Oilexco Says Completion Phase of Brenda Field Exceeds Expectations
Oilexco has completed on schedule, and on budget, the initial drilling and completion phase on it's 100% owned Brenda Field (Block 15/25b) development located in the UK Central North Sea. This phase consisted of the drilling and completion of three horizontal production wells: 15/25b-D1, 15/25b-D2 and 15/25b-D3. In addition, the top-hole section of a fourth (reserve) production well 15/25a-D4 was drilled into the reservoir and cased to the point of horizontal position. The timing of the drilling of the horizontal leg of this well is a function of reservoir performance. This operation is tentatively scheduled for the first quarter of 2007.
The three horizontal production wells were flow tested as part of the well completion and clean-up program.
The flow test results are as follows:
1. The production well 15/25b-D1 flowed oil at a maximum rate of 6,301 Bbl/d, through a 66/64" choke, at 509 psi flowing tubing pressure.
2. The production well 15/25b-D2 flowed oil at a maximum rate of 9,765 Bbl/d, through a 64/64" choke, at 521 psi flowing tubing pressure.
3. The production well 15/25b-D3 flowed oil at a maximum rate of 10,417 Bbl/d, through a 64/64" choke, at 552 psi flowing tubing pressure.
Based on calculated well sand-face productivity indices, calculated well flow rates normalized to a 8% reservoir pressure drawdown are as follows:
1. The production well 15/25b-D1 would have a calculated oil flow of 10,000 Bbl/d, based on a calculated sand-face productivity index of 50 Bbl/d per psi drawdown.
2. The production well 15/25b-D2 would have a calculated oil flow of 14,000 Bbl/d, based on a calculated sand-face productivity index of 70 Bbl/d per psi drawdown.
3. The production well 15/25b-D3 would have a calculated oil flow of 20,000 Bbl/d, based on a calculated sand-face productivity index of 100 Bbl/d per psi drawdown.
All oil recovered was 40 degrees API sweet crude consistent with oil recovered on previous Brenda flow tests. Oil flow rates were restricted by the test equipment utilized and government mandated oil volume burn limit regulations. No water or sand was produced in the three flow tests.
The three completed Brenda production wells are currently capped with sub-sea production Christmas Trees awaiting tie-in to the Brenda manifold. This operation is expected to commence on schedule after the completion of the sub-sea installation phase of the Brenda/Nicol development in August.
"The completion flow tests for the three wells exceeded our expectations. Their sand-face productivity indexes and normalized flow calculations suggest a possible combined production rate of 44,000 barrels of oil per day, though we will restrict their flow once in production to adhere to good reservoir management practices," said Oilexco President and CEO Arthur Millholland. "We are also very pleased with how smoothly this phase of the Brenda development was completed," he added. "It is a testament to our philosophy of in house project management that the production wells were completed on schedule, and on budget, in a market that has experienced cost inflation, lengthy delays and significant cost overruns. The Oilexco team continues to work diligently to ensure ensuing project targets are achieved on schedule, and on budget, with first oil continuing to be targeted early in the fourth quarter."
The Sedco 712 is now located on the company's 70% owned Nicol Field (Block 15/25a) where drilling operations have commenced on the first Nicol horizontal production well 15/25/a-N1. The drilling and completion phase of the Nicol Field development is expected to take approximately 28 days.
After completion of operations at Nicol, the Transocean Sedco 712 will move to Block 21/23a to conduct further appraisal drilling on the Eocene Tay Sand oil accumulation discovered in May 2006. A cluster of four appraisal well-bores is planned to be drilled on the south-half of the structure. In addition the name of this oil accumulation has been changed from Disraeli to Sheryl. After completion of appraisal drilling in Block 21/23a, the Transocean Sedco 712 will continue with appraisal drilling at Shelly located in Block 22/2b (100%) and Kildare located in 15/26b (50%) respectively.
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