Major new oil discovery in the Barents Sea

Statoil ASA (OSE:STL, NYSE:STO) has together with its partners Eni Norge AS and Petoro AS made a substantial oil discovery in the Havis prospect in the same licence as Skrugard (PL532) in the Barents Sea.


This is the second high-impact discovery in the North in nine months.

Well 7220/7-1, drilled by the drilling rig Aker Barents, has proved a 48 metre gas column and a 128 metre oil column.

Statoil estimates the volumes in Havis to be between 200 and 300 million barrels of recoverable oil equivalents (o.e.). The provisional, updated total volume estimate for the Skrugard and Havis discoveries in PL532 is in the region of 400-600 million barrels of recoverable oil equivalents.

“Havis is our second high impact oil discovery in the Barents Sea in nine months. The discovery’s volume and reservoir properties make it Skrugard’s twin. Skrugard and Havis open up a new petroleum province in the North,” says Helge Lund, President and CEO of Statoil ASA.

Havis lies approximately 7 kilometres southwest of the Skrugard discovery, made in April of last year. Havis lies within the same production licence, but forms an independent structure. There is no communication between the two discoveries.

The discovery provides further confirmation of Statoil’s faith in the exploration potential of the Norwegian continental shelf, and makes an important contribution to the revitalisation of the NCS in line with what was communicated at Capital Markets Day in June of last year.

Moreover, Havis and Skrugard prove that persistence and long-term thinking bear fruits. Statoil has been exploring in the Barents Sea for more than 30 years and the company has been involved in 88 of a total 92 exploration wells drilled in the area. This has resulted in continuous competence building and a deep understanding of the hydrocarbon systems in the Barents Sea.

Statoil has previously communicated that the Skrugard discovery will provide the basis for an independent development, with the Havis volumes the development project becomes even more robust. Going forward, the partnership will drill an appraisal well in the Skrugard discovery and assess further upside potential in the licence.

“The Havis discovery boosts the development of Skrugard as a versatile new centre with processing and transport capacity. We are about to realise the Barents Sea as a core area on the Norwegian continental shelf,” says Statoil’s Erik Strand Tellefsen, vice president for Skrugard development.

“The Skrugard and Havis discoveries will be important for industrial development and will further boost activity in the supplier industry, providing new jobs and generating spin-off effects throughout the region,” adds Lund.

Well 7220/7-1 is the second well in production licence 532, which was awarded in 2009 in connection with the 20th licensing round. The well is drilled to a vertical depth of 2200 metres below sea level at a sea depth of 365 metres.

Statoil is operator for production licence PL532 with an ownership share of 50%. The licence partners are Eni Norge AS (30%) and Petoro AS (20%).

* High impact  =  > 250 million barrels o.e. in total or > 100 million barrels net for Statoil

Source: Statoil

Posted on 1/09/2012 / 0 comments / Read More

Keppel AmFELS to Construct and Upgrade Deepwater Semisubmersible for Diamond Offshore for US$150 million

Keppel AmFELS LLC, a US wholly-owned subsidiary of Keppel Offshore & Marine Ltd (Keppel O&M), has secured a contract from Diamond Offshore to construct and upgrade a moored semisubmersible rig with delivery scheduled for 3Q 2013. The estimated shipyard contract price is approximately US$150 million.

The rig, to be named Ocean Onyx, will be constructed from an existing hull from a Diamond Offshore cold stacked unit, which previously operated as the Ocean Voyager.

Keppel AmFELS' scope of work on the Ocean Onyx includes the reconstruction of the rig, installation of advanced equipment such as a modern drilling package, and installation of sponsons to the pontoons to enhance the stability of the rig in deepwater. The rig will be designed to operate in water depths of up to 6,000 feet and will have a variable deck load of 5,000 long tonnes, a five-ram blowout preventer, and quarters capacity for 140 personnel.

Mr Larry Dickerson, President and CEO of Diamond Offshore, said, "We have worked with Keppel for more than a decade, and our rigs have consistently been delivered on time and within budget, whether in the US or Singapore. With Keppel's track record as a leading offshore yard, we are confident that this project will also be a success."

Keppel O&M has previously built four similar semisubmersible rigs for Diamond Offshore: the Ocean Baroness, Ocean Rover, Ocean Endeavour and Ocean Monarch.

Mr Tan Geok Seng, President of Keppel AmFELS, said, "We are pleased to be able to embark on another major rig project for Diamond Offshore, who has worked with Keppel on more than 20 projects since 1996. Diamond's rigs are sent regularly to our yards around the world for maintenance, repair and upgrade, and Keppel AmFELS has proven to be their choice yard in the US Gulf of Mexico. Having built a long-term partnership with Diamond, we understand the company's needs and are confident of delivering another high quality rig to their satisfaction."

The above contract is not expected to have a material impact on the net tangible assets or earnings per share of Keppel Corporation Limited for the current financial year.

Source: Keppel AmFELS

Posted on 1/09/2012 / 0 comments / Read More

Songa Offshore FLEET Update

Songa Venus remained on location for Petronas Carigali, Malaysia through-out the period. The rig was shut down during the majority of the period and completed earlier announced repairs and testing of re-worked BOP components on December 19.  The unit achieved 100% operating efficiency for the remainder of the period after re-commencing operations.

Songa Mercur completed its de-mobilization and load off from Sakhalin, Russia to Labuan Malaysia end of October and the rig has undergone extensive contractual acceptance testing and installation of third party equipment through November and December. The rig is now fully accepted and scheduled to depart for commencement of its two well program in Malaysia with Petronas Carigali.
Songa Dee continued its program for Statoil at the Gulfaks field, and the rig achieved an average operating efficiency of 99% during the period. 
Songa Delta completed its scheduled SPS and rig upgrade yard stay at CCB base outside Bergen, Norway during the period. The yard stay was extended from an original 40 days to 56 days mainly due to extended work scopes and additional work related to the BOP system. The rig was then further delayed by weather and remained in sheltered waters until 6^th January and is currently in process of anchoring up at location in order to re-commence the contract with Wintershall / Det Norske Oljeselskap. 
Songa Trym achieved an operating efficiency of 99% during the period.  The rig continues to operate for Statoil in Norway.
Songa Eclipse completed its mobilization to Angola during the period, and the rig is currently undergoing final rig contractual acceptance testing which is expected to be completed during second half of January. The rig will thereafter commence its one well plus 18 month contract with Total E&P Angola
8 January 2012
Limassol, Cyprus

Source: Songa Offshore

Posted on 1/09/2012 / 0 comments / Read More