Page 11 - MEOG Week 42 2021

MEOG PROJECTS & COMPANIES MEOG

Bahrain still anticipating

first offshore oil in 2023

BAHRAIN BAHRAIN’S Oil Minister this week said that the 1 had been due to start in 2020, but this too was
country remains on track to commence produc- delayed on account of the coronavirus (COVID-
tion from the offshore Khaleej Al Bahrain (KAB) 19) pandemic.
shale deposit despite limited progress to date. In November 2020, Tatweer’s director-gen-
Speaking during a webinar hosted by the eral of petroleum exploration and development,
Arab Gulf States Institute, Sheikh Mohammed Yahya Al Ansari, announced plans to drill eight
bin Khalifa al-Khalifa said: “Initially when we new offshore wells to a depth of 8,000-13,000 feet
started in 2018, we said five years, so we should (2,438-3,962 metres) and a horizontal extension
be ready by then. What we need to prove first is of 914-3,000-plus metres.
the geological and technical viability. Once we Khalifa said that testing remains in a prelim-
get there, hopefully we will have investors.” inary stage, adding that it is still too early to pro-
Following KAB’s discovery in April 2018, vide an estimated production rate from the asset.
the government’s National Oil & Gas Authority The Ministry of Oil (MoO), which last month
(NOGA) initiated talks with IOCs, primarily assumed the functions of NOGA that was abol-
those engaged in the US shale industry, about ished by King Hamad bin Isa Al Khalifa, has pre-
developing the asset. KAB is estimated to hold viously said it expects to achieve 200,000 barrels
80bn barrels of tight oil. per day (bpd).
Halliburton was contracted to carry out ini- For Tatweer, development of the offshore
tial drilling and well tests in the 2,000-square km could be a game-changer, with the company
area, with Italy’s Eni signing an exploration and currently producing around 35,000-45,000 bpd.
production-sharing agreement (EPSA) in Janu- Regular well drilling is required to maintain flow
ary 2019 to explore the 2,800-square km offshore rates – in 2019 110 oil wells were drilled which
Block 1 area to the north of the main island. In yielded just 3,900 bpd of additional production.
February 2020, the Italian firm signed a memo- The onshore Awali field, the site of the Gulf
randum of understanding (MoU) with state oil Co-operation Council’s first oil find in 1932,
firm and NOGA subsidiary Tatweer Petroleum remains the kingdom’s sole source of domestic
Co. to explore collaboration in various domains, production and has a capacity of around 46,000
including gas. bpd. Manama also receives a 50% share of the
Three months later, a letter of intent (LoI) was 150,000 bpd produced by Saudi Aramco at the
signed between NOGA’s investment arm noga- offshore Abu Sa’fah oilfield, which is pumped
holding and shale-specialist Chevron calling alongside a further 75,000 bpd of Arabian Light
for the US major to assist Tatweer in evaluating crude from the Abqaiq processing facilities in
the basin. No further details on the terms of the Saudi Arabia’s Eastern Province via the 350,000
accord were disclosed. Drilling by Eni in Block bpd Saudi-Bahrain A-B oil pipeline.™

Week 42 20•October•2021 www. NEWSBASE .com P11