Page 8 - AfrOil Week 31 2019
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PROJECTS & COMPANIES AfrOil
It will also entail the construction of a dedicated pipeline link to an existing trunk line, the Trans Forcados Pipeline (TFP).
Eland has said it expects Gbetiokun to boost output levels above the first-phase peak of 22,000 bpd within just 12-18 months. Expan- sion will be easy because the company and its partner NNPC are using a modular EPF that can easily be expanded to handle more oil, the company explained last week.
George Maxwell, the CEO of Eland, said that the mobilisation of the EPF was a positive devel- opment for his company. “We are delighted to reach rstoilfromtheGbetiokun eld,”hesaid. “ e team has worked hard, and I am proud we have delivered signi cant production from a
second oil eld within OML 40, marking a sig- ni cant expansion and de-risking of our pro- duction base.”
Maxwell added: “Gbetiokun will deliver additional cash flow for Eland, and we are excited for the development of the licence going forward, with the further in ll drilling on Gbe- tiokun and Opuama and the near- eld explora- tion of Amobe prospect in 2019.”
Gbetiokun is Eland’s rst green eld devel- opment project. Equity in the eld is split 55% to NNPC, which serves as operator of the pro- ject, and 45% to Eland.
econtractareaisbelievedtohold82.2mn barrels of crude oil in proven and probable reserves.
Geo Associates to begin exploration drilling in Zimbabwe in H2-2020
Geo Associates, an Australian-Zimbabwean venture that serves as operator of the oil-bear- ing Muzarabani block, is reportedly set to begin exploration drilling on schedule in the second half of next year.
Paul Chimbodza, the head of Geo Associ- ates’ minority shareholder One Gas Resources, told the Zimbabwe Independent last week that the venture intended to launch its drilling pro- gramme in the third or fourth quarter of 2020. “[ is]isaperformanceobligationthatwehave set ourselves and agreed to with the Ministry of Mines and Mining Development,” he said in an interview.
Chimbodza indicated that Geo Associates had not yet selected the site of its rst well but stressed that the project had not fallen behind schedule. “Our teams are working around the clock to ensure that the project is drill-ready by the set timelines, and we are on course to ful l those obligations on time,” he said.
e venture wants to sink its rst exploration well to a vertical depth of about 4,000 metres and may drill a second sha if the data collected from the rst warrant further investigation, he noted. He put the cost of drilling at about $15- 20mn per well, saying he could not give an exact gure until Geo Associates arranged for the use of a rig.
“ e variance in cost will depend on where
we will be able to source the drilling rigs from,” he explained. “Such type of drilling demands highly specialised drill rigs and drilling [crews] that we unfortunately do not have in-country, and we are currently weighing our options on the best that could be available. We have a few alternatives that we are currently looking at, [such as] drill rigs out of Mozambique, which has had a lot of success in commercial gas nds. Our technical team is also looking in East AfricaandtheAmericasforasuitablerig.”
One Gas Resources holds a 20% share in Geo Associates. e remaining 80% is owned by Invictus Energy, which is listed on the Aus- tralian Securities Exchange (ASX).
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Week 31 06•August•2019
