The Transocean Spitsbergen is to drill the UK North Sea for oil and gas independent Hurricane Energy.
The news comes after Hurricane Energy announced that it had secured the £52.1 million (US$74.5m) needed to conduct appraisal drilling of its UK sector Lancaster field, with drilling now set to start later this year.
“We are delighted with the investment,” said Dr Robert Trice, Hurricane Chief Executive “which places Hurricane in a position to drill, test and evaluate two new wells on Lancaster this year.
Transocean To Drill North Sea With Hurricane
The Lancaster 7 Wells drilling campaign will comprise a pilot well and a horizontal sidetrack well, which are designed to refine the Lancaster Contingent Resource range (currently 62 – 456 MMboe), and provide a second future production well and provide new information to help optimally plan the Lancaster field development
The pilot well aims to confirm the oil water contact, evaluate the properties of a potential aquifer to establish how supportive it is of production and evaluate the overlying Victory sandstone resource range.
The horizontal sidetrack well aims to confirm production rates, further quantify reservoir characteristics through shut-in/pressure build-up tests and provide a second Early Production System (“EPS”) phase development producer.
Lancaster Field Development
Hurricane Energy hopes that drilling the Lancaster 7 Wells, will provide the necessary information to allow the company to make a final investment decision on the EPS phase of development during the first half of 2017, with first oil possible as early as 2019.
If the Lancaster field does go to full development, Hurricane have said that its current design consists of two horizontal production wells (the 2014 Horizontal Well and the planned 2016 Horizontal Sidetrack Well), tied-back to a dedicated FPSO host facility.
Sanction of the second phase of Lancaster’s development possible following a period of 24-36 months of continuous production from the EPS phase of development
Hurricane’s Dr Robert Trice
Trice added: “The Pilot Well is designed to determine our Lancaster Contingent Resource ranges ahead of any field development decision. The Horizontal Sidetrack is intended to establish flow rates that are at least similar to our 2014 horizontal well productivity as well as providing the remaining well stock for the EPS phase of development.”
“The successful completion of these two operations will enable us to advance the development of one of the UK’s largest yet to be developed fields. To be able to progress to this point, whilst retaining a 100% interest in all our assets, is a tremendous accomplishment and can only aid our continuing farm-out discussions which are progressing well. ”
“We look forward to the forthcoming operations using Transocean’s Spitsbergen rig. Both Hurricane’s and Transocean’s pragmatic approach to commercial models and the contractual negotiations which have developed between us are unprecedented. This is a breath of fresh air in today’s tough industry environment, making projects viable with valuable upside for both parties. We have created a great partnership and we look forward to a successful continuing relationship.”
Transocean Spitsbergen Rig
The Transocean Spitsbergen is an ultra deepwater semisubmersible drilling rig, delivered on 2009 by Aker Solutions’ Stord Shipyard, Norway.
The Spitsbergen has a design capability to operate in a maximum water depth of 9,843 feet (3,000m) and drill to a maximum depth of 35,000 feet (10,668m).