITY (per cent.)
Westphalian 'A'
Porosity values in the Westphalian sequence as a whole are poor
ranging from 3 to 15 per cent. and averaging approximately 8 per
cent. Values in the Murdoch Sandstone unit are moderate with
values in the range 5 to 20 per cent with an average of approximately
10 per cent. The better porosity is clearly associated with the
The Murdoch Sandstone Unit is the only sandstone body that is considered to be of presence of cleaner channel sand units. Permeability values show a
significance as a reservoir unit in the Murdoch field and is interpreted as being a stacked similar pattern with Westphalian values ranging from 0.05 to 10 md
multistorey and multilateral channel sequence. Average thicknesses of the unit are whereas the Murdoch Sandstone unit exhibits values in the range of
approximately 120 feet and individual fining upwards channel sequences may be up to 70 0.8 to 12 md. Thin coarse grained horizons in the core channel area
feet thick which suggests a channel belt width in excess of 10 km. The channel sequence of the field do show permeabilities of up to 1200md which result in
is interpreted as a sheet like sand body probably extending over the entire area of closure thin reservoir intervals dominating production. Overall the values are
of the field. The channel axes are interpreted as being oriented in a north-south direction moderate.
from regional depositional models and thus cross the area of closure at an oblique angle to It is expected that the Westphalian sequences will show a
the long axis of the structure. The internal architecture of the Murdoch Sandstone is complex pore development history. By analogy to Rotliegendes
complex but may be treated as a homogeneous unit due to the lack of significant sediments that underwent a similar burial and charging history it is
stratification. However, local high permeability pebbly sandstones and conglomerates do likely that the porosity is principally a secondary mouldic porosity
impose an important heterogeneity which may affect reservoir performance. resulting from the dissolution of labile grains in the original sediment.
Other thinner channel sandbodies in the Westphalian sequence that do not exhibit Primary sedimentary textures are not therefore expected to exert
considerable lateral continuity are considered to be of a much smaller areal extent. These other than a broad control on porosity/permeability relationships.
units may extend over considerable areas of the field and will show poor communication
with each other due to the highly complex channel sandstone architecture. These gas RESERVOIR PRESSURE
bearing sands will contribute to overall reserves although the degree of their extent and
connectivity is unclear on the basis of available data. None of the RFT data available from released wells tested
formation pressures in the water leg of the Murdoch field. A gas
down to is suggested by the RFT data at a depth of 11870 feet
FLUID PROPERTIES TVDSS. The deepest tested interval from DSTs suggest a deeper
gas down to at 11883 feet TVDSS although no PLT data were
The gas held in the Murdoch field has a specific gravity of 0.64. Condensate gravity is available to verify this. The operator maps a gas water contact at
some 70 API. Dew point pressure is 3450 psig at 235F and the gas expansion factor at 12125 feet TVDSS. Reservoir pressure is 6151 psig at a depth of
dew point is 0.980. Viscosity is 0.0192 centipoise and at dew point the fluid composition is 11883 feet TVDSS. The available data suggest a gas gradient of 0.1
as follows: psi/ft and a gas column of at least 700 feet. At the gas water contact
the reservoir is overpressured by approximately 700 psi, based on a
1.18 5.0 pressure gradient of 0.45 psi/ft.
z factor
VOLUME OF RETROGRADE LIQUID (vol/vol)
12000
CONTROLS ON RECOVERY
Mapped GWC @ 12125 ft TVDSS
The recovery factor for the Murdoch Sandstone unit is expected to be moderate.
The main controls on recovery are:
installation of compression facilities - planned for the late 1990s INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
MURDOCH Water Depth 98
PLATFORM SCHEMATIC (feet)
Murdoch
Platform Type 4 leg steel jacket
Function Wellhead Production
Net Present Value 405.68 244.00 175.80 139.64 109.52 73.44 31.15
Net Present Value (Deflated) 342.93 196.44 136.52 105.02 78.87 47.63 11.08
Net Present Value 271.81 156.98 108.30 82.42 60.82 34.92 4.56 50
Net Present Value (Deflated) 225.37 120.69 77.68 55.02 36.20 13.70 -12.55
Profit/Inv Ratio 0.99 0.66 0.49 0.40 0.31 0.19 0.03
Profit/Inv Ratio (Deflated) 0.77 0.47 0.33 0.25 0.17 0.07 -0.07
NPV/Unit Oil Equiv. 5.10 4.16 3.47 2.97 2.46 1.66 0.28
NPV/Unit Oil Equiv. (Deflated) 4.54 3.38 2.60 2.06 1.51 0.67 -0.78
25
Nominal Rate Of Return % 20.99
Real Rate Of Return % 17.33
Earnings Data
0
Gross Revenue 879.44 577.20 461.16 401.01 351.16 291.15 218.84 1990 1995 2000 2005 2010
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 1.15 1.12 1.01 0.89 0.71 0.47 Year
Corporation Tax 133.87 87.03 67.51 57.23 48.69 38.51 26.59
Capital Expenditure 275.00 238.01 219.59 208.60 198.51 184.84 165.37
Operating Costs 198.76 94.03 64.65 51.75 42.24 32.15 21.86
Gross Revenue (Deflated) 770.82 522.27 423.76 371.83 328.28 275.14 209.93
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 1.36 1.31 1.08 0.92 0.78 0.60 0.38
Corporation Tax (Deflated) 117.55 75.75 58.84 50.00 42.67 33.92 23.63
Capital Expenditure (Deflated) 293.53 254.97 235.72 224.21 213.63 199.28 178.78
Operating Costs (Deflated) 133.00 69.55 50.44 41.68 35.00 27.63 19.69
ECONOMIC INDICATORS FROM 1/1/1996 1991 0.0 0.0 0.0 15.0 0.0 0.0 0.0 -15.0 -25.0 0.0 0.0 0.0
1992 0.0 0.0 0.0 75.0 0.0 0.0 0.0 -75.0 -109.2 0.0 0.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1993 17.6 0.0 2.2 90.0 0.0 0.0 0.0 -74.6 -97.0 0.0 27.9 0.0
1994 69.1 0.0 7.7 10.0 0.0 0.0 0.0 51.4 60.8 0.0 102.8 0.0
Pre Corporation Tax 1995 82.1 0.0 4.0 15.0 0.0 0.0 0.0 63.1 67.6 0.0 125.0 0.0
Total To Start Of Discounting ( 1/JAN/1996)
Net Present Value 455.81 383.42 344.91 321.86 300.87 272.96 234.59 168.8 0.0 13.9 205.0 0.0 0.0 0.0 -50.1 -102.7 0.0 93.3 0.0
Net Present Value (Deflated) 404.79 337.09 303.34 283.50 265.57 241.85 209.31
NPV/Unit Oil Equiv. 12.06 12.10 11.94 11.80 11.64 11.38 10.95 1996 82.9 0.0 5.0 70.0 0.0 10.6 10.6 -2.7 -2.6 0.0 115.0 6.3
1997 95.9 0.0 6.2 0.0 0.0 13.1 13.1 76.5 65.5 0.0 110.0 25.0
Post Corporation Tax 1998 83.2 0.0 6.5 0.0 0.0 20.2 20.2 56.5 43.1 0.0 87.7 25.0
1999 72.8 0.0 6.8 0.0 0.0 18.3 18.3 47.8 32.4 0.0 69.8 25.0
Net Present Value 321.94 272.35 245.72 229.70 215.05 195.49 168.43 2000 64.4 0.0 7.0 0.0 0.0 16.5 16.5 40.9 24.7 0.0 55.7 25.0
Net Present Value (Deflated) 287.23 240.42 216.88 202.98 190.37 173.62 150.50 2001 55.0 0.0 7.3 0.0 0.0 15.0 15.0 32.7 17.6 0.0 44.4 21.8
NPV/Unit Oil Equiv. 8.52 8.59 8.51 8.42 8.32 8.15 7.86 2002 46.9 0.0 7.6 0.0 3.5 12.7 16.2 23.0 11.0 0.0 35.3 19.0
2003 40.1 0.0 7.9 0.0 0.9 9.3 10.2 22.0 9.4 0.0 28.2 16.5
Earnings Data 2004 34.4 0.0 7.8 0.0 0.0 8.9 8.9 17.7 6.7 0.0 22.4 14.5
2005 29.5 0.0 7.7 0.0 0.0 7.5 7.5 14.3 4.8 0.0 17.9 12.5
Gross Revenue 710.67 558.34 493.43 457.71 426.75 387.43 336.07 2006 25.5 0.0 7.6 0.0 0.0 6.2 6.2 11.7 3.5 0.0 14.3 11.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2007 21.9 0.0 7.6 0.0 0.0 5.2 5.2 9.1 2.4 0.0 11.4 9.5
Petroleum Revenue Tax 0.00 1.47 1.64 1.63 1.57 1.43 1.17 2008 18.9 0.0 7.4 0.0 0.0 4.2 4.2 7.3 1.7 0.0 9.0 8.3
Corporation Tax 133.87 111.07 99.19 92.16 85.82 77.46 66.16 2009 8.3 0.0 5.0 0.0 0.0 3.4 3.4 -0.1 -0.0 0.0 0.0 7.3
Capital Expenditure 70.00 68.31 67.36 66.74 66.14 65.28 63.90 2010 7.5 0.0 5.0 0.0 0.0 0.8 0.8 1.7 0.3 0.0 0.0 6.3
Operating Costs 184.86 105.15 79.53 67.48 58.16 47.77 36.42 2011 6.8 0.0 4.9 0.0 0.0 0.6 0.6 1.3 0.2 0.0 0.0 5.5
2012 6.2 0.0 4.8 0.0 0.0 0.4 0.4 0.9 0.1 0.0 0.0 4.8
Gross Revenue (Deflated) 594.54 480.22 430.15 402.18 377.66 346.14 304.24 2013 5.5 0.0 4.8 0.0 0.0 0.3 0.3 0.4 0.1 0.0 0.0 4.2
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2014 5.1 0.0 4.7 0.0 0.0 0.2 0.2 0.2 0.0 0.0 0.0 3.7
Petroleum Revenue Tax (Deflated) 1.36 1.67 1.59 1.49 1.38 1.21 0.95 Remain
Corporation Tax (Deflated) 117.55 96.68 86.46 80.52 75.20 68.23 58.81 2015 0.0 0.0 63.2 0.0 -4.4 -19.6 -24.0 -39.2 -4.1 0.0 0.0 0.0
Capital Expenditure (Deflated) 70.00 68.31 67.36 66.74 66.14 65.28 63.90
Operating Costs (Deflated) 118.40 73.14 57.86 50.45 44.57 37.80 30.08 Total 710.7 0.0 184.9 70.0 0.0 133.9 133.9 321.9 216.9 0.0 226.7 91.7
The Nelson field is located some 180 km east of Aberdeen in the UK sector
of the Central North Sea. The accumulation is on the Forties-Montrose High
trend in Blocks 22/6a, 22/7, 22/11 and 22/12a. The reservoir comprises the
Forties Formation and although no published depth structure maps are
available, probably occurs as a dip-closed low relief anticline similar to the
Montrose and Arbroath fields. The oil reserves are contained within the
Paleocene sands which are sealed by overlying shales. The reservoir covers an
area of about 15 km by 8 km and lies at a depth of some 7000 to 7500 feet
TVDSS. The neighbouring Forties field, a few kilometres to the northwest, also
produces from the Paleocene sands, as do the Montrose and Arbroath fields
some 20 miles to the south.
RESERVOIR CHARACTERISTICS Nelson's proximity to the Forties field has allowed a simple development link-
up for oil via a spurline into the Forties system.
Fluid Properties
FIELD DESCRIPTION
Oil Gravity (API) 37
Gas Oil Ratio (scf/stb) 648 The Nelson field is one of the Central North Sea's largest Paleocene
Bubble Point Pressure, Pb (psia) 1550 reservoir developments and is centred around Blocks 22/11 and 22/6a, which
Formation Volume Factor at Pi (rb/stb) 1.45 contain the bulk of the oil in place and reserves. The precise nature of the
Nelson structure is unknown as there are no published top reservoir depth
Original Reservoir Pressure Pi (psia) 3280
maps. However, it is expected that the reservoir is a four way dip closed and
At Datum Depth of (ft TVDSS) 7400 moderate to low relief, similar to the accumulations at Forties, Montrose and
Reservoir Temperature (F) 232 Arbroath. The reservoir occurs within Paleocene sandstones of the Forties
Formation which comprises a sequence of sands and shales of up to some 400
Rock Properties feet thickness, and which are underlain by further sands and shales of the
Andrew Formation. Porosities and permeabilities are good to very good.
Rock Type Sandstone The reservoir contains an undersaturated oil with a GOR of 411 scf/stb. As
Stratigraphic Unit Forties Formation the oil column thickness is less than the thickness of the total Paleocene
Geological Age Paleocene sandstone sequence, the reservoir is totally underlain by water.
Porosity Range (per cent.) 22-25 After discovery in March 1988, development of the field has been extensive
and rapid, focusing on a single conventional steel platform with slots for up to
Permeability Range (md) 50-1000 (av. 200)
36 wells. There is also a satellite submarine development some 5.8 kms to the
Connate Water Saturation (per cent.) 18.5 south, with capacity for up to eleven subsea wells and tied back to the main
Oil Water Contact (ft TVDSS) 7465 var. Nelson platform by pipelines. The design, construction and installation phases
Depth to Top of Structure (ft TVDSS) 7200 of the field were undertaken by Shell and then Enterprise took over
responsibility for drilling and operations.
Reserves The first oil production from Nelson was in February 1994, with the pre-
drilling of eight platform wells to enable rapid buildup in output. Plateau
Total Reserves (MMstb, Bcf) 410, 70 production of 160,000 b/d was reached by June 1994 and a peak of 190,000 b/d
(Oil + NGLs, Gas) has been met on occasion. Nelson is currently producing from eight platform
Est. Production to 31.12.95 (MMstb, Bcf) 100, 19 wells and two satellite wells from Nelson South (both completed in 1995). There
will be spare capacity on the platform from the late 1990s and spare risers are
(Oil + NGls, Gas)
already in place. The possibility of developing small oil discoveries near Nelson
Remaining Reserves (MMstb, Bcf) 310, 51 is being assessed but nothing has been identified as yet.
(Oil + NGLs, Gas) The complete drilling programme in the present development plan comprises
26 platform wells, of which seven will be water injectors together with four
Production producing wells from the satellite complex. One oil production well to the
northwest is considered to be at the technical limit of platform reach (5 km) and
Water Depth (feet) 285 may have to be developed as a further subsea satellite. No decision has yet
Production Start Date February 1994 been made.
Peak Production (Oil and NGL) (stb/day) 157000 in 1995 Because of the nature of the hydrocarbons, oil recovery will be maximised
Platform(s) 1 steel jacket and by sea-water injection around the edges of the field which will supplement
1 subsea satellite natural water drive from an underlying aquifer, thus maintaining sufficient
reservoir pressure. Well productivity is boosted and will eventually be sustained
Number of Wells Planned 20 Platform Producers
by the provision of gas lift.
7 Injectors After separation on the Nelson platform, oil and some NGLs are exported by
Oil and NGL Export Oil via Forties System pipeline to a new riser platform near the Forties "C" platform some 25 km away.
Gas Export Gas via Fulmar pipeline From there it is transported through the Forties pipeline system to Cruden Bay
to St. Fergus on the Scottish mainland and then overland to Kerse of Kinneil on the south side
of the Firth of Forth where the NGLs are extracted for export.
Associated gas and the remaining NGLs are exported by 48 km pipeline to
the Fulmar gas pipeline near the Kittiwake platform and are then transferred to
the gas line at St. Fergus, north of Aberdeen. The gas stream is then processed,
and the dry gas (mainly methane) is sold to British Gas, whilst the NGLs are
piped to Mossmorran, Fife, to be separated into ethane, butane, propane and
natural gasoline ready for export.
STRATIGRAPHY AND STRUCTURE
The Nelson field is located on the northwest to southeast trending Forties- Hydrocarbons are found in the Paleocene sandstones of the Forties Formation.
UNITED KINGDOM
Montrose High in the Central Graben. No published depth structure maps are Structural closure at this level probably results from a combination of a differential
available, and therefore the detailed structural configuration is unknown. However, it compaction over the Forties-Montrose high and the thick sandbodies within the
is expected that the field is a predominantly four way dip closed, moderate to low Paleocene section.
Nelson
relief anticline similar to the structures of the Forties, Montrose and Arbroath fields The reservoir is buried below a thick sequence of Tertiary shales and subordinate
nearby. The initial oil water contact is at 7465 feet TVDSS, and with the shallowest sands, the seal being the immediately overlying shales of the Sele Formation.
wells at around 7200 feet TVDSS, the structural closure is in the order of 250 feet,
intermediate between that of Forties (approx. 550 feet) and Montrose-Arbroath
(approx. 100 to 150 feet).
6000
Hordaland (Stronsay)
Group
Forties Formation
Sele Formation
Andrew Formation
8000 Maureen Formation
Chalk Group
TRIASSIC and older
9000 0 2 km
The Late Paleocene sands of the Forties Formation were deposited within a intervening shale and sandstone intervals. This reflects deposition of the reservoir
marine, sand-rich submarine fan-apron setting by turbidity currents derived from the sands in broad "channel" forms, separated by poorer quality "interchannel"
northwest. The turbidites entered the Central Graben and in this area flowed axially sediments.
along the basin following sea-floor topographic lows. Initially, this would have The sands are expected to show sedimentological characteristics similar to those
reflected the underlying structural character, but by the time several hundred feet of of Forties and Montrose fields. The thick sands will be massive, often structureless,
sand and shale had accumulated, differential compaction around earlier Paleocene with water escape and soft sediment deformation structures and rip-up mudclasts.
sandbodies probably also influenced sea floor topography. In the Forties-Montrose The thinner sands interbedded with shales will be slightly finer grained, laminated,
region, the Paleocene reservoir section is characterised by the development of linear current rippled and locally burrowed.
northwest to southeast orientated sandstone bodies, that pass laterally into
muddy sediments
Geometry
Sand rich sheet thinning to southwest
and k
Good quality reservoir locally reduced
7400
where muddy
22/6a-9
Complex of stacked high density turbidite
"channel" sequences
UPPER FORTIES FM.
LATE PALEOCENE
Geometry
Overall sheet geometry with sand "channels"
7450
and k
Generally good, except in thin zones where
muddy or calcite cemented
7500
LOWER FORTIES FM.
7550
Marine shale
Complex of stacked high density turbidite
7600
Nelson
Datum Top Forties Formation
Upper Forties Fm
Major submarine 1000
LATE PALEOCENE
high density turbidite
"channel" sequence
PERMEABILITY (md.)
Interchannel sediments
and channel
abandonment shales
1. Sele Formation
150 ft 2. Lower Forties Formation 10
3. Andrew Formation
The Forties Formation can be subdivided into three major zones via lithostratigraphic
correlation, though detailed biostratigraphy may result in alternative correlations. The
intervals consist of an uppermost muddy unit and two underlying sand dominated sections.
The Forties Formation is dominated by two major sand rich sequences, informally
0.1
subdivided into the upper and lower Forties Formation. These are separated by an
apparently correlatable shale unit which represents a period of non-coarse clastic
deposition in the Nelson area. The lower unit shows marked thickness variations between
wells, but is predominantly sand rich in the west (e.g Wells 22/6a-10 and 22/11-7) and east
(e.g Wells 22/6-9 and 22/11-5) and muddy in the centre of the field. This may reflect the 0.01
presence of two major thick "channel" sandstone sequences. 0 10 20 30
In the upper unit a similar pattern is seen, although here the thickest and best quality POROSITY (per cent.)
sands also appear to be most common in the north of the field (e.g. Wells 22/6a-9 and
22/6a-10). The thickening of the uppermost shaly interval below the top Forties log pick from
north to south indicates that coarse clastic deposition continued longest in the northern area Porosities and permeabilities are generally good, typically 20 to
of Nelson. 27 per cent. and 50-1000 md respectively. Trends in porosity and
Shale unit correlations within the upper and lower Forties Formation appear tenuous, permeability are controlled by primary textural characteristics such
and therefore the reservoir probably shows good internal vertical communication. Lateral as grain size, sorting and detrital clay content. The cleaner and
communication between the west and the east may be impaired if the shaly interval in Well coarser grained sands show the better values, whereas finer grained
22/11-1 is linear and extensive. and more argillaceous sands have lower values. Therefore optimal
reservoir quality occurs in the thick "channel" sandbodies, with
generally lower values in the "interchannel" sands. Diagenetic
cementation is relatively unimportant. Most of the sands will have
small volumes of quartz, pyrite, chlorite and kaolinite cements and
clays. Concretionary calcite cement locally obliterates porosity, but
these concretions are relatively uncommon and laterally
impersistent.
Nelson contains an undersaturated, 37 degrees API, oil with a bubble point pressure of The initial reservoir pressure from RFT data taken prior to
some 1550 psia and with an in situ density of 0.705 g/cm3. The low viscosity leads to a production show the field to be underpressured by over 100 psi
favourable mobility ratio to water flooding. relative to a hydrostatic gradient to surface of 0.45 psi/ft. This is
interpreted to be due to pressure depletion via the Paleocene sand
aquifer following production from the Forties field. The oil water
contact from RFT data is interpreted at 7465 feet TVDSS, although
1000 1.6 0.8 analysis of log data suggests that the elevation of the contact may
vary across the field. This may also be due to production from the
B0
800 neighbouring Forties field.
GAS VISCOSITY (cp)
GOR
1.4 0.6
GOR (scf/stb)
600
B0 (rb/stb)
7000
400
1.2 0 0.4
200
0 1.0 0.2
0 500 1000 1500 2000
0.44 psi/ft
UNITED KINGDOM
Water Depth 285
(feet)
Nelson
Platform Type 1 steel jacket 1 subsea satellite
8
Function drilling, processing,
/1
1
2
Kittiwake
compression, accommodation wellhead, production,
To water injection
Cruden Bay
rt
Riser
expo
Platform Jacket Weight 8500
Gas
C (tonnes)
D
Total Weight 31000
NELSON rt
A (tonnes)
po E
ex B
Oil
Forties Accommodation 110
2
/1
2
Well slots 36 11
/6
22
Wells - planned 20 4
/7
2
2
- injectors 7 -
@
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00%
near Kittiwake and onto St. Fergus
Pre Corporation Tax
Net Present Value 1,865.78 1,122.66 816.30 654.00 518.51 355.64 163.68
Net Present Value (Deflated) 1,638.72 952.35 671.48 523.16 399.61 251.49 77.76
Profit/Inv Ratio 1.66 1.17 0.93 0.79 0.66 0.49 0.25
Profit/Inv Ratio (Deflated) 1.33 0.90 0.69 0.57 0.46 0.31 0.11
NPV/Unit Oil Equiv. 4.42 3.98 3.62 3.34 3.04 2.54 1.59
NPV/Unit Oil Equiv. (Deflated) 4.19 3.58 3.13 2.80 2.44 1.86 0.77
@@@
NPV/Unit Oil Equiv. 2.84 2.50 2.20 1.96 1.69 1.25 0.39
NPV/Unit Oil Equiv. (Deflated) 2.68 2.18 1.79 1.50 1.17 0.65 -0.35 120
Earnings Data
80
Gross Revenue 4,991.86 3,268.46 2,587.17 2,230.37 1,933.27 1,574.86 1,144.17
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 549.28 345.39 264.84 222.98 188.45 147.40 99.55
@@@
Corporation Tax 666.62 417.33 320.38 270.31 229.14 180.32 123.42
Capital Expenditure 1,121.62 960.98 880.92 833.11 789.19 729.72 644.96 50
Operating Costs 1,455.18 839.43 625.11 520.27 437.12 342.09 235.98
40
Gross Revenue (Deflated) 4,552.97 3,036.11 2,425.84 2,103.13 1,832.54 1,503.48 1,103.58
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 487.58 307.87 236.63 199.53 168.87 132.37 89.69
Corporation Tax (Deflated) 589.23 372.86 287.90 243.77 207.34 163.93 113.00
Capital Expenditure (Deflated) 1,230.33 1,057.96 971.80 920.25 872.83 808.53 716.66
Operating Costs (Deflated) 1,196.35 717.93 545.93 460.19 391.23 311.10 219.47
0 0
1990 1995 2000 2005 2010
Year
BLOCK 3/8a
Ranger Oil (UK) Ltd 55.00
Sun Oil Britain Ltd 45.00
operator *
RESERVOIR CHARACTERISTICS The final redetermination allocated 71.2 per cent. of reserves to
Block 3/3.
Fluid Properties
UNITED KINGDOM
NINIAN & COLUMBA
Ninian field. The Brent Group overlies the Lower Jurassic offshore marine
TOP BRENT SANDSTONE mudstones of the Dunlin Group and is overlain by Upper Jurassic marine
6 DEPTH STRUCTURE mudstones. Towards the crest of the Ninian structure the Brent Group is
0 2 km erosionally truncated. It is locally completely absent in which case Upper
Jurassic or Lower Cretaceous mudstones rest uncomformably on Dunlin Group,
3 (Contours in feet TVDSS)
Statfjord Formation or Cormorant Formation sediments.
The Ninian structure is a westward tilted horst block bounded to the east by
a north-south trending fault system. The southern margin of the field is also
delineated by a fault system which trends broadly northwest-southeast. Normal
2 faults downthrowing to the west define the western margin of the field. These
Approximate Erosional Limit
7 10 of Brent Group faults converge with the major eastern fault system in the northern part of the
1040 30
field.
O WC 104
0
SEDIMENTOLOGY AND DEPOSITIONAL ENVIRONMENT
0
1000
COLUMBA B
9200
1 4A
The Brent Group consists of a northward prograding shallow marine and
5A
deltaic complex. The Broom Formation, at the base, consists of sublittoral
9600
shallow marine sandstones which prograded across the offshore mudstones of
8 the Dunlin Group. The sandstones are mainly medium to coarse grained and
0
3/7a 3/8b 3/9c are locally pebbly. Overlying these are the finer grained, micaceous and
940
2 argillaceous sandstones of the Rannoch Formation, which represent the middle
000 shoreface position of a major delta front barrier shoreface system. Capping
10
these are the medium to locally coarse grained sandstones of the Etive
1
Formation. These represent the upper shoreface, foreshore and possibly
backshore portion of the barrier system. In the central and southern part of the
COLUMBA D
field southeast - northwest and south southeast-north northwest trending tidal
2
3/7b 4 distributary channel and possible tidal inlet sandstones are present.
The Etive Formation is succeeded by the delta plain sediments of the Ness
Formation. The lower part of the Ness Formation comprises floodplain and
5 1
6A bay/lagoon mudstones which are interbedded with crevasse splay, channel
margin and minor channel sandstones. The upper part of the Ness Formation is
5A
dominated by a multistorey, composite channel sandbody with only minor
3 floodplain mudstones. The uppermost unit of the Brent Group, the Tarbert
COLUMBA E 9A Formation, consists of a thin development of mainly fine to medium grained,
3/8a
transgressive, shallow marine sandstones.
(Modified after Albright, Turner, Williamson, 1980)
9000
L. CRETACEOUS
RASSIC
UPPER JU p
10000 p Dunlin Grou
Brent Grou
rmation
Cormorant Fo
11000
Statfjord Formation
12000
0 2.5 5 km
13000
AGE
VF
3/3-3
F
and K
generally moderate to good, K good
to very good.
NESS FORMATION
Py Geometry
BRENT GROUP
and K
Generally moderate to good.
Py
10500
Py Geometry
Sheetlike sandbody orientated parallel to
palaeo-shoreline.
RANN. FM.
M
M and K
BROOM FM.
1 0
2
Humber Gp.
Ness Formation
50 feet 1000
MIDDLE JURASSIC
3/8-1
3/8-6
Brent Group
3/8-2 S
100
3 3/8-3
PERMEABILITY (md.)
L. JURASSIC
Dunlin Gp. 4
10
5
1
1. Heather Fm.
2. Tarbert Fm.
3. Etive Fm.
4. Rannoch Fm.
5. Broom Fm.
0.1
The reservoir has been divided into two main units. The lower reservoir comprises the
Broom, Rannoch and Etive Formations and the upper reservoir comprises the Ness and
Tarbert Formations. To the west, permeabilities are reduced in the deeper reservoirs by
depth-related modifications. The Ness channel sands are present in north and central
0.01
Ninian but are largely absent in south Ninian. 0 10 20 30
The Broom Formation sandstones are stacked into a sheetlike sandbody which ranges POROSITY (per cent.)
from about 14 to 75 feet in thickness. Net to gross ratio varies from about 0.7 to 1.0. The
Rannoch Formation sandstones range from 20 to 30 feet in thickness. They form part of a
sheetlike sandbody oriented broadly parallel to the palaeo-shoreline. Overlying the Within the Broom Formation average porosities and
Rannoch Formation are the sandstones of the Etive Formation, which range from 15 to 75 permeabilities range between moderate and good. Average
feet in thickness. The lower part of the Ness Formation consists of relatively thin (< 25 feet) porosities in the Rannoch Formation range from poor to moderate
sandbodies with interbedded mudstones. The sandstones have ribbon geometry (channels) whilst permeabilities are generally moderate. This reflects the fine
and lobate to sheetlike geometry (crevasse splay, channel margin) and are poorly grained, micaceous and argillaceous nature of the unit. In the upper
interconnected. The uppermost part of the Ness Formation is dominated by a multistorey, part of the Rannoch Formation there are thin, highly micaceous
multilateral channel sandbody. This has a tabular geometry with good internal connectivity. horizons which may form permeability baffles between the Etive and
The Tarbert consists of interbedded sandstones and mudstones. The sandstones are Rannoch Formations. Porosities and permeabilities within the Etive
expected to have lobate to sheetlike geometry, with interbedded mudstones forming vertical Formation are commonly moderate to good. Coarse grained
permeability baffles and barriers. Overall the Tarbert Formation is expected to have a distributary channel and tidal inlet sequences have excellent
sheetlike geometry. permeabilities and may act to allow the rapid advance of injected
water.
Within the lower part of the Ness Formation porosities and
FLUID PROPERTIES permeabilities are generally moderate to good, although the thicker,
coarser distributary channel sandstones have good to excellent
The Ninian field contains a low shrinkage black oil with an oil gravity of 35 degrees API. porosity and permeability. The thick, clean distributary channel
The initial formation volume factor and oil viscosity are 1.265 rb/stb and 1.32 cp respectively. sandstone of the upper part of the Ness Formation has good to
The bubble point pressure is 1300 psig with a separator corrected GOR of 285 scf/stb. excellent porosities and permeabilities (generally >20 per cent. and
400 - 3000md). The Tarbert Formation has generally moderate to
locally good porosities and permeabilities.
500 1.4 4.0
3.5
B0
400
1.3 3.0
RESERVOIR PRESSURE
GOR (scf/stb)
2.5
300
B0 (rb/stb)
1.2 2.0
Ninian field is approximately 2100 psi overpressured. The original oil
200 1.5 water contact is at 10430 feet TVDSS and the initial reservoir
pressure is approximately 6477 psig at a depth of 9750 feet TVDSS.
1.1 0 1.0
100
0.5
@ 218F
0 1.0 0.0
9500
0 1000 2000 3000 4000 5000 6000 7000
PRESSURE (psig)
CONTROLS ON RECOVERY
10000
In common with all Brent sand reservoirs, oil production from Ninian is accompanied by
DEPTH (feet TVDSS)
0.335 psi/ft
increasing amounts of injected water due to the heterogeneous nature of the vertical sand
sequence. An overall recovery factor of the order of 35 per cent. is to be expected although
this may range from 15 to 50 per cent. on a formation by formation basis. Structural
complexities have dictated the matching and placement of production and water injection
OWC @ 10430 ft TVDSS
wells.
10500
The field can be divided into three areas. These comprise northern and southern sectors 0.45 psi/ft
relative to the main field dividing fault and a complexly faulted eastern horst block. The main
field area can be further sub-divided vertically into two units separated by the impermeable
"Mid Ness" shale. There are consequently five primary reservoir compartments behaving
largely independently of one another.
Recovery from the upper reservoir is expected to be good due to the continuous nature
of the Tarbert and Upper Ness Formations. The lower reservoir, however, exhibits severe 11000
vertical heterogeneity, especially in the Lower Ness channel sands 6300 6400 6500 6600 6700 6800 6900 7000
and locally in the Etive Formation. The Rannoch is of low permeability and in the west of the INITIAL RESERVOIR PRESSURE (psig)
field is non-reservoir. These factors lead to uneven advance of injected water such that by-
passing of oil in moderate to low permeability sands probably occurs.
The horst block to the east of the field is complexly faulted and recovery potential will be
limited by areal communication as well as vertical heterogeneity.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 469 442 463
(feet)
Platform Type steel jacket concrete gravity steel jacket
Function ----------------- drilling/production/ ----------------
accommodation
Well slots 25 42 42
Wells 23 41 42
@
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00%
Net Present Value 4,572.23 2,634.13 1,914.73 1,550.97 1,256.05 911.71 519.50 PRODUCTION PERFORMANCE
Net Present Value (Deflated) 6,961.27 3,635.73 2,380.28 1,743.20 1,227.25 628.43 -40.06 HISTORICAL AND PROJECTED
Profit/Inv Ratio 1.84 1.47 1.26 1.12 1.00 0.83 0.57
Profit/Inv Ratio (Deflated) 0.96 0.64 0.48 0.38 0.29 0.16 -0.01 350 100
NPV/Unit Oil Equiv. 3.86 4.01 3.97 3.91 3.80 3.58 3.04
Liquid
NPV/Unit Oil Equiv. (Deflated) 3.42 2.99 2.58 2.25 1.87 1.21 -0.11
Gas
@@
Payback Year 1980 300
Net Present Value 2,441.07 1,404.19 1,007.67 804.19 637.50 440.69 213.31
Net Present Value (Deflated) 3,343.93 1,489.36 778.35 415.62 121.32 -219.91 -596.87
Profit/Inv Ratio 0.98 0.78 0.66 0.58 0.51 0.40 0.23 200
Profit/Inv Ratio (Deflated) 0.46 0.26 0.16 0.09 0.03 -0.06 -0.18 50
NPV/Unit Oil Equiv. 2.06 2.14 2.09 2.03 1.93 1.73 1.25
@@
NPV/Unit Oil Equiv. (Deflated) 1.64 1.22 0.84 0.54 0.18 -0.42 -1.66 150
Nominal Rate Of Return % 28.45
Real Rate Of Return % 12.96
100
Earnings Data 25
1974 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -305.9 0.0 0.0 0.0
1975 0.0 0.0 0.0 150.0 0.0 0.0 0.0 -150.0 -3,927.4 0.0 0.0 0.0
1976 0.0 0.0 0.0 250.0 0.0 0.0 0.0 -250.0 -4,875.0 0.0 0.0 0.0
1977 0.0 0.0 0.0 375.0 0.0 0.0 0.0 -375.0 -5,810.8 0.0 0.0 0.0
1978 2.1 0.0 5.0 350.0 0.0 0.0 0.0 -352.9 -4,362.9 0.8 0.0 0.0
1979 577.4 6.0 50.0 300.0 0.0 0.0 6.0 221.4 2,339.5 163.3 0.0 0.0
1980 1,313.9 95.0 70.0 225.0 0.0 0.0 95.0 923.8 7,972.6 241.3 0.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1981 2,021.8 182.2 90.0 100.0 0.0 0.0 522.2 1,309.6 8,883.2 303.4 0.0 0.0
1982 2,183.1 234.9 110.0 100.0 408.5 583.5 1,632.9 340.2 1,907.7 317.2 8.0 0.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1983 2,093.5 238.4 115.0 100.0 995.8 356.9 1,632.0 246.5 1,179.2 289.8 13.0 0.0
1984 2,034.5 229.0 120.0 50.0 1,116.3 379.5 1,724.8 139.6 591.4 245.5 7.0 0.0
Pre Corporation Tax 1985 1,774.4 209.5 125.0 50.0 1,029.0 222.4 1,461.0 138.5 517.0 230.7 7.0 0.0
1986 736.2 132.6 130.0 20.0 478.8 176.7 788.1 -201.9 -658.4 205.5 5.0 0.0
Net Present Value 269.38 266.55 260.30 255.12 249.46 240.48 225.23 1987 648.6 68.3 130.0 20.0 307.1 58.6 434.1 64.5 188.2 159.1 1.0 0.0
Net Present Value (Deflated) 273.43 262.37 253.44 247.09 240.60 230.89 215.28 1988 460.1 53.6 130.0 20.0 199.5 50.8 303.9 6.2 16.4 149.6 0.0 0.0
NPV/Unit Oil Equiv. 2.23 2.58 2.74 2.83 2.91 3.01 3.14 1989 541.5 48.5 130.0 20.0 214.4 33.0 296.0 95.5 218.8 134.8 0.0 0.0
1990 525.4 53.4 130.0 20.0 209.5 41.2 304.1 71.3 140.3 110.1 0.0 0.0
Post Corporation Tax 1991 359.7 42.6 130.0 90.0 79.0 40.7 162.3 -22.6 -37.6 87.0 0.0 0.0
1992 277.2 26.8 130.0 100.0 37.8 32.2 96.8 -49.6 -72.2 69.2 0.0 5.6
Net Present Value 165.10 175.73 176.30 175.22 173.34 169.48 161.53 1993 291.4 22.1 123.5 70.0 41.4 19.2 82.6 15.2 19.8 67.0 0.0 14.0
Net Present Value (Deflated) 178.35 179.30 176.43 173.72 170.59 165.41 156.27 1994 289.4 23.1 117.3 20.0 44.9 16.3 84.2 67.9 80.4 66.0 0.0 43.7
NPV/Unit Oil Equiv. 1.37 1.70 1.86 1.94 2.02 2.12 2.25 1995 280.8 22.7 117.5 30.0 47.1 15.8 85.6 47.7 51.0 64.0 0.0 36.0
Total To Start Of Discounting ( 1/JAN/1996)
Earnings Data 16,410.91,688.8 1,953.3 2,470.0 5,209.0 2,026.9 9,711.7 2,276.0 4,055.1 1,060.1 15.0 36.2
Gross Revenue 1,751.00 1,478.67 1,349.47 1,274.40 1,206.82 1,117.43 994.18 1996 289.4 22.6 120.6 20.0 51.6 17.4 91.6 57.2 55.0 63.7 0.0 35.1
Royalty 95.45 90.97 87.44 84.96 82.45 78.70 72.75 1997 293.8 23.4 124.0 0.0 61.3 18.3 103.1 66.7 57.2 60.2 0.0 34.3
Petroleum Revenue Tax 77.02 116.96 129.40 134.58 137.92 140.33 139.83 1998 251.5 21.7 113.7 0.0 52.0 18.1 91.8 46.0 35.1 49.4 0.0 28.8
Corporation Tax 104.28 90.82 84.00 79.90 76.12 71.00 63.70 1999 215.4 18.1 104.8 0.0 39.6 15.8 73.5 37.1 25.2 40.5 0.0 24.3
Capital Expenditure 20.00 19.52 19.24 19.07 18.90 18.65 18.26 2000 184.8 15.5 96.6 0.0 29.2 13.5 58.2 30.0 18.1 33.3 0.0 20.4
Operating Costs 1,289.15 984.68 853.08 780.66 718.09 639.26 538.11 2001 158.9 13.4 89.4 0.0 20.5 11.5 45.3 24.1 13.0 27.4 0.0 17.3
2002 137.0 11.6 78.7 0.0 15.2 9.7 36.5 21.7 10.4 22.6 0.0 14.7
Gross Revenue (Deflated) 1,555.91 1,328.39 1,219.57 1,156.04 1,098.64 1,022.36 916.45 2003 118.4 10.1 69.2 0.0 12.1 8.7 30.9 18.3 7.8 18.7 0.0 12.5
Royalty (Deflated) 93.87 87.65 83.65 81.00 78.40 74.64 68.84 2004 101.9 8.8 60.8 0.0 9.6 7.7 26.0 15.1 5.7 15.4 0.0 10.6
Petroleum Revenue Tax (Deflated) 113.70 135.55 141.16 142.91 143.51 142.83 139.04 Remain
Corporation Tax (Deflated) 95.09 83.07 77.00 73.37 70.02 65.48 59.01 2005 0.0 -49.8 431.3 0.0 -213.9 -16.4 -280.2 -151.1 -51.0 0.0 0.0 0.0
Capital Expenditure (Deflated) 20.00 19.52 19.24 19.07 18.90 18.65 18.26
Operating Costs (Deflated) 1,054.90 823.30 722.08 665.97 617.22 555.35 475.04 Total 1,751.0 95.5 1,289.2 20.0 77.0 104.3 276.7 165.1 176.4 120.9 0.0 72.3
These cash flows include Ninian and Columba fields, plus Lyell, Strathspey and Staffa tariff income
5 10 11 SUMMARY
21 15 1
12
WB 9
2 14 4
6,9 The Pickerill field comprises a complexly faulted structure elongated
1 northwest to southeast located approximately 65 km east of Easington
WEST SOLE 3 WA 22
WAS in the UK sector of the Southern North Sea.
23 29
The field was discovered in 1984 by Well 48/11b-4 and its extent was
47/10 BP 48/6 BP 48/7a BP subsequently delineated by seven appraisal wells prior to the
47/15b British Gas 48/11c British Gas 48/11a 48/ 48/12a 1 commencement of development drilling. The field is located mainly
Arco 12b Mobil
Mob. within Blocks 48/11b and 48/11a although it does extend into Blocks
12
AMETHYST 3 48/11c, 48/12c and 48/17b.
3 Production start up was in September 1992 from the A platform and
1
5
development drilling was subsequently started from the B platform in
48/12d
Mobil 1993. Both platforms are not normally manned, minimal facilities
PICKERILL platforms controlled from shore.
AMETHYST
EAST The Pickerill field has been unitised and following a redetermination
B1D 4
in August 1994, the current interests in per cent. are:
10 11
1
3 8 7y,7 Arco* 30.01
6
4 A BP 20.84
2 9
Conoco 18.24
7 6
2
4
Deminex 4.00
5 B
Mobil 16.18
47/15a BG 48/11b Conoco 48/12c Mobil Sun 9.33
47/20 Shell 2 48/16a BG 8 48/17a EDC 1.40
7 Mobil
1
EXCALIBUR 11 operator *
1 10
0 5 km 3
48/16c Arco 48/17b Mobil
Fluid Properties The Pickerill field is located in the Sole Pit Basin just to the northeast
of the Dowsing Fault Zone in the western part of the Southern North
Gas Gravity S.G.(air=1) 0.63 Sea Basin .
Condensate Gas Ratio (bbl/MMscf) 6.3 The reservoir interval is Rotliegendes sandstones of Lower Permian
Gas Expansion Factor (vol/vol) 218 age and comprise a mixed sequence of fluvial, aeolian and minor
Reservoir Pressure, Pi (psig) 4044 sabkha sediments.
at Datum Depth of (ft TVDSS) 8579 Nearby fields include Amethyst to the west-northwest, West Sole to
Reservoir Temperature (F) 210 the north, Barque to the east and Excalibur to the southeast. All the
known gas accumulations in the area occur in the Rotliegendes Group
Rock Properties sandstones. Reservoir quality in the area is generally poor to moderate
and results from the predominance of fluvial rather than aeolian
Rock Type Sandstone sediments. The reservoir quality of those fields that lie on the western
Stratigraphic Unit Rotliegendes Group side of the Dowsing Fault Zone are of generally better reservoir quality
Geological Age Lower Permian compared to those on the basinward side. This is attributed in part to the
reduced presence of lacustrine and sabkha sediments.
Porosity Range (per cent.) 10-20
Permeability Range (md) 1-250
Connate Water Saturation (per cent.) 40
Gas Water Contact (ft TVDSS) estimated 9087
Depth to top structure (ft TVDSS) approx. 8500
Reserves
Water Depth (feet) 69 The Pickerill field comprises at least three isolated fault blocks as
Production Start Date September 1992 defined from initial reservoir pressure data. Closure is predominantly dip
Peak Gas Production (yrly average) (MMscf/day) 185 in 1993 controlled on the northeastern flank of this elongate structure and dip
Platforms 2 not normally manned and fault controlled on the southwestern flank. Maximum relief on the
steel jackets structure is approximately 600 feet and Rotliegendes reservoir
Number of Wells 12-14 thicknesses range from approximately 110 to 240 feet and generally
Gas Export Pipeline to Theddlethorpe thicken to the southeast. The underlying Carboniferous sediments are
not known to be productive in the area. Rotliegendes reservoir quality is
poor to moderate and shows variable productivity which generally
decreases to the southeast.
The reservoir fluid is a dry gas with a methane content of 91 per cent.
and less than 3 per cent. inert gases. Initial pressure data indicate at
least three different pressure regimes exist, which have separate gas
water contacts. A moderate recovery factor is expected for the field on
the grounds of its high relief despite the moderate to poor reservoir
quality.
First gas was produced in September 1992 from the A platform and
the B platform commenced production in February 1993. Gas is
exported via the A platform to Theddlethorpe. From there the gas is
transported via an onshore pipeline to PowerGen's 900 MW combined-
cycle gas turbine power station at Killingholme.
STRATIGRAPHY AND STRUCTURE
The Pickerill field is a moderate relief faulted anticline that lies on the the Rotliegendes Group sandstones and the cap is formed by a thick section of
UNITED KINGDOM
southwestern margin of the Dowsing Fault Zone and shows a northwest to southeast Zechstein Group evaporites. The Rotliegendes sediment lie unconformably upon
elongation parallel to the regional structural grain. The field is also cut by a number Carboniferous strata that comprise principally shales and coals and are believed to
Pickerill
of northeast to southwest oriented faults and together the two fault trends be the source for the gas.
compartmentalise the reservoir into at least three pressure regimes. Gas is found in
47/15-2 48/11b-4
Feet W E
TERTIARY/QUATERNARY
Chalk Group
2000
4000 JURASSIC
Cromer Knoll Group
TRIASSIC
Zechstein Group
8000
0 1.5 3 km
The Rotliegendes sediments were deposited under semi-arid climatic conditions erosion surface. The middle unit comprises interbedded argillaceous,
in a subsiding intracratonic basin. The principal source of sediment were fluvial discontinuously laminated sandstones and clean cross-bedded sandstones
systems that were sourced from the London Brabant Massif to the southwest and interpreted as interdigitating interdune and dune sandstones. The upper unit
flowed into the desert basin to the northeast. comprises clean largely structureless sandstones that may represent reworking
The Rotliegendes sediments of the Pickerill field may be divided into three basic during the Zechstein transgression or the deposits of sheetflood events. Both the
sedimentary units. The lowermost of these comprises pebbly sandstones and upper units are of variable thickness and the uppermost unit shows cementation
conglomerates which represent fluvial wadi deposits that infilled the Carboniferous developed in its upper intervals.
VF
aeolian sandstones
Geometry
8600
ROTLIEGENDES GROUP
and k
Poor to moderate decreasing towards
top due to cementation
Fluvial/Wadi sandstones
UNDIFFERENTIATED
and mudstones
non-reservoir
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
10000
E
48/11b-6 48/11b-4
Zechstein Gp.
Pickerill
W
47/14a-1
1
1000
Reworked sandstones
capping interdigitating
fluvial and aeolian facies 100
PERMEABILITY (md.)
Aeolian dominated
minor fluvial
sandstones 10
Aeolian
dominated
sandstones
Fluvial/wadi sandstones 1
with minor aeolian sands
tones
Carboniferous
10
48/11b-4
48/11b-6
0.01
0 5 10 15 20 25
Regionally the Rotliegendes sediments thicken gradually towards the southeast and Porosity values are moderate with values in the range 10 to 20
rapidly towards the northeast. Within the field area the northwest to southeast thickening per cent. Permeability values are poor to moderate typically in the
trend predominates. The reservoir interval exhibits overall sheet-like geometries with range 1 to 250 md. Trends in porosity and permeability relationships
extensive internal interdigitisation of aeolian dune, interdune and fluvial sediments. The are controlled by distributions of grain size, sorting and detrital clay
interdune sediments tend to be marginally more argillaceous and less well sorted and content which are controlled by facies distributions. The clean, well-
therefore have poorer reservoir quality. Fluvial sediments are commonly interdigitated with sorted aeolian dune sandstones exhibit better reservoir quality than
aeolian sediments in the lower intervals but become less evident in the central intervals the interdune aeolian sediments which in turn are better quality than
where aeolian sediments dominate. The upper section of the reservoir interval contains both the fluvial sandstones. The Rotliegendes sediments are generally
fluvial and aeolian sediments. Compartmentalisation of the Pickerill field is attributed prone to illite and kaolinite development although data are not
principally to faults and not to reservoir heterogeneity. Net to gross and porosity values show available to specify the degree to which the Pickerill field is affected.
a decrease in magnitude to the southeast as a result of the increased presence of wet Mineral cements cause significant net reservoir reduction,
interdune and fluvial sediments. particularly in the upper reservoir intervals.
The Pickerill field contains a relatively high calorific value dry gas with a methane content Pressure data is available from both drill stem tests and RFT and
of 91 per cent. and less than 3 per cent. inert gases. Condensate gas ratios are moderate indicate reservoir pressures in the range approximately 3950 to 4150
at 6 bbl/MMscf. The composition of a sample taken during well testing is shown below. psia. The data suggest that there exist a number of separate
pressure regimes in the field, some of which may share a common
aquifer. The available data for Well 48/11b-4 and the aquifer
suggests a possible gas water contact at 9087 feet TVDSS at this
location.
1.00
z factor 8000
Composition Well
(mol. %) 48/11b-4
GAS DEVIATION FACTOR Z
CO2 2.06
0.95
N2 0.78
H2S -
8500 0.07 psi/ft
C1 91.16
C2 3.83
DEPTH (feet TVDSS)
C3 0.89
C4 0.42 0.90
C5 0.19
C6 0.12
C7+ 0.55 9000
S.G. (Air=1.0) 0.63
GWC @ 9087 ft TVDSS
C.V. (Btu/scf) 1075
0.85
0 1000 2000 3000 4000 5000
0.5 psi/ft
PRESSURE (psig)
9500
10000
CONTROLS ON RECOVERY
4000 4200 4400 4600
INITIAL RESERVOIR PRESSURE (psig)
The recovery factor is expected to be moderate (70 to 80 per cent.) resulting from:
A and B
UNITED KINGDOM
Water Depth 69
(feet)
Pickerill
Platform Type 2 x 4 leg steel jacket
Function Wellhead Production
Net Present Value 498.26 297.18 214.48 170.66 134.01 89.76 36.97
Net Present Value (Deflated) 427.52 243.56 168.28 128.40 95.03 54.70 6.56
Net Present Value 333.84 192.07 132.97 101.44 74.95 42.80 4.23
Net Present Value (Deflated) 279.76 148.42 94.07 65.12 40.81 11.33 -23.97
Profit/Inv Ratio 1.18 0.75 0.55 0.44 0.33 0.20 0.02
Profit/Inv Ratio (Deflated) 0.86 0.50 0.34 0.24 0.16 0.05 -0.10
NPV/Unit Oil Equiv. 3.51 2.97 2.52 2.19 1.83 1.24 0.16 50
NPV/Unit Oil Equiv. (Deflated) 3.16 2.39 1.84 1.44 1.01 0.33 -0.90
Earnings Data
0
Gross Revenue 1,172.89 773.62 620.73 541.45 475.69 396.39 300.44 1990 1995 2000 2005 2010 2015
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 56.64 34.65 25.90 21.41 17.75 13.50 8.72 Year
Corporation Tax 164.43 105.11 81.51 69.22 59.06 46.96 32.75
Capital Expenditure 283.00 255.91 241.74 233.05 224.89 213.56 196.78
Operating Costs 334.98 185.89 138.61 116.34 99.04 79.56 57.97
Gross Revenue (Deflated) 1,066.70 727.19 592.65 521.62 461.95 388.98 299.00
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 49.27 29.77 22.22 18.37 15.25 11.63 7.55
Corporation Tax (Deflated) 147.77 95.14 74.21 63.28 54.22 43.37 30.53
Capital Expenditure (Deflated) 325.61 295.18 279.24 269.45 260.24 247.45 228.47
Operating Costs (Deflated) 264.29 158.68 122.90 105.40 91.43 75.20 56.43
Post Corporation Tax 1996 122.9 0.0 19.1 0.0 0.0 23.5 23.5 80.3 77.3 0.0 180.0 0.0
1997 105.5 0.0 17.5 0.0 9.6 24.8 34.4 53.6 45.9 0.0 148.6 0.0
Net Present Value 323.11 282.15 261.14 248.60 237.14 221.81 200.39 1998 90.5 0.0 16.2 0.0 0.5 23.0 23.5 50.8 38.7 0.0 122.6 0.0
Net Present Value (Deflated) 295.34 258.36 239.94 229.05 219.12 205.85 187.29 1999 77.6 0.0 15.1 0.0 0.0 20.6 20.6 42.0 28.5 0.0 101.2 0.0
NPV/Unit Oil Equiv. 5.36 5.74 5.90 5.99 6.06 6.15 6.27 2000 66.7 0.0 14.2 0.0 23.2 14.2 37.5 15.0 9.1 0.0 83.6 0.0
2001 57.2 0.0 13.4 0.0 11.8 10.0 21.7 22.1 11.9 0.0 69.0 0.0
Earnings Data 2002 49.0 0.0 12.9 0.0 7.4 9.2 16.6 19.5 9.3 0.0 56.9 0.0
2003 42.1 0.0 12.4 0.0 3.6 8.5 12.1 17.6 7.5 0.0 47.0 0.0
Gross Revenue 801.97 635.09 564.11 525.10 491.31 448.45 392.50 2004 36.1 0.0 12.1 0.0 0.6 7.9 8.5 15.6 5.9 0.0 38.8 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2005 31.0 0.0 11.8 0.0 0.0 7.2 7.2 11.9 4.0 0.0 32.0 0.0
Petroleum Revenue Tax 56.64 46.43 41.10 37.92 35.04 31.23 26.03 2006 26.6 0.0 11.7 0.0 0.0 5.8 5.8 9.0 2.7 0.0 26.4 0.0
Corporation Tax 152.84 128.98 117.30 110.47 104.31 96.19 85.08 2007 22.8 0.0 11.7 0.0 0.0 4.5 4.5 6.6 1.8 0.0 21.8 0.0
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2008 19.6 0.0 11.3 0.0 5.7 2.6 8.3 0.0 0.0 0.0 18.0 0.0
Operating Costs 269.38 177.52 144.57 128.11 114.81 99.22 80.99 2009 16.8 0.0 10.9 0.0 3.2 1.2 4.4 1.6 0.3 0.0 14.9 0.0
2010 14.5 0.0 10.4 0.0 2.2 0.8 3.0 1.0 0.2 0.0 12.3 0.0
Gross Revenue (Deflated) 675.19 550.18 495.54 465.04 438.33 404.00 358.34 2011 12.3 0.0 10.1 0.0 1.3 0.5 1.8 0.4 0.1 0.0 10.1 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2012 10.7 0.0 9.8 0.0 0.6 0.3 0.8 0.0 0.0 0.0 8.4 0.0
Petroleum Revenue Tax (Deflated) 49.27 39.89 35.26 32.54 30.11 26.90 22.54 Remain
Corporation Tax (Deflated) 135.83 115.27 105.36 99.59 94.40 87.53 78.08 2013 0.0 0.0 48.7 0.0 -12.9 -11.9 -24.8 -23.9 -3.2 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 194.75 136.67 114.97 103.86 94.71 83.72 70.42 Total 802.0 0.0 269.4 0.0 56.6 152.8 209.5 323.1 239.9 0.0 361.9 0.0
Fluid Properties The Piper field is located on the north edge of the Witch Ground
Graben at the eastern end of the Moray Firth Basin. To the southwest,
Oil Gravity (API) 36 in Blocks 15/16 and 14/20, the Tartan/Highlander complex of fields also
Gas/Oil Ratio (scf/stb) 350 produces from the Piper Formation which does not exhibit such good
Bubble Point Pressure, Pb (psig) 1630 quality as in the Piper field. Further southeast in Block 15/23 is the
Formation Volume Factor at Pi (rb/stb) 1.23 Galley discovery, which also encountered oil in the Upper Jurassic Piper
Oil Compressibility (vol/vol/psi) 10 x 10-6 and Claymore Sands. Closer by, Saltire and Chanter have been
Original Reservoir Pressure, Pi (psig) 3710 developed as satellites of Piper B in parallel with the Piper Bravo
At Datum Depth of (ft TVDSS) 8000 development. South Piper is a further possible development contender.
Reservoir Temperature (F) 175
Rock Properties
Reserves Piper Saltire Chanter The Piper field comprises three parallel, tilted fault blocks. The
Oil & NGL Gas Oil Gas Oil Gas reservoir is the Upper Jurassic Piper Formation, a high energy, marginal
marine shallow shelf sandstone, which ranges from 170 to 470 feet in
Total Reserves (MMstb, Bcf) 1064 113 100 110 5 30 thickness. Porosities are good and permeabilities very good, giving high
net pay thicknesses. The reservoir contains a low viscosity oil of low
Est. Production to 31.12.95 (MMstb, Bcf) 954 105 34 37 3 16
density. The very high permeability of the reservoir with a strong natural
Remaining Reserves (MMstb, Bcf) 110 8 66 73 2 14
water drive should enable a very high recovery factor to be achieved.
* Includes Saltire and Chanter
Low residual water saturation indicates a high microscopic recovery
factor. However, the layered nature of the reservoir with strong vertical
Production**
permeability contrasts leads to uneven water advance, and premature
water breakthrough in some wells. In 1995, Piper beame deficient in gas
Water depth (feet) 475 and so Saltire gas provides the necessary fuel.
Production Start Date December 1976 Several Piper satellite fields exist. Chanter and Saltire were formerly
Peak Production (Oil and NGL) (stb/day) 285000 known as Southeast Piper and Piper East respectively.
Platform(s) 1 steel + 1 subsea (Chanter) Chanter, some 7 km away from Piper, was discovered by Well 15/17-
Number of Wells - Producers 23 + 1 satellite (Saltire) 13 in September 1985 and has been developed via a single subsea
Water injectors 13 production well tied back to Piper B. It came onstream shortly after
Gas injectors Piper B start-up in 1993. Estimated reserves of Chanter are 5 MMstb oil
Oil and NGL Export Piper-Flotta pipeline and 30 Bcf of gas. Saltire, an oil and gas field was discovered in
Gas Export via Frigg to St. Fergus February 1988 by Well 15/17-16 and also came on stream at about the
pipeline time of the Piper B start-up. It has been developed via a single steel
** Piper only platform, and is remotely controlled from Piper B. Water injection and
gas lift are in place and Saltire is estimated to have 100 MMstb oil and
110 Bcf gas reserves. South Piper is a small oil satellite discovered in
1982 by Well 15/17-9. It may be developed using deviated drilling from
the Saltire platform with a possible production start in 1996. No current
development plans exist for the Westray prospect to the south of
Chanter.
STRATIGRAPHY AND STRUCTURE 1
15/16 15/17
The producing horizon in the Piper field is the Upper
UNITED KINGDOM
PIPER
84
Jurassic Piper Formation. The Piper Formation is of
00
TOP PIPER FORMATION 8500
Upper Oxfordian to Kimmeridgian age and overlies the
volcanic and volcanogenic rocks and delta plain DEPTH STRUCTURE
Piper
sediments of the Middle Jurassic Fladen Group. In 0 1 km
general terms, the Piper field structure can be 4
82
(Contours in feet TVDSS) 8000
00
summarised as comprising three northeasterly dipping,
2A
faulted, tilted, fault blocks, located along the northeastern 0
780
80
7800
margin of the Witch Ground Graben. The three blocks
00
are progressively downthrown towards the southwest, 8400
8400
resulting in subdivision of the field area into three major 6
B
78
compartments. Numerous faults dissect these three
00
8200
major elements and lead to further, more complex
74
O
76
compartmentalisation of reservoir sands. The formation
W
00
74
00
1A
C
00
851
84
is severely truncated on crestal parts of the tilted fault 76
00
00
0
1
blocks. The reservoir sands are sealed by the
Kimmeridge Clay Formation mudstones, or by Lower 5
3
SEDIMENTOLOGY AND DEPOSITIONAL
8400
ENVIRONMENT
91
OWC @ 9200 00
The Piper Formation sediments in the Piper field 7
POST PALEOCENE
2000
4000
PALEOCENE
6000
LOWER CRETACEOUS
10000 Pentland/Rattray Formation
AGE
VF
Geometry
Broad elongate sheetlike sandbodies
oriented subparallel to palaeo-
shorelines, with laterally extensive
mudstones. Transgressive sandstone
will form laterally extensive sheet
UPPER OXFORDIAN - LOWER KIMMERIDGIAN
geometry sandbody.
HUMBER GROUP
and K
of sandstones generally good, K of
sandstones good to very good. and K
8600
(
)
M
8700
15/17-6 15/17-2A
10000
15/17-4
Piper 1000
100
PERMEABILITY (md.)
10
0 15/17-1
15/17-5
100
Unit 3
200 1
300 feet
Unit 2
0.1
15/17-3
Unit 1
0.01
0 10 20 30 40
The threefold subdivision of the Piper Formation into major regressive sequences forms Porosities are typically good, (20 to 27 per cent.) and core
the basis of the reservoir zonation, although additional subdivision is appropriate within Unit permeability is good to very good (250 to 5000 md).
2. Unit 1 ranges in thickness from 25 to 98 feet, forming a sheet-like sediment body The primary controls on porosity and permeability are textural.
thickening towards the northeast. Unit 2 ranges in thickness from 82 to 212 feet. The basal Thus, both porosity and permeability increase with increased grain
Unit 2 mudstones form a laterally extensive barrier to vertical communication. The overlying size, sorting and decreased detrital clay content. Superimposed on
sandstones form an extensive sheet-like sediment body, internally comprising several these controls are the effects of diagenesis, which are mainly
progradational sequences separated by thin mudstones, resulting in the delineation of compaction and porosity enhancement in the Piper field. Porosities
additional reservoir zones. Unit 3 ranges in thickness from 8 to 238 feet. The wide range of clean sandstones typically range between 20 and 30 per cent. and
reflects the varying degree of post-Piper truncation with increasing thickness of section thus compaction has not resulted in severe porosity reduction.
removed towards the crest of tilted fault blocks. The unit thickens to the northeast of the Compaction is most significant in argillaceous sandstones, since
Piper field area. The thin mudstone at the base of the unit forms a vertical permeability grain contact dissolution is most severe where grain-coating detrital
barrier in the northern part of the field area. Elsewhere vertical communication with Unit 2 clays are present. Permeabilities of clean sandstones are generally
sandstones is likely to be good. greater than 500 md and range up to greater than 5000 md. Such
high permeabilities are mainly due to slight to moderate corrosion of
quartz resulting in pore and pore-throat enlargement, and the
FLUID PROPERTIES relatively shallow burial depths of the reservoir sandstones (less
than 10000 feet).
The reservoir fluid is a light oil with a gravity of about 36 degrees API, a gas oil ratio of Quartz overgrowth is the principal cement present, but is not
about 350 scf/stb and a bubble point pressure of about 1630 psig. The reservoir fluid sufficiently abundant to reduce porosity or permeability appreciably.
viscosity is around 0.7 cp. The cement serves mainly to maintain a rigid grain framework. Other
cements are not abundant or widespread enough to have
appreciable detrimental effects on reservoir quality.
RESERVOIR PRESSURE
400 1.4 2.0 The Piper field is divided into two pressure regimes with different
GOR oil water contacts, the main reservoir and the south area reservoir.
Both areas are approximately normally pressured, relative to a
300 1.3 1.5 gradient to surface of 0.45 psi/ft.
B0
GOR (scf/stb)
B0 (rb/stb)
0 (cp)
0 7000
7500
175F
0 1.0 0.0
0 1000 2000 3000 4000 5000 Oil Gradient 0.325 psi/ft
8000
PRESSURE (psig)
DEPTH (feet TVDSS)
9000
CONTROLS ON RECOVERY
The remaining reserves of the Piper field are to be recovered using the Piper Bravo 9500
platform. Large areas of the field are undoubtedly fully swept by injected water and
optimum recovery of the remaining oil presents a significant challenge.
10000
Had the platform not been destroyed, ultimate recovery would have been excellent -
3000 3500 4000 4500 5000
probably over 65 per cent. - due to good sand continuity and well productivity. Future
development, well placement and density will be crucial to optimisation of recovery. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
Water Depth 475 472 469
(feet)
Platform Type steel jacket steel jacket + 1 subsea manifold subsea
Piper
Function drilling/production/ drilling/production/ completion
accommodation accommodation
Accommodation 180 80
Oil Export 30" x 170 km to Flotta 10" x 6.7 km 6" x 11km flexible
pipeline to Piper flowline to Piper B
Bravo
Gas Export 18" x 55 km line to Frigg-St. Fergus 16" x 6.7 km pipeline 6" x 11km flexible
(An Elf-Enterprise Photograph) pipeline at MCP-01 to Piper Bravo, then flowline to Piper B
via MCP-01 to
St. Fergus
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@
@
Average Annual Daily Liquid Rate (Mbbl/day)
@@@
Net Present Value 2,204.92 1,338.07 1,035.89 884.25 760.53 613.28 437.21
Net Present Value (Deflated) 4,791.74 3,108.38 2,448.72 2,099.74 1,805.57 1,444.39 997.60
Profit/Inv Ratio 1.27 1.40 1.45 1.46 1.46 1.44 1.34 100 50
Profit/Inv Ratio (Deflated) 1.27 1.22 1.15 1.09 1.04 0.94 0.78
NPV/Unit Oil Equiv. 2.04 2.13 2.18 2.21 2.23 2.26 2.28
NPV/Unit Oil Equiv. (Deflated) 2.14 2.16 2.16 2.14 2.12 2.07 1.94
Earnings Data
0 0
Gross Revenue 15,251.45 8,695.04 6,474.27 5,390.65 4,529.40 3,540.16 2,425.60 1975 1980 1985 1990 1995 2000 2005 2010
Royalty 1,623.35 937.36 697.20 578.79 484.28 375.51 253.25
Petroleum Revenue Tax 6,270.26 3,590.30 2,639.02 2,169.59 1,795.65 1,367.49 891.96 Year
Corporation Tax 1,872.57 1,084.27 806.60 669.56 560.15 434.25 292.73
Capital Expenditure 1,730.00 954.18 714.40 604.01 519.84 427.17 327.10
Operating Costs 1,029.52 456.53 322.24 265.20 222.72 175.87 123.58
Gross Revenue (Deflated) 29,761.76 18,434.70 14,259.65 12,137.18 10,402.87 8,350.60 5,944.44
Royalty (Deflated) 3,153.94 1,936.88 1,484.45 1,254.61 1,067.30 846.75 590.83
Petroleum Revenue Tax (Deflated) 11,667.14 6,951.27 5,211.32 4,335.50 3,628.06 2,805.44 1,871.97
Corporation Tax (Deflated) 3,655.25 2,246.11 1,720.61 1,453.42 1,235.56 978.89 680.81
Capital Expenditure (Deflated) 3,773.66 2,557.55 2,131.70 1,918.37 1,744.24 1,535.90 1,281.30
Operating Costs (Deflated) 1,634.23 936.29 721.57 616.91 532.32 432.08 312.57
CASH FLOW REPORT
Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1973 0.0 0.0 0.0 16.0 0.0 0.0 0.0 -16.0 -579.5 0.0 0.0 0.0
1974 0.0 0.0 0.0 47.0 0.0 0.0 0.0 -47.0 -1,437.8 0.0 0.0 0.0
1975 0.0 0.0 0.0 68.0 0.0 0.0 0.0 -68.0 -1,780.4 0.0 0.0 0.0
1976 12.9 0.0 5.0 129.0 0.0 0.0 0.0 -121.1 -2,360.5 5.2 0.0 0.0
1977 581.2 30.6 30.0 98.0 0.0 0.0 30.6 422.6 6,548.3 181.5 0.0 0.0
1978 690.5 72.4 30.0 110.0 16.7 71.5 160.6 389.8 4,819.8 264.4 0.0 0.0
1979 1,005.1 97.2 46.5 57.0 294.8 197.3 589.3 312.2 3,298.4 285.1 10.6 0.0
1980 1,242.6 130.0 65.0 43.0 541.6 180.6 852.2 282.4 2,437.1 228.1 33.9 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1981 1,453.3 156.8 74.8 29.0 667.5 179.7 1,241.2 108.3 734.8 217.7 32.9 13.2
1982 1,427.2 167.7 83.9 23.0 581.9 168.0 1,175.6 144.6 811.1 207.3 26.5 12.3
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 1983 1,498.3 170.0 93.1 20.0 937.2 165.8 1,298.8 86.4 413.6 207.3 21.2 22.6
20.00% 1984 1,552.1 178.0 104.6 12.0 871.9 181.1 1,231.0 204.5 866.3 186.6 31.8 28.4
1985 1,488.7 178.6 105.3 13.0 842.1 175.5 1,196.2 174.2 650.4 191.8 36.1 58.5
Pre Corporation Tax 1986 672.5 124.5 104.5 14.0 421.0 151.1 696.6 -142.5 -464.8 181.5 30.8 63.8
1987 707.4 77.6 73.6 15.0 382.0 58.5 518.1 100.7 293.9 165.9 24.4 93.0
Net Present Value 351.94 326.66 312.24 303.08 294.30 281.86 263.08 1988 225.5 52.6 36.2 11.0 160.2 52.9 265.6 -87.3 -230.7 67.4 8.5 53.4
Net Present Value (Deflated) 338.13 312.72 298.67 289.85 281.47 269.68 252.00 1989 29.6 12.0 10.0 5.0 19.9 17.7 49.6 -35.0 -80.2 0.0 0.0 89.6
NPV/Unit Oil Equiv. 3.15 3.39 3.51 3.58 3.64 3.72 3.84 1990 44.8 0.0 -287.0 330.0 0.0 4.2 4.2 -2.4 -4.8 0.0 0.0 130.8
1991 45.3 0.0 -315.0 370.0 0.0 83.4 83.4 -93.1 -154.9 0.0 0.0 127.4
Post Corporation Tax 1992 45.1 0.0 -148.5 185.0 0.0 67.1 67.1 -58.4 -85.1 0.0 0.0 122.4
1993 267.3 10.8 0.4 80.0 21.6 9.4 41.7 145.1 188.6 53.4 6.0 132.6
Net Present Value 272.29 254.59 244.08 237.30 230.73 221.36 207.04 1994 350.8 23.9 74.4 30.0 107.7 17.3 148.9 97.5 115.4 79.0 11.0 146.3
Net Present Value (Deflated) 263.23 244.70 234.22 227.57 221.20 212.21 198.61 1995 391.1 29.3 75.4 25.0 114.5 11.8 155.7 135.1 144.6 90.0 13.5 120.3
NPV/Unit Oil Equiv. 2.44 2.64 2.74 2.80 2.85 2.92 3.02 Total To Start Of Discounting ( 1/JAN/1996)
13,731.3 1,512.1 262.2 1,730.0 5,980.6 1,792.9 9,806.5 1,932.6 14,143.3 953.5 104.8 443.3
Earnings Data
1996 322.5 28.2 73.8 0.0 104.3 24.0 156.4 92.2 88.7 70.8 9.5 102.3
Gross Revenue 1,520.11 1,300.52 1,196.26 1,135.61 1,080.91 1,008.40 907.97 1997 274.0 21.7 75.5 0.0 83.1 17.7 122.6 75.9 65.0 55.8 6.4 86.5
Royalty 111.22 98.25 91.70 87.76 84.14 79.22 72.19 1998 220.9 16.7 77.5 0.0 59.3 15.9 91.9 51.6 39.3 43.8 4.0 62.9
Petroleum Revenue Tax 289.63 274.91 265.24 258.75 252.34 242.97 228.32 1999 179.0 13.9 79.7 0.0 38.4 11.5 63.8 35.5 24.1 34.5 2.1 46.4
Corporation Tax 79.65 72.07 68.16 65.78 63.56 60.51 56.04 2000 142.2 11.8 77.9 0.0 23.2 7.4 42.3 21.9 13.2 27.1 0.0 29.8
Capital Expenditure 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2001 111.5 9.1 77.0 0.0 12.0 3.7 24.7 9.8 5.2 21.4 0.0 13.9
Operating Costs 767.32 600.69 527.08 486.01 450.14 404.34 344.37 2002 89.4 7.0 60.1 0.0 9.4 0.1 16.5 12.8 6.1 16.8 0.0 7.8
2003 72.8 5.5 59.3 0.0 4.0 0.4 9.9 3.5 1.5 13.2 0.0 5.6
Gross Revenue (Deflated) 1,364.97 1,181.36 1,093.32 1,041.79 995.12 932.91 846.05 2004 59.4 4.0 54.9 0.0 0.5 -1.1 3.4 1.1 0.4 10.4 0.0 4.0
Royalty (Deflated) 102.57 91.03 85.21 81.71 78.49 74.12 67.87 2005 48.5 3.1 42.8 0.0 0.0 0.0 3.1 2.6 0.9 8.2 0.0 2.9
Petroleum Revenue Tax (Deflated) 283.56 266.49 256.27 249.63 243.19 233.95 219.76 Remain
Corporation Tax (Deflated) 74.90 68.01 64.46 62.29 60.27 57.48 53.39 2006 0.0 -9.7 88.8 0.0 -44.5 0.0 -54.2 -34.6 -10.4 0.0 0.0 0.0
Capital Expenditure (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Operating Costs (Deflated) 640.70 511.13 453.17 420.59 391.96 355.15 306.42 Total 1,520.1 111.2 767.3 0.0 289.6 79.7 480.5 272.3 234.2 110.2 8.0 132.2
These cash flows include Piper field only, plus tariff income from Saltire, Chanter, Tartan, Highlander, Petronella, Ivanhoe/Robroy and
Scapa
42/24 Phillips 42/25 BP 43/21 Bow Valley SUMMARY
0 5 km
The Ravenspurn North field is located approximately 65 km
northeast of Easington in the UK sector of the Southern North Sea. The
field was discovered by Hamilton Oil Company in 1984 with Well
43/26a-1. Subsequent appraisal and development drilling showed an
extensive northwest-southeast elongated structure that extends into
42/29 BP 42/30 BP 43/26b Hamilton 43/27 Block 42/30 to the west. During early appraisal the Ravenspurn North
Hamilton
and South fields were thought to be the same structure. As a result the
two fields are being treated as one for tax purposes. Ravenspurn North
3 6 5 RAVENSPURN
NORTH came on stream in October 1990 and has been developed using four
6,7,8 platforms. The central processing platform is of concrete with three legs.
7 9
ST3 4 The accommodation and processing module was placed on two of the
3
7 JOHNSTON legs while the compression module was installed on the third leg two
RC 1 1 3 years later. A total of 41 wells have been drilled in the field.
2 9 RB ST2 8
5 2 2 5
CP 1 The current interests in the Ravenspurn North field in per cent. are:-
CW RA
CP WT 6 2
4 4 Arco 20.00
CLEETON RAVENSPURN 43/26a Hamilton
5 SOUTH BP 20.00
48/1 Amerada Hess 48/2a Amoco
4 Enterprise 16.00
6 4 Hamilton (BHP)* 18.00
NEPTUNE 47/5a BP
Hardy 8.00
47/4b BG
1 PowerGen 12.00
47/4a BG 2 Monument 6.00
1 BABBAGE
47/5b Arco 2
operator *
5
Fluid Properties Ravenspurn North lies in the northern part of the Southern Gas
Basin. The Ravenspurn South and Cleeton fields are located some 3
Gas Gravity S.G.(air=1) 0.60 km to the southwest and contain gas in the Lower Permian
Condensate Gas Ratio (bbl/MMscf) Rotliegendes sandstone. The Rough and West Sole fields also contain
Gas Expansion Factor (vol/vol) 236 gas in the Rotliegendes sandstone and lie approximately 30 km to the
Reservoir Pressure, Pi (psig) 4542 southwest and south respectively. The nearest fields to the north and
at Datum Depth of (ft TVDSS) 10150 northeast are those of the Esmond Complex which contain gas in the
Bunter Sandstone of Lower Triassic age. The field lies close to the
Reservoir Temperature (F) 219
northerly margin of the Leman Sandstone Formation close to the
Silverpit Lake and consequently is one of the most northerly
Rock Properties
Rotliegendes reservoirs of the Southern North Sea Gas Basin.
Rock Type Sandstone
Stratigraphic Unit Rotliegendes Group
Geological Age Lower Permian
Porosity Range (per cent.) 5-25
Permeability Range (md) 0.01-1000
Connate Water Saturation (per cent.) 40
Lowest Gas (ft TVDSS) 10255-10292
Highest Gas (ft TVDSS) approx. 9700
Ravenspurn North
43/26b
RAVENSPURN NORTH The Ravenspurn North field structure comprises two en-
UNITED KINGDOM
TOP LEMAN echelon northwest to southeast trending elongated tilted
DEPTH STRUCTURE fault blocks whose long axes dip to the southeast. The two
0 4 km
major fault blocks are separated by a major normal fault
GWC 10294
10 that downthrows up to 1100 feet to the southwest. Closure
00
0 (Contours in feet TVDSS)
5 to the northeast and southeast is controlled by dip, whereas
105 to the northwest closure is stratigraphic and to the
00
100 southwest faulted. Lateral seal across faults is formed by
98
00
00
6
100 102
the overlying Silverpit mudstones. The field is divided into
00 00
GWC 10292 at least three separate gas pools that are full to spill. The
field is separated from the Ravenspurn South field by a
10 7 100
00
0 00 7 major anastomising strike slip fault system.
3 Gas is encountered in the Lower Leman Sandstone
10 Formation at the base of the Rotliegendes Group at a depth
102 20
1 00 0
98
00
100
00
3 of approximately 10000 feet TVDSS. The thickness of the
96 100 reservoir interval varies between 250 and 300 feet and was
00 10 00 5
10
1 30
0
unconformably deposited upon Carboniferous strata of
30 10
0 00
0 Namurian age. Overlying the Leman sandstone are some
10
400 feet of Silverpit Formation mudstones which form the
00
2 2
0
cap rock for the reservoir. Above this are the evaporites and
4 6 carbonates of the Permian Zechstein Group. The
102 underlying Carboniferous is not thought to be of reservoir
00
potential but is considered to be the source for the gas.
42/30 43/26a
47/5a 48/1
GWC 10292 GWC 10255
The Ravenspurn North field lies in the northwestern part of the Sole Pit area and structures. Thin bedded argillaceous sandstones and mudstones represent sabkha
exhibits a complex geological history which has been strongly controlled by the and playa lake sediments.
dominant tectonic trends. These structural features were established during the late Lower Leman sandstone deposition involved the infilling of topographic lows in
Carboniferous and Early Permian. The Variscan orogeny controlled Leman the Variscan unconformity surface. Dune migration was towards the northwest and
sandstone provenance and early Permian extensional faulting controlled ephemeral fluvial systems cut across the lake margin area perpendicular to the dune
depositional patterns during early Rotliegendes deposition. migration direction. The proximity to the Silverpit lake resulted in the strong control
The Rotliegendes Group in the Ravenspurn North and South area consists of an of water table on sedimentation patterns. High water levels resulting in the deposition
interbedded series of fluvial, aeolian, sabkha and playa lake sediments which were of sabkha and playa lake sediments and low levels initiating dune migration.
deposited in a continental semi-arid desert environment. The sequence was Subsequent fluvial and aeolian events caused extensive reworking of sediment.
deposited close to the margins of the Silverpit lake which was located in the centre Following the deposition of the Lower Leman Sandstone, the Silverpit lake expanded
of the desert basin. The sediments comprise fine to locally coarse grained and locally southwards and a thick muddy lacustrine unit was deposited.
argillaceous sandstones and were deposited by primarily fluvial and aeolian The Upper Leman Sandstone Formation is not present in the area of the
processes. Fluvial sediments are generally poorly sorted and often structureless, Ravenspurn North and South fields.
whereas aeolian sediments are well sorted and show typical dune and dune base
LITH INTERPRETATION
MUD
VF
30 0 0.01 100 5 25 45 0
SILVERPIT FM.
k variable
Fluvial and aelian dune sandstones minor
sabkha sandstones and playa lake
mudstones
Geometry
laterally extensive sheet sandstones
10300
and k
moderate to variable
k generally poor to moderate - locally high
10400
CARB.
Ravenspurn North
10000
43/26-3
43/26-1 SE
42/30-4
43/26-2 43/26-5
La 1000
ke
ma
flu rg
via a in 1
l s nd sabk
Rotliegendes Group
he ha
etf
loo
NW e d
Permian
lak
PERMEABILITY (md.)
fluvia and e
l she
etflo
od od
tflo
ee e
l sh ya lak
via
Flu d pla 10
a n 0
Carb
50
1. Silverpit Formation
100 feet
1
Seven facies types are recognised in the Ravenspurn North area. These reflect 0.1
variations in the proportions of clean sandstone, argillaceous sandstone and mudstone and
show markedly contrasting reservoir quality. The facies are predominantly fluvial and
43/26-2
sabkha types in the northwest of the field but exhibit an increasing aeolian influence towards
43/26-3
the southeast. The sandstone units are generally laterally continuous across the field but
43/26-5
show a lateral heterogeneity. Mudstone units are thought to be of restricted lateral extent. 0.01
The reservoir as a whole exhibits a complex internal architecture resulting from the 0 10 20 30
interstratification and stacking of aeolian, fluvial sheetflood and sabkha sediments and the
POROSITY (per cent.)
more localised deposition of fluvial channel sediments. Localised playa lake mudstones are
not considered to present major barriers to vertical continuity due to their restricted lateral
extent. Porosities in the Ravenspurn North field vary from poor to good
The reservoir interval may be broadly subdivided into a lower distal fan, fluvial, playa lake (5 to 25 per cent.) and average about 12 to 14 per cent. The better
and dune sequence capped by a significant development of lake margin sabkha sediments porosities are seen in the central, aeolian dune dominated
and an upper more dune dominated fluvial and sabkha sequence. The upper of these two sequence of the interval, and in the southeastern areas of the field.
units develops a strongly sabkha and playa lake influenced sequence at its top and Permeabilities are highly variable but tend to be low and range from
develops into the Silverpit Formation. The overall thickness of the Lower Leman Sandstone very poor to good (0.01 to 1000+ md). Trends in porosity are
Formation thins to the northwest where they shale out into younger Silverpit mudstones. controlled by primary textural features and are facies related. A
Reservoir quality is much poorer in this northwestern area. weak bimodality of poroperm characteristics may be observed in
the porosity/permeability crossplot and reflects the broad division
between fluvial and dune dominated sediments. Later diagenetic
processes have altered the distribution of porosity types and
authigenic clay types across the field. Porosity and permeability
reduction in Block 42/30 is the result of a lesser proportion of
aeolian dune sediments and a greater abundance of pore filling illite
in the west. The complex history of illitisation has resulted from
FLUID PROPERTIES variable early charging of the reservoir and resultant preservation of
primary poroperm relationships. These relationships are best
The field contains a dry gas of gravity 0.60 with a wet gas calorific value of 995 BTU/SCF. preserved in fault blocks located in the southeast of the field.
The gas is a dry gas with a minimal liquid yield of 1 stb/MMscf. It has approximately 2.5 mole
per cent. nitrogen and 1.2 mole per cent. carbon dioxide.
1.10
GAS DEVIATION FACTOR Z
0.90
0 1000 2000 3000 4000 5000 10000
PRESSURE (psig)
10100
0.08 psi/ft
DEPTH (feet TVDSS)
10200
CONTROLS ON RECOVERY
GWC @ 10255 ft TVDSS
Recovery from the Ravenspurn North field is expected to be poor to moderate.
GWC @ 10292 ft TVDSS
The major controls on recovery are as follows: 10300
highly variable reservoir quality, ranging from very poor to good, with most of the gas
contained in poor quality reservoir 0.5 psi/ft
10400
reservoir deterioration to the north and northwest should restrict water influx
faults to the southeast and east should restrict water influx
highly heterogeneous reservoir architecture with laterally restricted high
permeability zones 10500
compression facilities installed to allow for low pressure at abandonment 4450 4550 4650 4750
hydraulic fracturing of poor reservoir areas greatly enhancing well productivity INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
Ravenspurn North
Ravenspurn North Johnston
UNITED KINGDOM
CPP WT1 ST2, ST3 Subsea
Template/Manifold
Water Depth
(feet) 141 141 141 125
Net Present Value 709.15 353.94 212.23 140.75 83.68 19.01 -50.13
PRODUCTION PERFORMANCE
Net Present Value (Deflated) 549.75 211.15 84.61 22.08 -27.22 -82.31 -139.70 HISTORICAL AND PROJECTED
Profit/Inv Ratio 1.19 0.69 0.45 0.31 0.20 0.05 -0.14
Profit/Inv Ratio (Deflated) 0.74 0.33 0.14 0.04 -0.05 -0.16 -0.31 300
NPV/Unit Oil Equiv. 3.55 2.89 2.23 1.72 1.18 0.33 -1.17
NPV/Unit Oil Equiv. (Deflated) 2.98 1.78 0.89 0.27 -0.38 -1.38 -3.09
Earnings Data
1988 0.0 0.0 0.0 40.0 0.0 0.0 0.0 -40.0 -105.7 0.0 0.0 0.0
1989 0.0 0.0 0.0 145.0 0.0 0.0 0.0 -145.0 -332.1 0.0 0.0 0.0
1990 33.9 0.0 11.8 150.0 0.0 0.0 0.0 -127.9 -251.6 0.0 69.0 0.0
1991 125.3 0.0 29.5 105.0 0.0 0.0 0.0 -9.2 -15.3 0.0 246.2 0.0
1992 134.3 0.0 31.0 60.0 0.0 0.0 0.0 43.3 63.1 0.0 255.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1993 151.0 0.0 33.2 75.0 0.0 0.0 0.0 42.8 55.6 0.0 276.9 0.0
1994 109.9 0.0 28.9 10.0 0.0 0.0 0.0 71.0 84.0 0.0 193.0 1.8
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1995 92.2 0.0 27.0 0.0 0.0 3.3 3.3 61.9 66.2 0.0 150.0 8.3
Total To Start Of Discounting ( 1/JAN/1996)
Pre Corporation Tax 646.5 0.0 161.4 585.0 0.0 3.3 3.3 -103.1 -435.9 0.0 434.4 3.7
Net Present Value 809.01 715.59 655.55 618.05 583.23 536.30 471.10 1996 156.6 0.0 34.0 0.0 0.0 7.1 7.1 115.5 111.2 0.0 250.0 8.3
Net Present Value (Deflated) 750.11 644.82 588.96 555.60 525.25 484.89 429.32 1997 162.8 0.0 35.4 0.0 0.0 29.6 29.6 97.9 83.8 0.0 250.0 8.3
NPV/Unit Oil Equiv. 6.34 7.33 7.68 7.84 7.97 8.10 8.24 1998 156.2 0.0 35.4 0.0 0.0 34.0 34.0 86.9 66.3 0.0 230.0 8.3
1999 141.3 0.0 34.6 0.0 0.0 33.8 33.8 72.9 49.5 0.0 199.0 8.3
Post Corporation Tax 2000 127.9 0.0 34.0 0.0 0.0 30.7 30.7 63.3 38.2 0.0 172.2 8.3
2001 115.0 0.0 33.5 0.0 0.0 27.6 27.6 53.9 29.0 0.0 149.0 7.0
Net Present Value 578.27 519.56 480.39 455.63 432.49 401.06 356.96 2002 103.4 0.0 33.2 0.0 0.0 24.3 24.3 45.9 21.9 0.0 128.9 6.0
Net Present Value (Deflated) 542.98 474.28 437.18 414.84 394.41 367.07 329.08 2003 92.9 0.0 33.1 13.2 4.6 21.2 25.8 20.8 8.8 0.0 111.5 5.0
NPV/Unit Oil Equiv. 4.53 5.32 5.63 5.78 5.91 6.06 6.24 2004 83.6 0.0 33.2 0.0 6.6 15.3 21.9 28.4 10.8 0.0 96.5 4.3
2005 75.2 0.0 33.3 0.0 2.8 12.5 15.3 26.6 9.0 0.0 83.5 3.7
Earnings Data 2006 67.4 0.0 33.6 0.0 0.4 11.8 12.1 21.7 6.5 0.0 72.2 3.0
2007 60.8 0.0 34.0 0.0 0.0 10.1 10.1 16.7 4.5 0.0 62.5 2.7
Gross Revenue 1,664.92 1,219.41 1,045.07 953.26 876.05 781.20 662.61 2008 52.6 0.0 33.1 0.0 0.0 8.0 8.0 11.5 2.7 0.0 54.1 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2009 47.3 0.0 32.1 0.0 0.0 5.8 5.8 9.4 2.0 0.0 46.8 0.0
Petroleum Revenue Tax 9.62 9.04 7.71 6.80 5.95 4.83 3.40 2010 42.6 0.0 31.3 0.0 0.0 4.6 4.6 6.7 1.3 0.0 40.5 0.0
Corporation Tax 230.74 196.03 175.17 162.42 150.74 135.24 114.14 2011 38.3 0.0 30.6 0.0 5.8 2.5 8.3 -0.6 -0.1 0.0 35.0 0.0
Capital Expenditure 13.19 9.15 7.40 6.45 5.64 4.62 3.36 2012 34.5 0.0 29.8 0.0 2.6 1.0 3.6 1.1 0.2 0.0 30.3 0.0
Operating Costs 833.10 485.63 374.40 321.96 281.23 235.45 184.75 2013 31.0 0.0 27.8 0.0 1.7 0.6 2.3 0.9 0.1 0.0 26.2 0.0
2014 27.9 0.0 25.9 0.0 1.1 0.4 1.5 0.5 0.1 0.0 22.7 0.0
Gross Revenue (Deflated) 1,313.45 1,006.25 880.93 813.41 755.67 683.39 590.60 2015 25.1 0.0 24.4 0.0 0.5 0.2 0.7 -0.0 -0.0 0.0 19.6 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2016 22.6 0.0 20.1 0.0 1.1 0.0 1.1 1.4 0.1 0.0 17.0 0.0
Petroleum Revenue Tax (Deflated) 9.59 7.29 5.93 5.13 4.43 3.55 2.47 Remain
Corporation Tax (Deflated) 207.13 170.54 151.78 140.75 130.84 117.82 100.24 2017 0.0 0.0 170.9 0.0 -17.6 -50.3 -67.9 -103.0 -8.6 0.0 0.0 0.0
Capital Expenditure (Deflated) 10.00 6.94 5.61 4.89 4.27 3.51 2.55
Operating Costs (Deflated) 543.75 347.20 280.44 247.79 221.71 191.43 156.26 Total 1,664.9 0.0 833.1 13.2 9.6 230.7 240.4 578.3 437.2 0.0 765.6 26.8
These cash flows include Ravenspurn North plus Johnston tariff income
47/2 Amerada 47/3a 47/3e 47/3b 2 47/4a SUMMARY
Amerada BP BG BG
8
The Rough field is located in Blocks 47/8b and 47/3d, approximately
7 5
9 30 km off the Yorkshire coast, in the UK sector of the Southern North
Sea. The field was discovered by Gulf Oil Company in May 1968 with
YORK APOLLO Well 47/8-1 which encountered gas in Rotliegendes sandstones. The
4
1 field was brought onstream as a conventional gas field in 1975 by a
3
consortium which included Amoco, British Gas Corporation, Amerada
3d BGC Hess and Texas Eastern.
In March 1980 the British Gas Corporation bought out its partners'
interests in the Rough field and subsequently developed the field as a
CD storage reservoir to meet peak winter gas demands. First injection into
BP the reservoir began in July 1985.
AP
47/7 Rel. 47/8a Amoco 9c To convert Rough from production to storage, three platforms were
ROUGH BD 1 AD Mustang added to the original two platforms. One is processing and the other two
2
are drilling, with 19 wells now drilled. In theory, Rough provides a
storage capacity of 80 Bcf although the amount in practice may be
8b BG greater. With injection equipment and 33000WP of compression the
9b BG field can accept gas up to 500 MMscf/d for storage.
2
3
0 4 km 9a BG
LOCAL SETTING
The Rough field is located in the west of the Southern North Sea
Basin, to the southwest of the Dowsing Fault Zone. The field is the most
westerly field of the Southern North Sea. Gas is found in Rotliegendes
sandstones which comprise mixed fluvial and aeolian sediments.
However, gas bearing non-productive Carboniferous sandstones
underlie the reservoir. The field is located beyond the southwestern limit
RESERVOIR CHARACTERISTICS of influence of the Silverpit Lake.
A number of accumulations and reservoirs have been identified in
Fluid Properties this area. These are all Rotliegendes sandstone reservoirs. The
reservoir quality of the Rough field is uncharacteristically good for this
Gas Gravity S.G. (air =1) 0.63 area. Fields of the Sole Pit to the east, such as West Sole, exhibit poor
Condensate Gas Ratio (bbl/MMscf) 7 permeabilities and Amethyst to the southeast has moderate to poor
Gas Expansion Factor (vol/vol) 250 reservoir characteristics.
Reservoir Pressure Pi (psig) 4518
at Datum Depth of (ft TVDSS) 9200
Reservoir Temperature (F) 200
Rock Properties
UNITED KINGDOM
TOP ROTLIEGENDES relief, west northwest to east southeast trending faulted
DEPTH STRUCTURE anticline to the southwest of the Dowsing Fault Zone.
The gas is found in the Permian, Leman Sandstone
Rough
0
960
0 2 km
Formation (Rotliegendes Group) which is encountered
9400 (Contours in feet) at a depth of 9000 feet TVDSS towards the crest of the
structure. Sandstones in the underlying Carboniferous
9400
94
00 section may make a minor contribution to the Rough
GWC 9450 reservoir. The gas water contact is estimated to be at
9300
9450 feet TVDSS and the reservoir section averages
930
CD 100 feet thick (ranging from 80 to 117 feet).
0
BP
The Rough field structure shows dip closure at about
47/7 BD
9450 feet TVDSS, to the northwest. The major bounding
1 9200 00
93 faults have throws of up to 1100 feet in the southeast,
47/8b AP decreasing to the northwest. Faults also occur within the
47/8a AD
field (throws of up to 150 feet) and are generally
93
00
920 confined to the south eastern corner. The reservoir is
0 9100
9200
9000 sealed by the overlying Zechstein Group evaporites.
9100 00
91
2
0
920
CORE
DEPTH (feet)
AGE
VF
B C P 40 0 0.1 10000 5 25
ROTLIEGENDES GROUP ZECHSTEIN GP
Geometry
Laterally extensive, non reservoir sediments
9250
and K
and K moderate to good, locally poor.
Distal braidplain / inland sabkha and minor
aeolian sandstones.
Geometry
Laterally extensive sheet.
and K as above.
CARBONIFEROUS
and sandstones.
UNDIFF.
Geometry
Laterally extensive non reservoir mudstones
with interbedded sheet like to lenticular
sandbodies.
and K
and K of sandstones moderate.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
10000
SE
Dominantly aeolian sandstones 47/8-2
NW Dominantly fluvial sandstones and conglomerates
47/8-1
Rough
Zechstein Group
1000
CARBONIFEROUS
Dominantly fluvial sandstones with aeolian reworking
0
100
The recognition of the sedimentary units in the three fold sub-division of the Leman
PERMEABILITY (md.)
Sandstone Formation can be difficult. Although correlation and layering are possible,
significant laterally extensive restrictions to vertical flow between sedimentary units are
10
absent. Rotliegendes reservoir sandstones have an overall sheet geometry, but with a
complex internal architecture resulting from the interstratification of laterally extensive
sheetflood and aeolian sandstones and more laterally restricted channel fill sandbodies.
The Carboniferous sediments, however, form a separate layer, within which sand bodies are
likely to be laterally and vertically restricted within non reservoir lithologies. Vertical
1
connectivity with the overlying Rotliegendes sandstones is likely to be poor.
The thickness of the Leman Sandstone Formation ranges from about 80 to over 100 feet,
generally thickening to the northeast across the field. Carboniferous sandbodies are
generally less than 50 feet thick, but limited data precludes prediction of thickness
distribution and trends in the Rough field area.
0.1
0.01
0 10 20 30
FLUID PROPERTIES Porosity values are poor to good, but values are typically
moderate (10 - 20 per cent.). Permeability values are poor to good,
The initial fluid in the Rough field was a dry gas with a condensate gas ratio of but predominantly good (100 - 1000 md). On a field scale, trends in
approximately 7 bbl/MMscf. This is a higher yield than from similar reservoirs in the porosity and permeability values are controlled by the primary
Southern North Sea. textural characteristics of grain size, sorting and detrital clay content,
A typical separator gas composition is listed below: and hence facies distribution. As a result, aeolian dune sandstones
have better reservoir quality compared to the fluvial sandstones. A
burial related diagenetic overprint is evident in all facies types,
although the more argillaceous, fluvial and sabkha sandstones show
more porosity and permeability reduction due to compaction. Blocky
COMPOSITION 1.05
(mol. %) 47/8-A3 anhydrite, quartz and dolomite cements may locally reduce reservoir
quality, especially at the base and top (sub-Zechstein) of the
CO2 0.58 Rotliegendes. Porosity values may be slightly enhanced by
GAS DEVIATION FACTOR Z
N2 2.52
H2S - Zi = 0.97 secondary porosity resulting from grain and cement dissolution.
C1 91.20
C2 3.70
C3 0.86 0.95
C4 0.36
C5 0.23
C6 0.10
C7+ 0.45
S.G. (AIR=1.0) 0.63
C.V. (Btu/scf) 1039
@ 200 F (from correlation) RESERVOIR PRESSURE
0.85
0 1000 2000 3000 4000 5000
The Rough field had an initial reservoir pressure of 4518 psig at
PRESSURE (psig)
9200 feet TVDSS which is slightly overpressured compared with
other fields in the Southern North Sea. The field was switched to
storage mode when the pressure had declined to 2800 psig. No gas
water contact has been encountered in the Rotliegendes sandstones
but gas has been recorded down to 9400 feet. A gas water contact
has been encountered at 9450 ft TVDSS in Carboniferous sands
which may apply to the Rotliegendes reservoir.
8500
CONTROLS ON RECOVERY
Were the Rough field to be depleted as a normal gas field, recovery would be very good,
resulting from: 9000
0.08 psi/ft
DEPTH (feet TVDSS)
The favourable reservoir characteristics, together with its proximity to the UK coastline and
reservoir size made the Rough field particularly suitable for use as a gas storage reservoir.
10000
4450 4500 4550 4600
UNITED KINGDOM
FACILITIES
'AD' 'AP' 'BD' 'BP' 'CD'
Rough
Water Depth ---------------------------------- 120-130 ------------------------------
(metres)
Platform Type steel piled jackets ----------------------
--------------------------
Function drill/ process drill/ process & well-
accom. accom. comp. head
Accommodation 85 144
Well Slots 12 12 12
Wells 6 12 6
100
METHOD
80
The method used is to consider the Rough storage project on a stand
alone basis with project start in 1980. From a project point of view the first
60
cost was the purchase of the field by British Gas. This has been estimated by
attributing the hypothetical profile shown on the right to the original field
development. The development costs of 700 million for developing the addi- 40
tional facilities and refurbishing the existing platforms are then added as
further capital costs. The field operating costs consist of the normal fixed
yearly operating costs. 20
The project revenue is assumed to be the effective cost of the gas (pence
per therm) multiplied by the winter production. This is assumed to be 1100
MMscf/day for 40 days each year. The figure below illustrates the relationship 0
1970 1975 1980 1985 1990
between the project Rate of Return and the implied cost of the gas.
Year
60
Annual Gas Production (Bcf)
25
40
20
Nominal Rate of Return (per. cent)
20
15
0
1975 1980 1985 1990 1995 2000 2005 2010
10 Year
0
Annual Gas Injection (Bcf)
5
20
0 40
25 35 45 55 65 75
Lasmo
2 SCHOONER Exxon 46.55
KETCH
44/26a 2 1 RD/Shell* 46.55
3 Shell
Sovereign Exploration 2.07
44/26c 1 2,2a
Amoco
1
5,6 44/28c operator *
1 Lasmo
48/5c Amoco 49/1b Amoco 49/2a Rel. 49/2c 49/3 Lasmo The initial unitisation agreement splits reserves 93.1% : 6.9%
Mustang between blocks 44/26 and 43/30 respectively.
3
2 1 1
4
49/1a Fina
3 2
48/5a
Arco British 49/2b
1 1 0 5 km
Mustang 2
48/5b Phillips 49/1c Mus
Fluid Properties The Schooner field is located in the Silverpit Basin area of the
Southern North Sea in a water depth of 230 feet. Neighbouring fields
Gas Gravity (air = 1) include the undeveloped Ketch discovery (Block 44/28) to the west and
Condensate Gas Ratio (bbl/MMscf) 6 the producing, Murdoch (Block 44/22) and Caister (Block 44/23) fields
Gas Formation Volume Factor (vol/vol) to the northeast, all of which have Carboniferous reservoirs. The Caister
Reservoir Pressure Pi (psig) 6575 (approx.) field also produces from the Triassic Bunter reservoir.
at Datum Depth of (ft TVDSS) 3065 The Silverpit Basin is believed to contain very little reservoir potential
Reservoir Temperature (F) in the Permian Rotliegendes interval due to the shale prone nature of
the horizon in this area.
Rock Properties
Reserves
The Schooner field is located within the Silverpit Basin in the Southern North Sea. Coal Measures. The two units are lithologically similar, both represented by fluvial
UNITED KINGDOM
The accumulation has an elongate north-northwest to south-southeast orientation sandstones interbedded with flood plain mudstones.
reflecting the Hercynian structural trend. This orientation is the same trend as that The Carboniferous mudrocks and coals are also the source, and the overlying
Schooner
seen in the nearby Caister, Murdoch and Ketch fields. The trap has a relief of Permian Silverpit Formation represents the thick top seal to the reservoir.
approximately 650 feet, with a depth to the crest of approximately 12400 feet The Schooner reservoir is overlain by a thick sequence of Permian, Triassic,
TVDSS, and a gas water contact at 13065 feet TVDSS. Upper Cretaceous and Tertiary sediments. Lower Cretaceous sequences are thin,
The reservoir is of Carboniferous age with the majority of the hydrocarbons and the Jurassic is absent. Marked thickness variations within overburden layers
contained in the Barren Red Measures. A minor proportion occurs in the underlying occur, complicating the structural mapping and depth conversion processes.
0
TERTIARY
UPPER CRETACEOUS
5000
LOWER CRETACEOUS
TRIASSIC
The reservoir represents a series of sandstones, siltstones and mudstones probably narrow, ribbon geometry units. The channel sands pass laterally into
deposited within a fluvial floodplain depositional environment. The principal facies channel margin sand, silt and mud sequences which represent overbank
types are blocky to fining upwards sandstone units, blocky shale units and thinly flood/crevasse splay deposits, interbedded with floodplain fines. Rapid vertical and
interbedded sandstone, siltstone and shale sequences. These are interpreted to lateral facies changes observed within and between wells suggests that channel
represent fluvial channel fills, interchannel or floodplain lacustrine muds, and locations fluctuated continuously across the floodplain during the aggradation of the
channel margin sequences respectively. Channel sandstones are thin, and represent sequence, resulting in a complex internal reservoir architecture.
single channel fill sequences. The channel sandbodies are therefore
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
0 150 ROCK 1.95 2.95
AGE
LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT NEUTRON
(PERCENT) (md) (Inches) (Limestone units)
40 0 0.01 10000 5 25 45 -15
Lacustrine sediments.
Blanket of silty mudstone with evaporites
SILVERPIT FORMATION
Floodplain mudstones and siltstones with
PERMIAN
minor channel and associated sands
12800
Geometry
Ribbon geometry and lenticular sands
encased in shales/silts
44/26-3
and k
Best developed in clean channel sands
12850
Geometry
Ribbon geometry channel sands separated
by shales
and k
BARREN RED MEASURES
13000
Geometry
Thin narrow ribbon geometry channel sands
13050
and k
Moderate reservoir quality restricted to thin
channels, otherwise interval of poor to
negligible reservoir quality
13100
13150
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
44/26-3
10000
L. PERMIAN
Silverpit Fm.
Schooner
vel
n le
mia
se Per
t Ba
ity a
form 1000
con
nal un
rosio
100
CARBONIFEROUS
PERMEABILITY (md.)
Floodplain shales and siltstones
Coal Measures
0
Floodplain shales 1
0.1
The Schooner reservoir has a complex stratigraphic and sandbody development. The
Barren Red Measures are differentially eroded at the base Rotliegendes Unconformity and
therefore show marked thickness variation across the field. In addition, the thin and narrow 0.01
ribbon geometry channel sands result in a complex distribution of reservoir quality sand. 0 10 20 30
The reservoir can be broadly subdivided into three layers by lithostratigraphic correlation of POROSITY (per cent.)
the top of the Coal Measures sequence and the recognition of an intra-Barren Red
Measures persistent shale unit. This shale unit separates upper and lower sand prone
Barren Red Measures sequences. The Schooner field shows a wide range of values reflecting the
Reservoir sandbodies of up to 20 feet in thickness, are expected to form ribbon geometry wide range of depositional characteristics. Clean channel sands
sands 100's of metres in width, probably orientated north to south or northeast to southwest show the best quality, with porosities as high as 17 per cent. and
based on regional depositional model considerations. maximum permeabilities of 100's of md.
Internal communication of reservoir sandstones is therefore expected to be poor, with The thinner, often muddy, micaceous and preferentially cemented
marked implications for recovery efficiency. channel margin sandstones show lower values from non-reservoir
quality through to the lower limit of the channel facies characteristics.
Given the wide range of textural types (grain size, sorting and mud
content) present, primary facies characteristics are expected to be
the overriding control on the distribution of reservoir quality
sediment. Secondary diagenetic effects are expected to have a
subordinate overprint effect.
FLUID PROPERTIES
The hydrocarbons within the Schooner field represent a wet gas with a condensate to
gas ratio of approximately 6 bbl/MMscf.
1.0
RESERVOIR PRESSURE
12500
0.90
0.087 psi/ft
0 1000 2000 3000 4000 5000 6000
PRESSURE (psig)
13000
DEPTH (feet TVDSS)
0.52 psi/ft
13500
CONTROLS ON RECOVERY
The recovery factor at Schonner is expected to be low, in the range 50 to 60 per cent.
The only analogous, Carboniferous producing fields are the nearby Murdoch and Caister
14000
fields which each have only 2 years production history. However, the reservoir at Schooner
6500 6600 6700 6800 6900 7000 7100
is more complex than at these two producing fields, comprising a series of thin, ribbon like,
INITIAL RESERVOIR PRESSURE (psig)
probably poorly interconnected reservoir sands encased in sitstones and shales. Key
factors controlling recovery will therefore be;
UNITED KINGDOM
Water Depth 230
Schooner
(feet)
Platform Type Steel jacket, 4 legged
Function Production wellhead
Net Present Value 553.31 330.62 238.81 190.33 149.95 101.50 44.37
Net Present Value (Deflated) 406.21 231.40 160.32 122.91 91.79 54.47 10.48
Profit/Inv Ratio 2.10 1.38 1.05 0.87 0.71 0.51 0.24
Net Present Value 370.72 215.99 151.05 116.45 87.47 52.49 10.93
Net Present Value (Deflated) 268.01 144.34 93.34 66.32 43.74 16.55 -15.66
Profit/Inv Ratio 1.41 0.90 0.67 0.53 0.41 0.26 0.06 50
Profit/Inv Ratio (Deflated) 1.00 0.59 0.41 0.30 0.20 0.08 -0.08
NPV/Unit Oil Equiv. 4.04 3.56 3.10 2.73 2.34 1.68 0.46
NPV/Unit Oil Equiv. (Deflated) 3.71 2.92 2.31 1.86 1.38 0.62 -0.76
Earnings Data
0
Gross Revenue 1,350.17 860.54 678.30 585.44 509.41 419.13 312.29
1995 2000 2005 2010 2015
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Year
Corporation Tax 182.59 114.63 87.76 73.88 62.48 49.01 33.45
Capital Expenditure 263.78 239.36 226.52 218.62 211.18 200.84 185.46
Operating Costs 533.08 290.56 212.97 176.49 148.28 116.79 82.46
Gross Revenue (Deflated) 1,030.66 683.08 549.08 479.44 421.61 351.80 267.27
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 138.20 87.06 66.98 56.59 48.05 37.93 26.14
Capital Expenditure (Deflated) 267.08 242.69 229.86 221.95 214.51 204.14 188.72
Operating Costs (Deflated) 357.37 208.99 158.90 134.59 115.31 93.19 68.06
Rock Properties
During the Early Oxfordian, fault controlled subsidence in the Central Graben interbedded sands and silts of the Visean Forth Formation. These are succeeded by
UNITED KINGDOM
propagated northwestwards into the Outer Moray Firth area resulting in the Rotliegendes sands and are overlain by the Zechstein Halibut Bank Formation.
development of a series of northwest-southeast trending faults. Devonian northeast- Triassic sediments are represented by a thin sequence of red claystones of the
southwest faults were reactivated at this time, and interaction between the two Smith Bank Formation and are generally overlain by the volcanic and volcanogenic
Scott
trends led to the development of the Witch Ground Graben as an area of subsiding deposits of the Rattray Formation, which are widespread in this area.
and tilting fault blocks. The reservoir occurs in the Jurassic Piper sands of Upper Oxfordian to
Block tilting took place due to the listric, shallow nature of the faults, commonly Kimmeridgian age, which are thicker in the west of the field than the east. The Piper
resulting in exposure and erosion of the sequences capping the fault blocks. Formation consists of a series of sand bodies (which general coarsen upwards)
Subsidence along these faults continued to control sedimentation patterns into the interstratified with mudstones of varying thickness. Sandstones are generally thick
Early Cretaceous, with small scale block faulting continuing to be dominant in the (greater than 250 feet) and laterally extensive and are easily correlated across the
15/22 area until the latest Volgian. During the Cretaceous the whole area continued field.
to subside as a single entity between major northwest - southeast faults of the Witch The reservoir is sealed by Kimmeridge Clay mudstones, Lower Cretaceous
Ground Graben trend. mudstones of the Cromer Knoll Group and Upper Cretaceous limestones of the
The oldest sequence of rocks underlying the Scott field are the Carboniferous Chalk Group.
10000
Chalk Group
LOWER CRETACEOUS
11000
n
ormatio Kimmeridge Clay
12000 Piper F Formation
mat ion
Rattray For
ion
Format
13000 Rattray
0 0.5 1 km
The Piper Formation sediments in the Scott field comprise a series of stacked The environment of deposition was one of moderate to high energy and was
shoreface progradation sequences and shallow marine sandstones and mudstones. wave dominated. Tidal influence is thought to have been negligible. The shoreface
The reservoir can be subdivided into four distinct units. The lowest is only seen sequences represent active beachface or beach ridge at the margins of a sandy
in the western part of the field (15/21 block) and is laterally equivalent to the Lower strandplain comprising laterally stacked beach ridges resulting from progradation,
Piper shale in the rest of the field. Locally this unit is referred to as the Sgiath upon which localised lagoons and peatswamps developed. No evidence of
Formation and was laid down in a coastal plain environment. The other three units reworking of the shoreface by fluvial processes can be seen and sediment was
are widespread throughout the field area and represent three regressive sequences probably transported by longshore currents. Local thin basal sandstones can be
separated by thin transgressive sequences. seen which mark the initial transgression across the exposed volcanogenic Rattray
The Sgiath Formation can be seen to be controlled by syn-sedimentary faulting surface. During this period, sea level was gradually rising and minor changes in sea
movement, thickening to the north of the Halibut Horst in block 15/21 and only being level would cause the shoreface to advance or retreat rapidly across the area. These
present in block 15/22 as a thin unit in Well 15/22-3. Mudstones deposited in a changes could be eustatic, but are more likely to have been associated with
shallow marine, freshwater influenced environment are interbedded with coals subsidence due to syn-sedimentary fault movement.
deposited in coastal fringe swamps. Sandstones are generally thin and argillaceous Unit 3 is the product of a more complete transgression and comprises an upwards
representing channel fill and channel margin sediments deposited from streams coarsening sequence at its base similar to that seen in Units 1 and 2 (shoreface
crossing the coastal plain or low energy shoreface sequences. progradation), overlain by uniform or very slightly coarsening upward profiles which
The Piper Formation can be divided into three main units, the oldest 1 to the are intensely bioturbated and are interpreted as deposits of migrating sandbars and
youngest 3. Units 1 and 2 both coarsen upwards from marine mudstones into shoals. More argillaceous material is deposited on shoal/bar slopes and in
medium grained sandstones, and represent deposits of prograding shoreface interbar/shoal areas. This upper unit represents the reworking of pre-existing
systems. Basal marine mudstones are overlain by sharp based sequences of fine to shoreface sandbodies as water depth increased, resulting in laterally extensive units
medium grained, commonly bioturbated nearshore, shoreface and bar sandstones which with continuing transgression are capped by marine mudstones of either the
with common internal erosion surfaces and are succeeded by lagoonal and Piper Formation or the Kimmeridge Clay Formation.
eventually laterally extensive marine mudstones of the overlying unit.
DEPTH (feet)
CORE CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) (g/cc)
DESCRIPTION 0 150 ROCK 1.95 2.95
AGE
CLAY
VF
Py Py Py Geometry
14700
S
Py
Kim Clay Fm
Kim Clay Fm
15/22-3
Scott 1000
Humber Group
Heather Fm
Unit 3
+
+
1 100 + +
+
+
PERMEABILITY (md.)
+
Rattray Formation
Fladen Group
+
+
10 ++
Unit 2
+ + + +
+
+ ++
Piper Formation
Humber Group
+ ++ +
+
+
+ + +
1 - Sgiath Formation 1 +
+ +
+
+
+
+
+
0.1
++ + + +
0
++ +
+
+
Unit 1
+
0.01
100 feet 0 10 20 30
POROSITY (per cent.)
Fladen Grp
Rattray Fm
In the available core data, porosity varies from 1.2 to 16 per cent.,
averaging 10 per cent. and permeability ranges from 0.05 to 400 md,
averaging 22 md. These values are lower than normal for the Piper
Formation in this area due to the deep depth of burial of the Scott
field.
The primary controls on porosity and permeability are grain size
The three-fold subdivision of the Piper Formation into major regressive sequences forms sorting and detrital clay content, which are directly related to facies.
the basis of the reservoir zonation in the Scott field. In the Piper sandstone units the clean upper shoreface sandstones
Unit 1 sandstones range in thickness from 50 to 90 feet, although they appear to thicken have the best porosity/permeability characteristics, and the
to the west and may be thicker in Block 15/21. They are overlain by a thick (40-120 feet) argillaceous lower shoreface the poorest.
field-wide mudstone which is interpreted as a sequence of marine mudstones overlying the The effects of bioturbation result in the dissemination of detrital
lagoonal deposits at the top of Unit 1. This mudstone unit acts as a permeability barrier and clays throughout sandstone bodies reducing both porosity and
can be seen to separate oil in Unit 1 from water in Unit 2 in Well 15/22-4. permeability. The presence of small to moderate amounts of kaolinite
The overlying Unit 2 sandstones range from 125 to 210 feet in thickness and again are and small quantities of illite (occurring by replacement of detrital
expected to become thicker to the west. The basal Unit 3 mudstone (20-30 feet thick) is also feldspar) further inhibits permeability.
expected to be a vertical permeability barrier similar to the basal Unit 2 mudstone. Unit 3 Secondary control on porosity and permeability is dominated by
sandstones are 30 to 40 feet thick and where seen in released wells are overlain by the quartz cementation, which is very common, particularly in the
Kimmeridge Clay Formation. cleaner shoreface sandstones. Calcite also locally forms intensely
Evidence of truncation at the top of the Piper Formation is limited, but cannot be ruled cemented horizons, occluding all porosity and negating permeability.
out. Non-deposition across palaeohighs, however, can be seen in Well 15/22-3 and is In addition, pyrite occurs in moderate quantities and markedly
possible elsewhere in the field. reduces both porosity and permeability. Its early growth, however,
Communication within each unit is expected to be good, but given the block faulted can result in the formation of a rigid matrix framework which will
nature of the field compartmentalisation is likely. Block 15/21 can be subdivided into at least preclude further compaction and grain dissolution.
five blocks and 15/22 at least two.
The seal to the reservoir is provided by shales of the overlying Kimmeridge Clay RESERVOIR PRESSURE
Formation, but where these are thin or absent due to non-deposition or erosion, the Lower
Cretaceous Cromer Knoll mudstones also provide an effective seal. The Scott field is cut by a number of faults trending both
northwest-southeast and northeast-southwest, dividing the field into
at least seven blocks. Compartmentalisation of the reservoir is
FLUID PROPERTIES therefore likely and the establishment of separate pressure regimes
within the field cannot be ruled out. RFT data from Well 15/22-4
The undersaturated oil from the Scott field has an API gravity of 35-39 degrees and a suggest that the separate units of the Piper Formation are not in
gas oil ratio of between 560 and 1400 scf/stb. The fluid is slightly corrosive with an H2S communication, with oil identified in the lower Unit 1 sand and water
content of approximately 14 ppm and a CO2 content of 6 per cent. in the middle Unit 2 sand.
Initial reservoir pressure in this part of the field is approximately
8500 psig at a datum depth of 12500 feet and reservoir temperature
is 256 degrees Fahrenheit. Data from both reservoirs and from Well
1200
2.5 15/22-5 indicate that this portion of the field is overpressured by
approximately 2900 psi with respect to a regional pressure gradient
GOR (ave.)
to surface of 0.45 psi/ft.
2.0
12150
800
GOR (scf/stb)
0 (cp)
1.0
12250
400
0.45 psi/ft Unit 2 sand
0
DEPTH (feet TVDSS)
0.5
PRESSURE (psig)
CONTROLS ON RECOVERY
The main controlling factor on recovery from the Scott field is the sheet like geometry
12550
and general good quality of the sand bodies. Good recovery factors of approximately 40 to
50 per cent. are predicted but compartmentalisation of the reservoir may require a large 8400 8450 8500 8550 8600
number of wells effectively to drain all of the fault blocks. INITIAL RESERVOIR PRESSURE (psig)
FACILITIES SPECIFICATIONS
UNITED KINGDOM
SCHEMATIC FIELD LAYOUT Water Depth 466-476
East water
injection manifold (feet)
Platform Type Two bridge linked steel platforms
Scott
SCOTT Function drilling/production Accom/utilities/power gen
8 legs 4 legs
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@@@
Average Annual Daily Liquid Rate (Mbbl/day)
@@@@
Net Present Value 1,737.35 936.06 616.98 452.22 317.66 160.60 -15.07
Net Present Value (Deflated) 1,461.59 718.03 426.88 277.80 156.84 16.89 -137.01
Profit/Inv Ratio 1.12 0.72 0.53 0.41 0.31 0.17 -0.02
Profit/Inv Ratio (Deflated) 0.84 0.49 0.32 0.22 0.13 0.02 -0.15
NPV/Unit Oil Equiv. 2.81 2.41 2.06 1.77 1.46 0.92 -0.12 50 100
NPV/Unit Oil Equiv. (Deflated) 2.59 1.98 1.51 1.15 0.75 0.10 -1.15
Earnings Data
0 0
Gross Revenue 7,279.08 4,454.41 3,402.45 2,869.29 2,435.89 1,927.31 1,340.08 1990 1995 2000 2005 2010
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 662.66 382.65 279.55 228.14 187.05 140.02 88.22 Year
Corporation Tax 947.90 553.95 409.23 336.88 278.85 212.03 137.47
Capital Expenditure 1,548.72 1,293.12 1,168.81 1,095.57 1,028.97 939.85 814.98
Operating Costs 2,382.46 1,288.64 927.88 756.48 623.36 474.81 314.48
Gross Revenue (Deflated) 6,528.40 4,091.82 3,163.63 2,687.38 2,296.78 1,833.76 1,291.51
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 571.03 331.59 243.05 198.78 163.32 122.63 77.64
Corporation Tax (Deflated) 824.15 487.95 362.97 300.09 249.39 190.68 124.65
Capital Expenditure (Deflated) 1,739.77 1,460.72 1,324.30 1,243.69 1,170.21 1,071.64 933.03
Operating Costs (Deflated) 1,931.85 1,093.52 806.44 667.04 557.01 431.90 293.20
5 2 operator *
4
3 ORWELL
49/29a Mobil
49/29c Arco 49/30c Rel.
LOCAL SETTING
The Sean fields are located in the central part of the Southern North
RESERVOIR CHARACTERISTICS Sea Basin, northeast of the Sole Pit axis of inversion. Gas is found in
Rotliegendes Group sandstones situated in the main Rotliegendes
Fluid Properties aeolian dune field tract and therefore only minor amounts of wadi and
sabkha sediments are encountered. Gas in neighbouring accumulations
Gas Gravity S.G. (air =1) 0.61 is also found predominantly in Rotliegendes sandstones. The K13 field
Condensate Gas Ratio (bbl/MMscf) 1.8 in the Dutch sector to the east also produces gas from the Triassic
Gas Expansion Factor (vol/vol) 225 Buntsandstein Formation.
Reservoir Pressure Pi (psig) 3950 Porosities and permeabilities of the Rotliegendes are generally good
at Datum Depth of (ft TVDSS) 8450 in this area with the Sean field having probably the best porosity-
Reservoir Temperature (F) 200 permeability characteristics. Reservoir quality of the Rotliegendes
sandstone of the K13 field to the east is poorer because of the higher
Rock Properties percentage of fluvial sandstones.
Reserves
Sean Sean East FIELD DESCRIPTION
Gas Initially in Place (Bcf) 630
Total Gas Reserves (Bcf) 550 145 The Sean fields are gentle northwest-southeast trending anticlinal
Total NGL Reserves (MMstb) 1.6 structures with fault closure occurring mainly to the northeast and
Est. Gas Production to 31.12.95 (Bcf) 127 19 southwest. The reservoirs are within the Leman Sandstone Formation
Est. NGL Production to 31.12.95 (MMstb) 0.4 of the Rotliegendes Group. Upper Permian Zechstein carbonates and
Remaining Gas Reserves (Bcf) 423 126 evaporites provide seals for the reservoirs. Porosities are moderate to
Remaining NGL Reserves (MMstb) 1.2 good and permeabilities are moderate to very good.
The reservoirs contain a dry gas (SG of 0.61) which had a
Production condensate gas ratio of up to 2 bbl/MMscf measured during testing.
This is typical of the Rotliegendes gas reservoirs of the UK sector.
Water Depth (feet) 100 The fields are normally pressured with gas water contacts at
Production Start Date October 1986 approximately 8550 feet subsea. In Well 49/25-1 of the North Sean field
the Rotliegendes is almost completely gas bearing, and in Well 49/25a-
Peak Gas Production (yrly average) (MMscf/day) 60 in 1995, 45 in 1995
4 it is underlain by approximately 25 feet of water. Gas in Well 49/25-2
Platform(s) 3 steel jackets
of South Sean is underlain by approximately 150 feet of water bearing
Number of Wells 10
sandstone.
Gas and NGL Export Pipeline to Bacton
The high productivity makes the field particularly suitable for use as
shore terminal
a peak shaver, producing at high rates for short periods in the winter
months.The field was brought onstream in 1986, and is only expected
to be used for around 40 days per year. In September 1994,
development approval was given to Sean East and the new field came
on stream in November 1994. It is estimated to contain 145 Bcf of gas
and production comes from two extended reach deviated wells drilled
from the existing Sean wellhead platforms. Gas is piped via the Sean
Line to Bacton.
49/24 49/25a STRATIGRAPHY AND STRUCTURE
GWC 85
53 SEAN The Sean fields lie southeast of, and along structural strike from, the
UNITED KINGDOM
TOP ROTLIEGENDES Indefatigable field. The two fields consist of northwest-southeast striking
DEPTH STRUCTURE gentle anticlines which are faulted and show moderate structural relief, with
8500
0
840
(Contours in feet)
gas columns of between 200 and 250 feet. The gas is found in the Leman
Sean
Sandstone Formation (Rotliegendes Group) at depths of about 8400 feet
TVDSS, which varies in thickness between 200 and 265 feet.
8 300
4
Trapping is by dip and fault closure beneath and against Zechstein
NORTH SEAN evaporite and carbonate seals.
84
00
1
84
850
8400
00
0
84
00 85
8400
85
00 8500
00
GWC
8553
8600
86 C 854
0
GW
850
00
84
3
00
84
00
85 2
00
8500
830
0
GWC 8543
8400
00
8500
84
84
00
SOUTH SEAN
00
84 830
0
8200
sorted, horizontally laminated dune bottom set and sandy sabkha Zechstein Group
8000
sandstones. Poorly sorted, variably argillaceous wadi and sabkha
sandstones are also recognised near the base of the sequence in both CARBONIFEROUS Rotliegendes Group
fields and in the upper part of the sequence in North Sean. 10000
0 1 2 km
DEPTH (feet)
CORE ANALYSIS DATA GAMMA RAY DENSITY
(API Units) ROCK ( g/cc )
DESCRIPTION 0 150 1.95 2.95
CLAY
AGE
VF
Z1
mudstone.
Non-reservoir.
Geometry
Laterally extensive, sheet geometry sandbody.
LOOSE SAND
8600
and K
LEMAN SANDSTONE FORMATION
LOOSE SAND
PERMIAN
RUBBLE
8700
RUBBLE
49/25a-4 49/25-2
10000
Zechstein Group
1000
0 CARBONIFEROUS
100 feet
100
Aeolian dune sands dominate in both fields. Wadi and sabkha sandstones occur near the
PERMEABILITY (md.)
base of the Rotliegendes in both fields, and also in the upper part of the sequence in North
Sean. The Rotliegendes succession in South Sean is generally less argillaceous and thicker
(265 feet) than that of North Sean (200 feet). With the exception of the basal wadi/sabkha 10
sequence, there appears to be no lithostratigraphic zonation that could readily form the
basis for subdivision and correlation of the Rotliegendes sequence between the two fields.
However, since there appear to be no field wide barriers to vertical flow in the Rotliegendes
successions, the importance of subdividing the sequence is reduced. In general the
Rotliegendes reservoir sandstones should show simple sheet geometry, though more 1
variable sheet and channel-form sandstone units may occur in the wadi/sabkha sequences.
0.1
0.01
0 10 20 30
Zi = 0.95
0.95
RESERVOIR PRESSURE
8000
8400
8800
CONTROLS ON RECOVERY
9000
The recovery factor is expected to be very good (some 90 per cent.), resulting from: 3900 3950 4000 4050 4100
UNITED KINGDOM
PP PD RD
Sean
Water Depth 100 100 100
(feet)
Platform Type steel piled steel piled steel piled
jacket jacket jacket
Function processing/ wellhead wellhead
accom.
Accommodation 50 4
(emergency)
Well Slots 12 12
Wells 5 5
Net Present Value 2,039.90 642.83 302.15 166.31 74.08 -13.27 -85.46
Net Present Value (Deflated) 1,342.94 330.15 74.03 -29.53 -100.16 -166.68 -219.19
Net Present Value 1,366.73 415.90 177.44 80.95 14.79 -48.47 -101.13
Net Present Value (Deflated) 868.44 161.78 -21.07 -95.73 -146.86 -195.00 -232.18 20
Profit/Inv Ratio 2.92 1.12 0.53 0.26 0.05 -0.18 -0.42
Profit/Inv Ratio (Deflated) 1.24 0.28 -0.04 -0.19 -0.31 -0.44 -0.59
NPV/Unit Oil Equiv. 14.61 10.56 6.92 4.07 0.94 -4.20 -13.59
NPV/Unit Oil Equiv. (Deflated) 11.03 4.30 -0.80 -4.53 -8.45 -14.62 -25.45
10
Nominal Rate Of Return % 12.57
Real Rate Of Return % 7.55
Earnings Data 0
Gross Revenue 3,807.34 1,412.42 853.03 631.17 479.16 330.99 196.82 1985 1990 1995 2000 2005 2010 2015 2020
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 619.46 154.83 69.86 41.68 25.14 12.01 3.69 Year
Corporation Tax 673.17 226.93 124.71 85.36 59.29 35.20 15.67
Capital Expenditure 467.65 371.69 332.95 311.95 293.81 270.69 239.84
Operating Costs 680.32 243.07 148.08 111.23 86.13 61.57 38.76
Gross Revenue (Deflated) 2,887.35 1,212.43 787.15 609.38 482.53 352.72 226.39
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 344.80 86.90 39.41 23.60 14.29 6.86 2.13
Corporation Tax (Deflated) 474.50 168.37 95.10 66.19 46.70 28.32 12.99
Capital Expenditure (Deflated) 701.68 582.90 531.48 502.54 476.86 443.19 396.63 CASH FLOW REPORT
Operating Costs (Deflated) 497.93 212.48 142.22 112.78 91.54 69.34 46.82
Year Gross Royalty OP Capital Pet Rev Corpn Gov Net Rev Real NPV Liquids Gas Tariff
Rev &SPD Costs Inv Tax Tax Take Aft Tax @ 8.0% Prodn Prodn Prodn
MM MM MM MM MM MM MM MM MM Mbbls/D MMscf/D Mboe/D
1983 0.0 0.0 0.0 10.0 0.0 0.0 0.0 -10.0 -47.8 0.0 0.0 0.0
1984 0.0 0.0 0.0 100.0 0.0 0.0 0.0 -100.0 -423.6 0.0 0.0 0.0
1985 0.0 0.0 0.0 150.0 0.0 0.0 0.0 -150.0 -560.0 0.0 0.0 0.0
1986 24.0 0.0 5.0 80.0 0.0 0.0 0.0 -61.0 -198.9 0.0 20.0 0.0
1987 40.7 0.0 10.0 20.0 0.0 0.0 0.0 10.7 31.1 0.2 38.0 0.0
1988 42.1 0.0 12.6 5.0 0.0 0.0 0.0 24.5 64.8 0.2 32.0 0.0
1989 51.8 0.0 13.2 0.0 0.0 0.0 0.0 38.6 88.5 0.2 34.0 0.0
1990 96.3 0.0 13.8 0.0 0.0 0.0 0.0 82.5 162.4 0.2 58.0 0.0
1991 62.1 0.0 14.6 0.0 0.0 0.0 0.0 47.5 79.1 0.2 40.0 0.0
ECONOMIC INDICATORS FROM 1/1/1996 1992 45.1 0.0 14.6 0.0 0.0 0.0 0.0 30.5 44.4 0.0 30.0 0.0
1993 27.6 0.0 14.0 3.0 0.0 0.0 0.0 10.6 13.8 0.0 18.0 0.0
1994 70.7 0.0 13.6 7.0 0.0 0.0 0.0 50.1 59.4 0.0 48.0 2.0
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% 1995 65.3 0.0 13.0 0.0 0.0 0.0 0.0 52.3 56.0 0.0 34.0 15.0
Total To Start Of Discounting ( 1/JAN/1996)
Pre Corporation Tax 525.8 0.0 124.4 375.0 0.0 0.0 0.0 26.4 -630.9 0.4 128.5 6.2
Net Present Value 2,013.45 1,325.74 1,068.90 938.17 831.34 704.85 555.90 1996 117.8 0.0 13.0 0.0 0.0 13.9 13.9 90.8 87.4 0.2 60.0 15.0
Net Present Value (Deflated) 1,460.82 1,006.80 832.25 741.84 666.97 576.88 468.22 1997 122.5 0.0 13.5 15.6 0.0 33.3 33.3 60.1 51.5 0.2 60.0 15.0
NPV/Unit Oil Equiv. 28.07 28.57 28.66 28.65 28.59 28.46 28.14 1998 127.0 0.0 14.1 43.3 0.0 33.7 33.7 36.0 27.4 0.2 60.0 13.3
1999 131.7 0.0 16.9 33.8 0.0 32.0 32.0 49.0 33.3 0.2 60.0 11.7
Post Corporation Tax 2000 136.6 0.0 17.6 0.0 0.7 31.1 31.8 87.2 52.7 0.2 60.0 10.3
2001 141.8 0.0 18.3 0.0 0.8 33.9 34.7 88.8 47.8 0.2 60.0 9.3
Net Present Value 1,340.29 897.83 729.74 643.49 572.62 488.25 388.20 2002 147.0 0.0 19.0 0.0 0.6 36.7 37.3 90.7 43.5 0.2 60.0 8.0
Net Present Value (Deflated) 986.32 689.31 573.62 513.32 463.18 402.62 329.20 2003 152.7 0.0 19.8 0.0 0.5 39.2 39.7 93.2 39.8 0.2 60.0 7.3
NPV/Unit Oil Equiv. 18.68 19.35 19.56 19.65 19.70 19.71 19.65 2004 158.5 0.0 20.6 0.0 0.4 41.6 42.0 96.0 36.5 0.2 60.0 6.3
2005 164.7 0.0 21.4 0.0 0.3 43.8 44.1 99.2 33.5 0.2 60.0 5.7
Earnings Data 2006 171.0 0.0 22.3 0.0 0.2 46.0 46.2 102.6 30.9 0.2 60.0 5.0
2007 177.6 0.0 23.2 0.0 0.1 48.1 48.2 106.3 28.5 0.2 60.0 4.3
Gross Revenue 3,281.49 2,000.61 1,556.61 1,339.54 1,167.19 969.54 746.59 2008 184.6 0.0 24.1 0.0 83.0 44.4 127.4 33.1 7.9 0.2 60.0 4.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2009 190.5 0.0 24.4 0.0 82.5 26.0 108.5 57.6 12.2 0.2 60.0 0.0
Petroleum Revenue Tax 619.46 291.96 189.99 143.90 109.71 73.90 39.43 2010 198.1 0.0 24.7 0.0 86.0 27.0 113.1 60.4 11.4 0.2 60.0 0.0
Corporation Tax 673.17 427.92 339.16 294.68 258.72 216.60 167.69 2011 206.1 0.0 25.3 0.0 89.7 28.3 118.0 62.7 10.6 0.2 60.0 0.0
Capital Expenditure 92.65 81.28 75.40 71.82 68.48 63.87 57.14 2012 214.3 0.0 25.6 0.0 93.6 29.6 123.2 65.5 9.8 0.2 60.0 0.0
Operating Costs 555.92 301.63 222.32 185.65 157.67 126.92 94.12 2013 176.3 0.0 25.9 0.0 78.8 31.0 109.8 40.7 5.4 0.0 47.7 0.0
2014 144.9 0.0 26.1 0.0 62.4 24.7 87.1 31.7 3.8 0.0 37.7 0.0
Gross Revenue (Deflated) 2,234.59 1,448.39 1,165.62 1,024.19 909.88 775.96 619.89 2015 119.1 0.0 26.7 0.0 48.7 19.5 68.2 24.2 2.6 0.0 29.8 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2016 98.5 0.0 26.9 0.0 37.8 15.2 52.9 18.7 1.8 0.0 23.7 0.0
Petroleum Revenue Tax (Deflated) 344.80 163.87 107.19 81.47 62.34 42.23 22.74 Remain
Corporation Tax (Deflated) 474.50 317.49 258.64 228.52 203.78 174.27 139.01 2017 0.0 0.0 106.6 0.0 -46.6 -6.0 -52.5 -54.0 -4.5 0.0 0.0 0.0
Capital Expenditure (Deflated) 85.04 74.67 69.31 66.04 62.99 58.79 52.64
Operating Costs (Deflated) 343.94 203.06 156.87 134.83 117.59 98.07 76.29 Total 3,281.5 0.0 555.9 92.7 619.5 673.2 1,292.6 1,340.3 573.6 1.2 423.0 42.1
These cash flows include Sean North and South plus Sean East tariff income
SUMMARY
B 7 9
2
The Strathspey field is located entirely within Block 3/4a some 480
A
Flare km northeast of Aberdeen in the UK sector of the Northern North Sea.
4 The field was discovered in 1975 by Well 3/4a-4 which tested oil in
BRENT Middle Jurassic sandstones of the Brent Group at a depth of
28b 211/30
approximately 9120 feet TVDSS. The field has been subsequently
211/28a Conoco Rel. 211/29 Shell 18 11 Shell 33/12b Statoil delineated with five wells, of which Well 3/4a-5 encountered oil in the
3/3 Chevron 3/4b Chev 1 2,3 3/4a 3/5b Rel. 29/3 Rel. Brent sequence and penetrated a thick gas and condensate bearing
Texaco interval of the Lower Jurassic Statfjord Formation. Both reservoir
11
horizons are some 5 km long by 2 km wide and are in a north-south
13 1 orientation. The Statfjord reservoir underlies the Brent reservoir and is
offset to the east.
10
Annex B approval was granted in October 1991 and production
9,14 began in December 1993. The field has been developed as a satellite
NINIAN 5
to the Ninian Central platform where all processing takes place before
17 4
12,16 liquid export to Sullom Voe via the Ninian pipeline and gas export via the
FLAGS line to St Fergus. The development has been in the form of a
subsea manifold tied back to Ninian. Produced fluids are not comingled
10
STRATHSPEY at the manifold as they are of varying pressures. Instead, each fluid
7 from a particular reservoir has a separate pipeline back to the platform.
9,9A
8 Development of the field as a subsea production system has made
1 4
C Strathspey the largest in the North Sea to be developed by such a
7 3/5a method.
Total The current interests in the Strathspey field in per cent. are:
8 ALWYN
3/8a Ranger 3/8b Lasmo 3/9c 3/9a 6
Con Total B NORTH Texaco* 67.00
1 2
0 4 km Exxon 13.25
S
5 3/10b RD/Shell 13.25
1 A Lasmo
Oryx 6.50
operator *
Fluid Properties BRENT STATFJORD The Strathspey field is located in Quadrant 3 of the UK Northern
North Sea between the North Viking Graben and the East Shetland
Oil Gravity ( API) 41 28-42 Basin. The Brent field lies some 4 km to the north, Ninian some 10 km
Gas Oil Ratio (scf/stb) 1500 5000 to the southwest and Alwyn North some 8 km to the south. The Brent
Formation Volume Factor at Pi (rb/stb) and Alwyn North fields produce from both Brent Group and deeper
Oil Compressibility (vol/vol/psi) Statfjord Formation sandstones, the Ninian field produces from the
Reservoir Pressure, Pi (psig) approx. 5800 approx. 6100 Brent Group. The field is located close to the UK/Norwegian boundary
At Datum Depth of (ft TVDSS) 9000 9500 and lies on the Statfjord-Brent-Alwyn North structural trend that forms
Reservoir Temperature (F) 212 220 the western margin to the North Viking Graben.
Rock Properties
Reserves
Oil + NGL Gas
Total Reserves (MMstb, Bcf) 78 300
Est. Production to 31.12.95 (MMstb, Bcf) 21 41
Remaining Reserves (MMstb, Bcf) 57 259
FIELD DESCRIPTION
Production
The Strathspey field is a westerly tilted rotated fault block of Jurassic
Water Depth (feet) 449 and Triassic strata on the western margin of the North Viking Graben.
Production Start Date December 1993 for oil, Erosion of the Middle Jurassic Brent Group sequence has resulted in
May 1994 for gas truncation of the Tarbert and Ness Formations which are overlain and
Peak Oil Production (stb/day) 29000 in 1995 sealed by Upper Jurassic and Lower Cretaceous shales forming a
Peak Gas Production (MMscf/day) 115 structural and stratigraphic trap. A lower reservoir interval is formed by
Development subsea manifold the Lower Jurassic Statfjord Formation.
Number of Wells Producers 8 Brent, 6 Statfjord Reservoir quality in both horizons is highly variable and is controlled
Water Injectors 3 Brent by both inter and intra formational depositional characteristics. Overall
Oil Export Pipeline to Ninian Central and reservoir thickness is approximately 1000 feet for the Brent and 800 feet
onwards to Sullom Voe for the Statfjord, although the former is extensively truncated. The Brent
Gas Export Pipeline to Ninian Central and reservoir contains a volatile light oil whereas the Statfjord reservoir
contains a condensate rich gas with an underlying volatile light oil rim.
FLAGS to St Fergus
Production commenced in December 1993 as a subsea satellite to
the nearby Ninian field. Water injection has been used to produce the
Brent reservoir with injection water provided by pipeline from Ninian
South. However, horizontal wells and normal reservoir depletion have
been found to be adequate to produce from the Statfjord reservoir.
The Strathspey development may be extended northwards in the
future after the discovery with Well 3/4a-13 of a small isolated oil
bearing area.
STRATIGRAPHY AND STRUCTURE
The Strathspey field, like the Brent field, comprises two main reservoir horizons, with erosion of Viking and Brent Group sediments on the eastern uplifted side of the
UNITED KINGDOM
the sandstones of the deeper Lower Jurassic Statfjord Formation and shallower fault block. Truncation of the Brent Group is complete towards the eastern margin of
Strathspey
Middle Jurassic Brent Group sequence. The Statfjord Formation is of Rhaetian to the structure where Cretaceous sediments rest unconformably upon shales of the
Hettangian-Sinemurian in age and overlies some several thousand feet of Triassic Dunlin group. There are insufficient data to define the degree of truncation of the
mudstones and sandstones. The Statfjord Formation is overlain by the Lower Dunlin Group.
Jurassic marine mudstones and claystones of the Dunlin Group. This shale interval The structure as a whole is bounded to the east by a major easterly downthrowing
separates the two reservoir horizons. Overlying the Dunlin Group is the Brent normal fault and is closed on the north, west and south by dip closure. The Statfjord
sequence which comprises marine, shoreface and deltaic sediments of Bathonian reservoir is a more typical rotated fault block structure with closure against the
and Bajocian age which are in turn overlain by Upper Jurassic marine shales of the normal fault to the east and dip closure elsewhere. An element of fault closure is
Viking Group and Lower Cretaceous shales of the Cromer Knoll Group. expected in both structures on the northern, eastern and southern flanks due to the
The Strathspey structure is a westerly dipping rotated fault block of Jurassic and highly faulted nature of the reservoir horizons. This structural complexity is also
Triassic strata. The structure is some 5 by 2 kilometres in area with its long edge expected to generate a number of minor fault blocks within the main fault block.
orientated north-south parallel to the main Statfjord-Brent-North Alwyn trend. The
structure at Brent Group level, like the Brent field, is a classic drowned topography
6000
TERTIARY
7000
UPPER CRETACEOUS
8000
LOWER CRETACEOUS
roup
10000 Brent G
Group ?
Dunlin
n
11000 Formatio
Statfjord
TR IA SS IC
12000
0 2.5 5 km
13000
The sequences observed in both the Statfjord and Brent reservoirs in the sandstones of the Etive Formation, which represent upper shoreface and tidal
Strathspey field are typical of those seen in the central area of the Brent province. channel sediments. The Ness Formation overlies the Etive and comprises a
The Statfjord Formation represents a transition from the continental alluvial plain heterolithic sand, shale and coal sequence that was deposited in a delta plain
sediments of the underlying Triassic red beds to the sublittoral marine mudstones environment. Since the interval is truncated in all the released wells, the Tarbert
and sandstones of the Cook Formation at the base of the Dunlin Group. The Statfjord Formation, where present, exhibits a sheetlike development of transgressive marine
Formation is dominated by fluvial sedimentation at its base and exhibits two major sandstones.
progradational phases of deposition, the lower Raude and
the upper Eriksson Members. The Raude Member is
thinner in the Strathspey field than that seen in Statfjord REPRESENTATIVE WELL SECTION - 3/4-4
reservoirs further to the north and comprises
DEPTH (feet)
GAMMA RAY INTERVAL TRANSIT TIME
mudstones and siltstones interbedded with thin CORE ANALYSIS DATA (API Units) (sft ) -1
0 150 ROCK 140 40
AGE
sandstones which are interpreted as arid fluvial LITH INTERPRETATION POROSITY PERMEABILITY CALIPER UNIT
plain sediments. The sequence coarsens 40
(PERCENT)
0 0.1
(md)
10000 5
(Inches)
25
upwards into coarse grained sandstones
HEATHER FM.
HUMBER GP.
U. JURASSIC
Offshore mudstones
of the Eriksson member which are
more massive and are interbedded
with mudstones and coals
9200
interpreted as representing Lower delta plain sediments comprising
3/4-4
braid plain sediments. fluvial channel, mouth bar, levee and
crevasse splay sandstones. Interbedded
Overlying the Eriksson with lagoon and/or bay mudstones
Formation are the and coals
Geometry
glauconitic transgressive
9250
Varied sandstone body geometry,
marine sheet sands of the interbedded with laterally extensive
mudstones
Nansen Member. The
NESS FORMATION
and k
Statfjord Formation is Poor to good, generally reflects primary
depositional characteristics
capped by a sequence of
calcareous sandy 9300
siltstones and shales of the
Amundsen Formation
which develop upwards
into the Dunlin Group
9350
mudstones.
The Brent Group
represents a northward
MIDDLE JURASSIC
micaceous sandstones of
the Rannoch Formation.
These sands are well
laminated, contain highly
9550
bioturbated mudstone
horizons and represent a
BROOM FORMATION.
progradational lower to M
Shallow water offshore storm transported
sandstones and mudstones
middle shoreface M
Geometry
sequence. Overlying the Sheetlike sandbody
9600
and k
Rannoch are massive, M Poor
locally cross bedded,
medium grained M
M
Offshore mudstones 1 2 3
Strathspey
overlying Rannoch Formation is approximately 120 feet thick and exhibits more mudstone
laminae than in the Brent field, being more analogous to the Rannoch seen in the Ninian
field. The interval coarsens upwards overall and net to gross ratios are in the region of 0.5.
The clean, sheetlike Etive Formation is approximately 50 feet thick and comprises upper
shoreface sandstones which are locally incised by tidal channels. These exhibit a lenticular 1000
++ +
geometry and good reservoir quality with an overall net to gross ratio close to 1.0. The Ness + +
+ + +
Formation is up to 600' thick in the Brent Field, but in Strathspey is eroded to around 200'. + +++ +
+
The Ness is expected to thicken downdip away from the crest of the Strathspey structure. +
+ +
The best reservoir quality in the Ness are distributary channel, mouthbar and lagoon/bay +++
++
+ + +
shoreface sandstones whose geometries range from sheetlike to ribbon and lenticular. 100 +
Interconnectivity is poor with net to gross ratios around 0.4. The Tarbert Formation is a
PERMEABILITY (md.)
sheetlike unit of shallow marine sandstones up to 120 feet thick. Net to gross ratio is in the
region of 0.9.
The Statfjord Formation Raude Member is some 100 feet thick and comprises channel
10
fill, overbank and crevasse splay sandstones, interbedded with mudstones. Sandstone
body geometries are variable although interconnectivity is moderate with net to gross ratios
in the region of 0.25. The Eriksson Member is some 600 feet thick and
W comprises a sequence of stacked channel fill sandstones, crevasse
3/4-12 splay sandstones and overbank deposits with lenticular to sheetlike
1
Tarbert Heather Fm
the Raude Member and net to gross ratios are in the region of
0.5 to 0.7. The uppermost Statfjord reservoir unit is the
Nansen which comprises a sheetlike sequence
of marine bar deposits that exhibit
0.1
excellent net to gross ratios in the
range 0.9 to 1.0.
Ness Formation
Middle Jurassic
Brent Group
3/4-4
E
+ Brent
3/4-5
+ Statfjord
0.01
0 10 20 30 40
POROSITY (per cent.)
BRENT GROUP
1 ERODED
2
Broom and Rannoch Formations have porosities and
3
permeabilities in the range of 20 to 25 per cent and 10 to 50 md
6 5 4 respectively. Etive reservoir quality is good, with porosities ranging
from 20 to 30 per cent and permeabilities ranging from 100 to 500
NON - SCALE SECTION md. These values are not as good as those seen in the Brent field
and may reflect a foreshore depositional nature rather than tidal
6 5 8 7 channel environments. The Ness Formation exhibits highly variable
reservoir quality relating to primary depositional trends. Porosities in
9 the range 10 to 20 per cent are common, with permeabilities of the
order of 100 md. The Tarbert Formation should exhibit moderate to
good reservoir quality.
Lower Jurassic
average 20, 1000 and 2300 md for the Raude, Eriksson and Nansen
Members respectively.
1. Etive Formation
2. Rannoch Formation RESERVOIR PRESSURE
3. Broom Formation
4. Drake Formation
Raude Member
5. Dunlin Group
0 RFT data from the 3/4a-12 well show an oil water contact at 9382
Triassic
6. Lower Jurassic feet TVDSS with an oil gradient of 0.225 psi/ft and a water gradient
100
7. Calcareous Unit of 0.435 psi/ft. On the basis of this hydrostatic gradient the reservoir
8. Amundsen Formation
9. Nansen Member
appears to be overpressured by around 1800 psi. Pressure
200 feet
discontinuities may indicate that the individual reservoirs of the Brent
Group are not in pressure communication.
FLUID PROPERTIES The Statfjord Formation is probably also in a separate pressure
regime, and is probably also overpressured. On the basis of flowing
The Brent reservoir contains an undersaturated light volatile oil. Oil of 41.5 degrees API FIT data from Well 3/4a-4 it appears to be overpressured by 2140 psi
and GOR 1523 scf/stb was tested from the Etive Formation. Two production tests were relative to a hydrostatic gradient of 0.435 psi/ft.
carried out on the Statfjord in Well 3/4a-5. The lower test (base Raude) produced a light
volatile oil of API gravity 42.5 degrees with a GOR of 5760 scf/stb and the upper test (top 9100
Nansen) produced a gas condensate with an API gravity of 28.8 degrees and a GOR of
1068 scf/stb.
0.225 psi/ft
2000 2.0 1.0 9300
B0 (rb/stb)
0.435 psi/ft
0 (cp)
9700
1000 1.5 0.5
9900
500 0
CONTROLS ON RECOVERY
Oil recovery from the Brent reservoir is expected to be moderate, in the region of use of horizontal wells to develop the Statfjord reservoir, which is being produced
30 to 35 per cent. whereas recovery of condensate from the Statfjord is expected to under natural depletion
be poor to moderate, in the region of 15 to 20 per cent. Oil recovery factors have subsea development resulting in difficulty of workovers on wells
been estimated on the following factors:- the highly faulted nature of the reservoir horizons may result in
good productivities in tested intervals from both Brent and Statfjord reservoirs compartmentalisation
favourable mobility ratio resulting from low oil viscosities enhancing water Dry gas recovery from the Statfjord is expected to be in the region of 60 to 70 per
injection effectivity in the Brent reservoir cent.
FACILITIES SPECIFICATIONS
UNITED KINGDOM
(feet)
Strathspey
Development Type Subsea Manifold
Total Weight 950
(tonnes)
Well Slots -
Wells planned Producers 8 Brent, 6 Statfjord
Injectors 3 Brent
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00% HISTORICAL AND PROJECTED
@@@
Liquid
Net Present Value 140.79 27.04 -18.36 -41.91 -61.22 -83.83 -109.10
Net Present Value (Deflated) 71.83 -26.66 -65.63 -85.71 -102.04 -120.94 -141.53 Gas
Profit/Inv Ratio 0.37 0.08 -0.06 -0.13 -0.20 -0.29 -0.41
@@@
Post Corporation Tax 15
Net Present Value 94.33 -1.38 -39.75 -59.69 -76.04 -95.19 -116.50
Net Present Value (Deflated) 33.05 -50.37 -83.48 -100.53 -114.40 -130.42 -147.71
Profit/Inv Ratio 0.25 -0.00 -0.12 -0.19 -0.25 -0.33 -0.44 10 50
Profit/Inv Ratio (Deflated) 0.08 -0.13 -0.23 -0.29 -0.34 -0.41 -0.50
NPV/Unit Oil Equiv. 0.74 -0.02 -0.55 -0.94 -1.35 -2.02 -3.25
NPV/Unit Oil Equiv. (Deflated) 0.28 -0.61 -1.23 -1.67 -2.14 -2.89 -4.28
5
Nominal Rate Of Return % 4.91
Real Rate Of Return % 1.69
Earnings Data
0 0
Gross Revenue 1,437.76 984.23 797.81 698.17 613.99 510.74 383.69 1990 1995 2000 2005
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Corporation Tax 46.46 28.42 21.39 17.77 14.82 11.35 7.39
Capital Expenditure 385.00 347.26 327.67 315.69 304.48 288.97 266.13
Operating Costs 911.97 609.93 488.50 424.40 370.73 305.60 226.67
Gross Revenue (Deflated) 1,307.68 908.66 742.65 653.28 577.35 483.62 367.15
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 38.78 23.71 17.84 14.83 12.37 9.48 6.18
Capital Expenditure (Deflated) 421.81 381.30 360.24 347.35 335.27 318.55 293.89
Operating Costs (Deflated) 814.04 554.02 448.04 391.63 344.12 286.01 214.79
Post Corporation Tax 1991 0.0 0.0 0.0 55.0 0.0 0.0 0.0 -55.0 -91.5 0.0 0.0 0.0
1992 0.0 0.0 0.0 145.0 0.0 0.0 0.0 -145.0 -211.2 0.0 0.0 0.0
Net Present Value 345.29 302.09 280.48 267.55 255.67 239.56 216.56 1993 0.0 0.0 0.0 110.0 0.0 0.0 0.0 -110.0 -142.9 0.0 0.0 0.0
Net Present Value (Deflated) 315.94 277.86 258.77 247.32 236.79 222.48 201.99 1994 122.8 0.0 69.5 45.0 0.0 0.0 0.0 8.3 9.8 28.9 33.0 0.0
NPV/Unit Oil Equiv. 3.46 3.60 3.67 3.72 3.76 3.81 3.89 1995 151.9 0.0 86.1 15.0 0.0 0.0 0.0 50.8 54.3 28.9 80.0 0.0
Total To Start Of Discounting ( 1/JAN/1996)
Earnings Data 274.6 0.0 155.6 370.0 0.0 0.0 0.0 -251.0 -381.4 21.1 41.2 0.0
Gross Revenue 1,163.12 968.45 876.63 823.49 775.81 713.01 627.00 1996 157.7 0.0 86.1 15.0 0.0 0.0 0.0 56.6 54.5 28.9 80.0 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1997 167.9 0.0 89.5 0.0 0.0 0.0 0.0 78.4 67.1 28.9 80.0 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1998 158.2 0.0 90.0 0.0 0.0 0.0 0.0 68.2 52.0 23.7 90.0 0.0
Corporation Tax 46.46 36.27 31.43 28.63 26.12 22.83 18.40 1999 144.7 0.0 87.2 0.0 0.0 6.1 6.1 51.4 34.9 19.3 90.0 0.0
Capital Expenditure 15.00 14.64 14.43 14.30 14.17 13.99 13.69 2000 134.0 0.0 85.6 0.0 0.0 13.5 13.5 34.9 21.1 15.8 90.0 0.0
Operating Costs 756.37 615.45 550.29 513.01 479.86 436.63 378.35 2001 125.2 0.0 84.6 0.0 0.0 11.9 11.9 28.8 15.5 12.9 90.0 0.0
2002 114.9 0.0 81.9 0.0 0.0 10.3 10.3 22.6 10.8 10.6 85.0 0.0
Gross Revenue (Deflated) 1,021.77 860.10 783.30 738.66 698.47 645.30 572.02 2003 104.2 0.0 78.7 0.0 0.0 8.6 8.6 16.9 7.2 8.7 78.0 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2004 56.3 0.0 51.3 0.0 0.0 6.7 6.7 -1.7 -0.6 7.0 23.0 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 38.78 30.26 26.22 23.88 21.79 19.06 15.37 2005 0.0 0.0 21.3 0.0 0.0 -10.6 -10.6 -10.8 -3.6 0.0 0.0 0.0
Capital Expenditure (Deflated) 15.00 14.64 14.43 14.30 14.17 13.99 13.69
Operating Costs (Deflated) 652.06 537.35 483.89 453.15 425.71 389.77 340.97 Total 1,163.1 0.0 756.4 15.0 0.0 46.5 46.5 345.3 258.8 56.9 257.7 0.0
operator *
Fluid Properties SOUTHEAST The fields in T Block are located in the South Viking Graben, to the
TIFFANY TONI THEMA THELMA east of the East Shetland Platform. Miller, Birch and the Brae fields, all
of which contain oil in the Upper Jurassic Brae Formation, lie at
Oil Gravity (API 36 34 36 36 distances of between 10 and 25 km north of T Block. The Sleipner and
Gas Oil Ratio (scf/stb) 1235 2400 2290 1400 Dagny Jurassic gas fields lie approximately 20 km to the east in the
Bubble Point Pressure, Pb (psig) 2884 6565 Norwegian sector and to the southwest at a distance of between 13 and
Formation volume Factor at Pi (rb/stb) 1.57 2.0 2.07 1.75 20 km lie the Balmoral and Blair Paleocene oil fields. The Maureen,
Cyrus and Andrew Paleocene oil fields all lie approximately 30 km to the
Oil Compressibility (vol/vol/psi)
south and southeast of T Block.
Original Reservoir Pressure, Pi (psig) 7429 6982 6609 6609
At Datum Depth of (ft TVDSS) 13800 12800 12000 12000
Reservoir Temperature (F) 278
Rock Properties
Reserves
UNITED KINGDOM
series of overlapping submarine fans of Kimmeridgian to Ryazanian age. The graben margin uplift zone, provides the structural control on Brae Formation
formation interdigitates with the Kimmeridge Clay Formation in the axial part of the sedimentation.
T Block
South Viking Graben and is genetically associated with the listric, graben margin Traps in the T Block area are formed by differential compaction of the distal and
fault scarp systems which form the western field boundary. The formation is overlain lateral mudstone-dominated sediments around proximal cones of conglomerate
by the 'hot shale' of the Kimmeridge Clay Formation, which seals the reservoir units. dominated sediments. This combination of structural-stratigraphic trap is further
A major phase of Upper Jurassic crustal extension across the South Viking complicated by faulting.
7000
TERTIARY
9000
13000
Rotliegendes Group Brae Formation
Kimmeridge Clay Formation
15000 Heather Formation
Hugin Formation
TRIASSIC
17000 Zechstein Group Fladen Group
Old Red Sandstone
TRIASSIC or Older
19000
0 1 2 km
The Brae Formation in the T Block comprises a series of overlapping submarine broad, lobate, high density turbidite sand bodies. Generally fine grained, current
fans composed of conglomerates, sandstones and thinly interlaminated fine grained rippled sandstones form sheetlike turbidite sandstones. The interlaminated current
sandstones and mudstones. The submarine fans become thinner and finer away rippled sandstones and non-bioturbated, black mudstones represent low density
from graben margin faults, forming lobate sediment bodies, comprising an overall turbidites and pelagic, euxinic marine mudstones.
fining-upwards megasequence. The boulder to pebble conglomerates commonly The channelised submarine fan lobes which comprise the overall megasequence
grade from clast supported to matrix supported and are overlain by pebbly are themselves composed of graded units representing individual depositional
sandstones, forming lenticular channelised conglomerate bodies separated by more events. The entire section is interpreted as recording the east-west propagation of
persistent linguoid lobate matrix supported conglomerates and sandstones. Fine to successive faults in the graben-margin fault zone.
coarse grained sandstones are generally thickly bedded and massive, representing
AGE
VF
and K
and K moderate in thicker sandbodies.
and K poor and very poor in argillaceous
sections, possibly baffling vertical flow.
VOLGIAN - RYAZANIAN
BRAE FORMATION
HUMBER GROUP
11800
and K
and K of conglomerates poor to moderate.
Sandstones likely to be better reservoir
quality. Argillaceous sections may baffle
vertical flow.
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
10000
Toni
T Block
16/17-6
1. Lower Cretaceous 16/17-5
2. Cromer Knoll Group Valhall Formation
3. Valhall Formation 1000
4. Kimmeridge Clay Formation
Tiffany
16/17-8A
SE
Thelma 100
16/17-1
3 2 1
4
PERMEABILITY (md.)
10
UPPER JURASSIC
Brae Formation
Humber Group
1
n
io
at
m
or 0
rF
he
at
He 200 ?
0.1
400 feet
Formation
Heather
Group
Fladen
0.01
0 10 20 30
POROSITY (per cent.)
The Brae Formation in the T Block area comprises a series of elongate, linguoid Porosities of the thicker bedded sandstones in the T Block area
conglomerate-sandstone sediment bodies orientated approximately normal to the South are generally moderate, typically 11 to 18 per cent. Permeabilities
Viking Graben margin faults. These coarse clastic sediment bodies are enveloped by the are poor to good, commonly 0.1 to 250 md. Porosity values are
interlaminated mudstone and sandstone facies. They are divided into reservoir zones by the highly variable depending on lithology and facies. The thinner
recognition of laterally persistent interlaminated mudstone and sandstone units which will bedded sandstones within the mudstones are mostly tight due to
form vertical permeability baffles or barriers. However, most of the coarse clastic sediment extreme compaction and quartz cementation. Clast supported and
bodies probably coalesce close to the graben margin faults where post-depositional faulting mud-matrix conglomerates contribute little due to the predominance
and brecciation may be an added complication. Some may also coalesce away from the of non-net clasts. The two main controls on the porosity and
graben margin before they thin and fine into non-reservoir sediments. Therefore, there is permeability values are therefore the distal and lateral fining into
likely to be tortuous pressure communication through the entire system. The mapping of argillaceous facies, where diagenesis has been particularly severe,
thickness and net to gross ratio is dependent on the recognition of the proximal/distal and and the low original bulk rock porosity and permeability of clast-
axial/lateral facies relationships, particularly the tendency for some coarse clastic facies supported boulder conglomerates which dominate the proximal
sediment bodies to coalesce in the mid- fan region. inner-fan facies.
FLUID PROPERTIES
RESERVOIR PRESSURE
The reservoirs in the T Block contain undersaturated black oils with gravities ranging
from 34 to 36 degrees API and gas oil ratios of between 1200 and 2400 scf/stb. Well 16/17a- Data from the T Block indicate that Tiffany, Toni and Thelma are
5 found gas condensate with a condensate gas ratio of approximately 200 bbl/MMscf in the all overpressured by approximately 1200 psi relative to a hydrostatic
Hugin Formation. gradient to surface of 0.45 psi/ft and all lie on the same pressure
trend. The reservoir pressure for Tiffany is 7429 psig at 13800 feet
TVDSS, for Toni is 6982 psig at 12800 feet TVDSS and for Thelma
is 6609 psig at 12000 feet TVDSS.
Toni
0 (cp)
12500
0
DEPTH (feet TVDSS)
Tiffany
@ 278 F
0 1.0 0.0 13500
0 2000 4000 6000 8000 0.30 psi/ft
0.45 psi/ft
14500
6500 7000 7500 8000
The recovery from the four accumulations in the T Block is likely to vary from moderate
to good.
Recovery factors will probably be similar to those in the Brae fields to the north of
T Block. Based on reservoir quality and homogeneity, Tiffany is likely to have the highest
recovery factor and Thelma the lowest.
FACILITIES SPECIFICATIONS
TIFFANY TONI
UNITED KINGDOM
Water Depth 413 436
T Block
(feet)
Platform Type 1 slimline steel jacket 2 subsea manifolds
Function drilling/production/accommodation
Accommodation 140
Well slots 16
Wells producers planned 7 4
injectors planned 4 3
@
FULL FIELD LIFE ECONOMIC INDICATORS PRODUCTION PERFORMANCE
HISTORICAL AND PROJECTED
Discount Rates 0.00% 5.00% 8.00% 10.00% 12.00% 15.00% 20.00%
100 200
Pre Corporation Tax Liquid
Net Present Value 572.56 191.90 42.71 -33.68 -95.60 -166.98 -244.45 Gas
@@@
Net Present Value (Deflated) 365.26 28.32 -101.98 -168.00 -220.95 -281.02 -343.89 Average Annual Daily Liquid Rate (Mbbl/day)
@@@
Net Present Value 374.84 70.99 -48.32 -109.37 -158.74 -215.41 -276.08
Net Present Value (Deflated) 193.45 -76.78 -181.16 -233.86 -275.93 -323.22 -371.50
Profit/Inv Ratio 0.33 0.07 -0.05 -0.13 -0.19 -0.28 -0.40 1
Profit/Inv Ratio (Deflated) 0.15 -0.07 -0.18 -0.24 -0.30 -0.37 -0.48
NPV/Unit Oil Equiv. 1.73 0.48 -0.41 -1.06 -1.76 -2.89 -5.01 25 50
NPV/Unit Oil Equiv. (Deflated) 0.95 -0.55 -1.60 -2.36 -3.17 -4.48 -6.91 2
3
Nominal Rate Of Return % 6.67
Real Rate Of Return % 3.29 4
Earnings Data 0 0
Gross Revenue 2,468.12 1,650.89 1,318.90 1,142.75 994.81 814.72 595.87 1990 1995 2000 2005
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Year
Corporation Tax 197.73 120.90 91.03 75.68 63.14 48.43 31.63
Capital Expenditure 1,135.40 987.03 912.65 868.06 826.96 771.10 690.94
Operating Costs 760.16 471.96 363.53 308.38 263.44 210.60 149.38
Gross Revenue (Deflated) 2,292.10 1,552.84 1,249.14 1,086.97 950.10 782.55 577.24
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Corporation Tax (Deflated) 171.81 105.10 79.18 65.86 54.97 42.20 27.61
Capital Expenditure (Deflated) 1,262.93 1,102.44 1,021.69 973.18 928.41 867.43 779.69
Operating Costs (Deflated) 663.91 422.09 329.44 281.79 242.64 196.14 141.44
Gross Revenue 1,932.18 1,650.15 1,514.77 1,435.56 1,363.88 1,268.47 1,135.65 1996 320.6 0.0 56.9 75.0 0.0 0.0 0.0 188.7 181.6 75.0 53.7 0.0
Royalty 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1997 373.1 0.0 67.0 10.4 0.0 0.0 0.0 295.7 253.4 80.8 64.6 0.0
Petroleum Revenue Tax 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1998 309.9 0.0 65.1 0.0 0.0 33.4 33.4 211.4 161.2 64.4 53.1 0.0
Corporation Tax 197.73 162.02 144.46 134.08 124.63 112.02 94.45 1999 247.9 0.0 62.7 0.0 0.0 59.6 59.6 125.6 85.3 49.5 41.2 0.0
Capital Expenditure 85.40 82.86 81.43 80.52 79.64 78.37 76.38 2000 199.7 0.0 60.3 0.0 0.0 45.2 45.2 94.2 57.0 38.3 32.4 0.0
Operating Costs 633.96 498.13 437.53 403.55 373.78 335.65 285.52 2001 161.7 0.0 57.5 0.0 0.0 34.1 34.1 70.1 37.7 29.8 25.4 0.0
2002 132.2 0.0 53.6 0.0 0.0 25.4 25.4 53.1 25.5 23.4 20.2 0.0
Gross Revenue (Deflated) 1,734.03 1,495.32 1,379.85 1,311.97 1,250.33 1,167.92 1,052.47 2003 101.9 0.0 69.3 0.0 0.0 19.2 19.2 13.3 5.7 17.3 15.4 0.0
Royalty (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2004 85.1 0.0 41.8 0.0 0.0 3.0 3.0 40.3 15.3 13.9 12.4 0.0
Petroleum Revenue Tax (Deflated) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Remain
Corporation Tax (Deflated) 171.81 140.85 125.64 116.67 108.51 97.61 82.43 2005 0.0 0.0 99.6 0.0 0.0 -22.2 -22.2 -77.4 -26.2 0.0 0.0 0.0
Capital Expenditure (Deflated) 85.00 82.49 81.08 80.18 79.31 78.05 76.07
Operating Costs (Deflated) 531.72 424.85 376.68 349.50 325.58 294.75 253.85 Total 1,932.2 0.0 634.0 85.4 0.0 197.7 197.7 1,015.1 796.4 143.2 116.2 0.0
These cash flows include Tiffany, Toni, Thelma and S E Thelma fields
14/20 Texaco 15/16 Texaco SUMMARY
9
The Tartan, Highlander and Petronella fields are located in
PIPER Quadrants 14 and 15, some 190 km northeast of Aberdeen in the Outer
17 6 Moray Firth, in the UK Sector of the North Sea. Tartan was discovered
by Well 15/16-1 in 1974 encountering oil in the Upper Jurassic Piper
19 22,25,27 Formation. Subsequently Petronella and Highlander were discovered
23 18
24 by Wells 14/20-1 and 14/20-5 in 1975 and 1976 respectively. The
4 Petronella discovery well encountered oil in the Upper Jurassic
20
21 Claymore Sandstone Member, with Highlander encountering oil in the
Piper Formation and Lower Cretaceous Spey Sandstone Formations.
12,13 8 Development of Tartan began in 1979 using a single steel platform
and later subsea completions. Highlander and Petronella were tied into
14,15 the Tartan platform using subsea completions in 1985 and 1986
20
5 respectively. Highlander uses a subsea manifold for production whilst
7 12 14,14Z Petronella has a single well producer.
HIGHLANDER 8 TARTAN Texaco North Sea UK Ltd is the operator of and has a 100 per cent.
6 interest in the Tartan, Highlander and Petronella fields.
18,21,28 9,10,15, 3 5
D PROSPECT 19
10
1,11,13, 4,4A
17
2 3,3A 7 16
11 2,2A 22
14/25a Shell 1,16 49 15/21a Amerada
PETRONELLA 7
3 47
PERTH
SCOTT
39
0 4 km
36
15/21b Amerada 35
LOCAL SETTING
Rock Properties
FIELD DESCRIPTION
Rock Type Sandstone
The three fields in the Tartan group are tilted fault block structures.
Stratigraphic Unit Piper Fm Claymore Fm Piper Fm Spey Sand Fm
The Tartan field consists of at least three tilted fault blocks, themselves
Geological Age U. Jurassic U. Jurassic U. Jur L. Cret
Porosity (per cent.) 9-19 16-25 7.25 3.30 highly faulted. The reservoirs in Tartan and Highlander occur in marine
Permeability (md) 0.1-1000 10-629 13-8200 0.1-1200 sandstones of the Upper Jurassic Piper Formation, ranging from 150 to
Average Water Saturation (per cent.) 22-39 19 14 22 450 feet in thickness. Porosities and permeabilities are moderate to
Oil Water Contact (ft TVDSS) 10075 (SE)/ 7650 9486 9546 good, but vary widely in the different fault blocks due to diagenetic
12090 (NE, W) effects. Highlander also has some reserves in the Lower Cretaceous
Depth to Top of Structure (ft TVDSS) 9800 (SE)/ 7200 8500 9040 Spey Sandstones Formation. The reservoir in the Petronella field
11500 (NE,W) occurs in the Upper Jurassic Claymore Sandstone Member, averaging
250 to 350 feet in thickness. Porosities and permeabilities are good.
Reserves The reservoirs contain undersaturated oils whose properties differ in
separate fault compartments. For Tartan and Petronella, the oil viscosity
Total Reserves is low and gas oil ratio varies from 800 to 1600 scf/stb. These
(Oil & NGL, Gas ) (MMstb, Bcf) 116/40 44/20 --------------- 71 ---------------- characteristics yield favourable waterflood conditions, particularly in the
Est. Production to 31.12.95 (MMstb, Bcf) 100/38 36/19 --------------- 64 ---------------- Petronella field Claymore Sandstone Member, where there is good
Remaining Reserves vertical permeability. For Highlander, the gas oil ratio is much lower at
(Oil & NGL, Gas) (MMstb, Bcf) 16/2 8/1 ---------------- 7 ----------------- between 70 to 85 scf/stb, which leads to a higher in situ oil viscosity
which in turn is less favourable for waterflooding.
Production Production began from Tartan in January 1981, from Highlander in
February 1985 and from Petronella in November 1986. Approximately
Water depth (feet) 460 440 -------------- 420 --------------
86 per cent. of the oil and NGL reserves of Tartan, Highlander and
Production Start Date Jan. 1981 Nov. 1986 --------- Feb,1985 ----------
Petronella have been produced. Water injection has been installed on
Peak Production (Oil and NGL) (stb/day) 33000 14000 ------------ 28000 -------------
Platform(s) Steel Jacket Subsea Subsea Template Tartan in order to boost recovery during the latter part of the field's life,
Number of Wells - Producers 12 1 ---------------- 4 -----------------
although gas lift is not being considered. Output has also been
Water injectors 8* 0 ---------------- 1 ----------------- increased by the employment of a new drilling programme expected to
Gas injectors exploit areas of potential throughout the field.
Oil and NGL Export Pipeline Pipeline Pipeline Liquids from the Tartan area are exported to Claymore, mixed with
to Claymore to Tartan to Tartan Claymore crude and then transported to Flotta. Tartan gas deliveries
Gas Export Pipeline started in October 1983. After the Piper Alpha disaster, some of the
to St. Fergus. Tartan gas is now exported to Claymore for gas lift with the remainder
Some gas being sent to St. Fergus bypassing Piper via the MCP-O1 platform.
to Claymore D Prospect, to the west of Tartan may be developed either by a
* + 2 subsea water injectors subsea completion or by a floating production facility tied back to Tartan.
Perth is also likely to be developed as a satellite to Tartan, probably
as a subsea completion with first oil in 1997.
13000 STRATIGRAPHY AND STRUCTURE
UNITED KINGDOM
PIPER SAND 00
Upper Jurassic, Piper Formation, with hydrocarbons also
Tartan Area
ABSENT present in the Claymore Sandstone Member. The Piper
Formation sandstones are of Upper Oxfordian to Upper
120
00 Kimmeridgian age. The Piper Formation constitutes the main
11500 producing horizon in the Highlander field, with hydrocarbons
OWC
9, 10
also tested from the Spey Sandstone Formation. The
13
Claymore Sandstone Member is the reservoir in the
12
8
140
000
00
0
00
6 Petronella field. The structure of the Tartan field area includes
00
120
15 A
two highly faulted, tilted fault blocks, developed along the
12000 12000 northeasterly dipping southeastern margin of the Witch
Ground Graben. A broad fault zone, orientated approximately
MAJO west to east across the area, separates the reservoir into two
R LIS ABSENT
105
00 TRIC distinct compartments. These comprise a downthrown block
FAUL
9500 T ZO to the north and an upthrown block to the south. The
NE
structures of the Highlander and Petronella fields are also
tilted fault blocks. Kimmeridge Clay Formation mudstones,
together with thin Claymore Sandstone Member sandstones,
PIPER SAND overlie the Piper Formation and provide seal, source and
TARTAN ABSENT
TOP PIPER SAND 11
reservoir rocks in the Tartan field. The Piper Formation is
10
locally truncated in crestal parts of the structure and is absent
00
DEPTH STRUCTURE
0
OWC 13 in the southeastern corner of Block 15/16.
0 2 km 10
50 16
0
(Contours in feet TVDSS)
14/20 15/16 10 50
0
(After Burley SD, 1989)
AGE
VF
( and K
)
and K generally moderate to good, moderate
( to poor in the finer grained, more argillaceous
)
units. Locally reduced due to calcite
UPPER KIMMERIDGIAN? - LOWER VOLGIAN
cementation.
(
)
PIPER FORMATION
HUMBER GROUP
rubble
rubble
12150
12250
RESERVOIR GEOLOGY POROSITY - PERMEABILITY CHARACTERISTICS
15/16-9,10
10000
Unit 2
Unit 1
100
15/16-8
PERMEABILITY (md.)
15/16-5 10
0
15/16-3 1
500 feet
15/16-3A 0.1
0.01
0 10 20 30
The threefold subdivision of the Piper Formation into major regressive sequences forms Porosities and permeabilities are generally moderate to good in
the basis of the reservoir zonation although the field is also compartmentalised into at least the Tartan field. Porosities are typically 10 to 20 per cent. Core
two separate fluid systems by sealing faults. In the Tartan field, Unit 1 ranges in thickness permeability ranges from 60 md to 800 md.
from 47 to 170 feet, forming a sheetlike unit, thickening towards the south and southwest. Porosity and permeability increase with increased grain size,
Unit 2 ranges in thickness from 62 to 220 feet, the basal mudstone forming a laterally sorting and decreased detrital clay content. Superimposed on these
extensive, vertical permeability barrier. The overlying sandstones form a thick sheetlike primary, textural controls are the effects of diagenesis, which are
sediment body which thickens to the south and southwest. Unit 3 ranges in thickness from compaction, cementation and porosity enhancement in the Tartan
8 to 133 feet in the upthrown block and from 189 to 477 feet in the downthrown block. A field. In the downthrown block compaction and quartz overgrowth
basal mudstone unit forms a barrier to vertical flow in the downthrown block, but is generally cementation are the most significant diagenetic effects.
absent in the upthrown block. In general, Unit 3 forms a thick sheetlike unit which thickens Consequently, porosities and permeabilities are generally less than
to the south and southwest. 15 per cent. and 200 md respectively. Locally, pore enlargement due
Unit 1 is absent in the Highlander field as is the mudstone unit at the base of Unit 3. The to quartz corrosion has resulted in permeabilities greater than 1600
Piper Formation forms a single, generally thick, sheetlike sediment body with no significant md. Distribution of such highly permeable sandstones is variable in
restrictions to vertical flow, varying in thickness from 57 to 506 feet. the downthrown block and difficult to predict.
The Claymore Sandstone Member in the Petronella field forms a thick, lobate to In contrast, porosities and permeabilities generally range
sheetlike sediment body with no significant restrictions to vertical flow, as mudstones are between 10 and 21 per cent. and 300 and 200 md respectively in the
likely to be relatively thin and laterally impersistent. The thickness ranges from 247 to 355 upthrown block of the field. The significant improvement in these
feet. reservoir characteristics is mainly due to the lack of significant
compaction and quartz cementation, related to the relatively shallow
burial depth (<10000 feet) concomitant with pore enlargement due to
FLUID PROPERTIES quartz corrosion.
Barite and sphalerite cements significantly reduce intergranular
Tartan and the associated fields contain undersaturated oils of differing properties in porosities and permeabilities in the crestal areas of the Tartan and
separate isolated compartments across the field. Viscosity ranges from 0.2 to 0.5 cp and Highlander fields.
gas oil ratios from 70 to 1600 scf/stb. API gravity varies from 33 to 39 degrees API.
RESERVOIR PRESSURE
2000 2.50 1.5
TARTAN