Page 10 - Euroil Week 10 2020

EurOil PROJECTS & COMPANIES EurOil
Serica brings North Sea platform back on stream ahead of schedule
UK
Repairs had been expected to run for
up to two months but were completed in five weeks.
NORTH Sea-focused Serica Energy has brought its Bruce platform back on stream after a five- week shutdown for unplanned repairs.
Serica closed down the platform, which handles production from the Bruce, Keith and Rhum fields, in late January, after discovering that an underwater structure had been damaged. Output ceased, with Serica warning it could take up to two months to repair the structure.
In a statement on March 9, Serica said engi- neering work had been completed earlier than anticipated. As a result, the company said pro- duction at Bruce, Keith and Rhum would be fully restored during the coming days, the company said.
“We are delighted that we have been able to restart production considerably sooner than we initially predicted,” Serica CEO Mitch Flegg commented. “Our expert teams onshore and off- shore have successfully executed a programme of repairs during some of the most difficult weather conditions experienced in the North Sea for sev- eralyears.”
An inspection back in January revealed that an unused seawater return caisson at Bruce had
parted below the water line. Serica said at the time that there were no wider structural con- cerns and that workers had not been evacuated.
The work carried out at Bruce will have no negative impact on future production rates or on the ultimate recovery of reserves from the three affected fields, Serica said.
Serica acquired a 98% stake in Bruce, a 100% interest in Keith and a 50% share in Rhum through a string of acquisition deals in late 2018 agreed with BHP Billiton, BP, France’s Total and Japan’s Marubeni. Its only other producing asset is the Erskine field.
Serica lifted its production by 13% last year to 30,000 barrels of oil equivalent (boe) per year. It is targeting additional growth this year by launching an extra well at Rhum.
In late February the operator signed a letter of intent (LoI) with the UK’s Awilco Drilling on the provision of the WilPhoenix semi-submersible for completing a workover at the Rhum well. The work will begin sometime between September 1 andOctober30,andrunforbetween45and70 days. Awilco’s contract, if finalised, will be worth GBP5.9-9.1mn ($7.7-11.9mn). ™
Union Jack expands field portfolio
UK
The acquisition is low-cost and provides an immediate uplift in production, the company said.
LONDON-LISTED Union Jack Oil has raised its stake in the UK’s onshore Keddington oilfield in Lincolnshire from 20% to 55%, after buying out its partner Terrain Energy.
The deal raises Union Jack’s net continent resources at the site to 311,000 barrels, and its net prospective resources to 349,250 barrels, the company said in a statement on March 9. Ked- dington currently flows 28 barrels per day (bpd) of high-quality oil from Carboniferous sand- stone reservoirs.
The remaining 45% interest in Keddington is held by Egdon Resources.
Union Jack will pay GBP200,000 ($261,000) for the extra stake, funded from its existing cash resources.
“This acquisition is an inexpensive transac- tion and provides an immediate uplift in oil pro- duction,” Union Jack CEO David Bramhill said.
Union Jack also produces oil from the Fisk- erton Airfield oilfield, also in Lincolnshire, and is targeting first oil at the nearby Wressle deposit later this year.
“Keddington also contains major scope for expansion, which could be achieved by drilling a relatively inexpensive development well from the existing Keddington site,” Bramhill said. This well could result in a “multi-fold” increase in production, according to the company.
Union Jack is also acquiring a 15% interest in the adjacent PEDL399 licence containing the Louth prospect, estimated to hold some 600,000 barrels of oil, plus further prospective resource potential.
Wressle’s development was delayed as a result of a three-year court battle with the North Lin- colnshire Council, which had denied the project’s developers planning permission to drill at the site. They finally won the dispute in January. Union Jack estimates that the field could flow 500 bpd.
Union Jack is also a partner at the West New- ton gas field in East Yorkshire. In August the group reported that in addition to more than 5.3bn cubic metres of best-case gas resources, well tests had revealed the presence of a sizeable oil column. ™
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w w w . N E W S B A S E . c o m Week 10 12•March•2020