Page 10 - EurOil Week 15 2021

EurOil INVESTMENT EurOil

Ithaca signs off on $550mn

Captain EOR Stage 2

UK NORTH Sea-focused Ithaca Energy has taken a Bill Dunnett said in a statement. “The project
final investment decision (FID) on the $550mn underlines our long-term commitment to the
Ithaca has seen the Captain Enhanced Oil Recovery (EOR) Stage North Sea and is a major demonstration of con-
enjoyed the benefits of 2 project in the UK Central North Sea, after fidence in the viability of safe, long-term opera-
the first stage. its development plans were cleared by UK tions in this basin.”
authorities. Chevron sanctioned Captain EOR Stage 1
Ithaca operates Captain with an 85% inter- in 2017, claiming at the time that the initiative
est, while the remaining 15% share is held by its would ramp up oil recovery by 5-7%. It drilled
South Korean partner Dana Petroleum. EOR six new polymer injection wells and revamped
Stage 2 aims to recover an extra 40mn barrels of the field’s platform. The US major did not see
oil equivalent (boe) from Captain, a mature field its investment fully bear fruit, as it ended up
found in 1977 and brought into production in selling its UK North Sea operations to Ithaca
1997. in 2019.
The goal of the project is to increase hydro- Hoping to build on Chevron’s success, Ithaca
carbon recovery by injecting polymerised water and Dana are looking to sink a further six new
into Captain’s reservoir, adding additional sub- injection wells along with four production wells,
sea wells, subsea infrastructure and new topsides and install 35 km of pipelines and umbilicals.
facilities. Ithaca has pointed to the success of the The pair will begin associated platform modi-
EOR Stage 1 project at Captain, undertaken by fications this year, and launch subsea work and
its former operator Chevron. drilling in 2022-23.
“Consent for Captain EOR Stage 2 progresses EOR Stage 2 is expected to yield its first oil in
the application of a technology that has already 2023 and reach a plateau in 2026, at which point
demonstrated an improved recovery rate and the project will account for roughly half of Cap-
helps extend the life of the Captain field,” CEO tain’s overall output. ™
PROJECTS & COMPANIES

IOG starts North Sea

development drilling

UK INDEPENDENT Oil & Gas (IOG) has launched Hathaway-owned CalEnergy as a farm-in
development drilling for its Core project in the partner at the Core fields in 2019, just ahead
Noble’s Hans Deul jack- southern North Sea, ahead of the planned start of taking a final investment decision (FID) on
up is being used. of production in the third quarter of this year. the project’s first phase. This phase will exploit
Noble’s Hans Deul jack-up mobilised from the Southwark, Blythe and Elgood fields, while
the Cromarty Firth on April 1 and reached the a second stage will target the Goddard, Nails-
Elgood field three days later. It spudded the worth and Elland fields. The plan is to recover a
Elgood development well on April 9, IOG said. total of 410bn cubic feet (11.6bn cubic metres)
The Elgood well is the first of five that IOG is of gas.
intending to complete under the Core project’s Once the Elgood well is finished, Hans Deul
first phase, which the company sanctioned in will move on to drill the Blythe well early in the
October 2019. It will take three months to drill third quarter, where the Core project’s first gas
and finish. will be flowed. Preparations to begin production
“This drilling campaign has been planned at Southwark will get underway next year.
meticulously by the IOG drilling, subsurface, IOG is now hopeful of developing more
subsea and HSE teams since early last year, in reserves in the gas-prone southern North Sea.
collaboration with our main drilling contrac- In March, the company reported raising its gas
tors Noble, Petrofac, Schlumberger and our estimates for the P2438 and P2442 licences in
partner CalEnergy,” IOG CEO Andrey Hockey the region. It now believes the two licences can
commented. support “two new incremental high-return gas
IOG brought on board Berkhshire hubs.” ™

P10 www. NEWSBASE .com Week 15 15•April•2021