Page 16 - LatAmOil Week 17 2022
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LatAmOil                                     NEWS IN BRIEF                                          LatAmOil








       “We have worked to optimise the Maromba
       development plan since the acquisition in 2019
       and during the COVID-19 pandemic. This
       includes technical evaluations, full-spectrum
       analysis of geological, seismic and well data, as
       well as extensive reservoir modelling and simu-
       lations. Based on our findings, we have decided
       to proceed with a development with six hori-
       zontal production wells connected to a FPSO to
       unlock significant oil production and long-term
       value generation for our stakeholders,” said Carl
       K. Arnet, the CEO of BW Energy.
         A development in stages enables improved
       reservoir monitoring and optimisation of the
       second drilling campaign. Total oil production
       at peak is expected between 30,000 and 40,000
       barrels per day (bpd). The technical evaluation
       revealed that water injection is not required for
       the first three wells and is a contingency for the
       second drilling campaign.           see strong interest from various sources,” Arnet  barrels of oil equivalent per day (boepd) to Ron-
         Extensive work has also confirmed that Dual  continued.                cador, bringing daily production to approx-
       Electric Submersible Pumps offer the best artifi-  The FID is subject to completion of the  imately 150,000 barrels per day (bpd) and
       cial lift solution with extended life and reduced  financing for the project. The Brazilian regula-  reducing the carbon intensity (emissions per
       workover frequency. The subsea layout has also  tor, ANP, has approved the development plan  barrel produced) of the field.
       been enhanced to reduce costs and facilitate  and the Company expects to receive full IBAMA   Through this first IOR project, the partner-
       future expansions.                  environmental approval in due course.  ship will drill 18 wells, which are expected to
         FPSO Polvo, “a near perfect fit” – The FPSO   Maromba Field: Maromba is located off the  provide additional recoverable resources of
       Polvo recently ended its charter on the Polvo  Brazilian coast in the Campos Basin in approx-  160mn barrels. Improvements in well design
       field in Brazil, which is located close to the  imately 160 metres of water depth. Nine wells  and the partners’ combined technological expe-
       Maromba field and has similar oil and reservoir  were drilled in the license between 1980 and  rience are the main drivers behind the 50% cost
       characteristics. An assessment of refurbishment  2006, and oil was found in eight of these across  reduction across the first six wells, including the
       costs has been completed and discussions with  various reservoirs. Gross 2C reserves in place  two in production.
       relevant shipyards are well underway. The FPSO  are estimated at 467mn barrels with approxi-  Roncador is Brazil’s fifth largest producing
       will be designed for up to 10 production wells  mately 100mn barrels estimated as recoverable  asset and has been in production since 1999.
       with 1.2mn barrels of storage capacity. The total  volumes. BW Energy acquired 100% ownership  Petrobras is the operator of the field (75% equity)
       liquid capacity will be 85,000 bpd with oil pro-  in Maromba in 2019 for a total of $115mn, of  with Equinor (25% equity) entering the project
       duction capacity of 65,000 bpd and water treat-  which $85mn remains to be paid to the sellers at  in 2018 as a strategic partner.
       ment capacity of 75,000 bpd.        predefined milestones.                 “We are very proud of what the partnership
         BW Energy has signed an agreement to pur-  The Company will provide further infor-  between Petrobras and Equinor has achieved,
       chase the FPSO from BW Offshore effective no  mation on the Maromba development plan in  delivering this project ahead of schedule and
       later than July 24, 2023, for a total consideration  connection with the first-quarter 2022 earnings  below budget. This milestone demonstrates
       of $50mn. The valuation of the FPSO has been  release on May 27.         the partnership’s ability to increase production
       confirmed by an independent third party. The   BW Energy, April 22 2022  and value through technology. We will continue
       agreement to purchase the FPSO, instead of                               combining our capabilities to improve recovery
       entering a traditional lease and operate contract,   Petrobras and Equinor start   from Roncador and extract further value from
       is a consequence of related- and associated-party                        the field. Petrobras will leverage its experience
       tax legislation in Brazil.          production on IOR project            as one of the largest deep-water operators and
         Final Investment Decision (FID): “The FPSO                             pre-salt developers in the world and Equinor will
       Polvo is a near perfect fit for Maromba. We know   at Roncador, Brazil   draw on its technology, expertise and decades of
       the vessel well and have extensive in-house com-                         experience in IOR on the Norwegian Continen-
       petencies and capabilities in planning and exe-  Petrobras, the operator, and Equinor have suc-  tal Shelf,” says Veronica Coelho, Equinor coun-
       cuting such a repair and life extension project.  cessfully started production from the first two  try manager for Brazil.
       Re-using existing energy infrastructure enables  wells of the increased oil recovery (IOR) project   In addition to the planned 18 IOR wells, the
       reduced investments, shorter time to first oil  at Roncador. This represents an important mile-  partnership believes it can improve recovery fur-
       and significantly reduced CO2 emissions in the  stone in the development of the field, increasing  ther and aims to increase recoverable resources
       development phase as compared to installing  recovery rates, adding valuable production and  by a total of 1bn barrels of oil equivalent. The
       new production assets,” said Carl K. Arnet.  demonstrating the potential to leverage new  field has more than 10bn barrels of oil equiva-
         “We are also mindful of the inflationary pres-  technology.            lent in place, under a license lasting until 2052.
       sures affecting our industry as we progress con-  The two wells are the first of a series of IOR  The strategic alliance agreement also includes an
       tract discussions with the shipyards and for other  wells to reach production. Start-up is almost  energy efficiency and CO2 emissions reduction
       long-lead items. We are also evaluating financing  five months ahead of schedule and at half of the  programme for Roncador.
       alternatives for the field development plan and  planned cost. The wells add a combined 20,000   Equinor, April 20 2022



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