Cairn Energy is planning to extend its exploration and appraisal campaign offshore Senegal in the fourth quarter of 2016 or the first quarter of 2017.
The independent oil and gas company has already drilled six wells in two years and currently counts on more than 2.7 billion barrels of estimated gross oil in place on the SNE field offshore Senegal.
“Drilling is scheduled to re-commence in Senegal shortly, benefiting from lower costs across the sector,” Cairn Energy Chief Executive, Simon Thomson, said.
Cairn Energy Extends Hopes Offshore Senegal
“Successful appraisal of the world-class SNE discovery in Senegal has significantly increased 2C oil resources to 473 million barrels with associated oil in place in excess of 2.7 billion barrels,” he added in the company’s results for the first half of 2016.
According to the executive, the exploration programme offshore Senegal contains options for various wells and considers locations for further exploration drilling in the area, on top of the continued appraisal of the SNE field.
According to company estimates, the field’s exploration potential could mean an additional 500 million barrels of gross mean risked resources.
Meanwhile, the company informed, the rig tender for the next phase of appraisal and exploration is expected to benefit from the current lower cost environment.
Cairn Activities in the UK to Develop in 2017
Cairn is the operator, with a 40% working interest in the three blocks offshore Senegal, namely Sangomar Deep, Sangomar Offshore and Rufisque Offshore.
The company is working in partnership with ConocoPhillips (35%), FAR Ltd (15%) and the national oil company Petrosen (10%).
In the UK, Cairn Energy’s activities are also progressing as planned, with first oil expected to hit the Kraken and Catcher developments next year.
“Cairn’s exploration and appraisal focus in Senegal is balanced with development assets in the UK, with first oil targeted from both Kraken and Catcher during 2017 and in the meantime, Cairn remains fully-funded in respect of all its capital commitments,” Thomson explained.
Kraken remains on schedule with first oil expected in the first half of 2017, while Catcher is targeting first oil in the second half of 2017.