When Cairn Energy started its four well appraisal of its SNE discovery in late 2015, the key objectives of the programme were to:
- Establish the productivity of the reservoirs
- Determine the reservoir continuity and connectivity
- Reduce the resource range uncertainty
This week, the company provided details of the results of the appraisal campaign as part of its half yearly results. The successful programme boosted 2C resources by 43% from 330mmbbls pre campaign to 475mmbbls and established flowrates of between 5000bopd and 8000bopd across four separate DSTs in two wells.
Uncertainty still remains however, particularly around the connectivity of the upper reservoirs and investigating this further will be a priority for the next phase of drilling planned for late 2016/early 2017, when the company intends to drill two more appraisal wells, with multiple options for further wells.
SNE schematic Source:Cairn Energy |
Cairn also provided an update to its resource range for SNE. Following the SNE-1 discovery well, the company estimated the 1C-2C-3C range to be 150-330-670 mmbbls. The most recent estimates have been independently prepared by ERC Equipoise and are now 274-473-906mmbbls. The uncertainty range has therefore increased post drilling, but with a shift to the upside. Looking at the change in STOIIP between the SNE-2 and SNE-4 appraisal wells, we can see that the 3C figure remains virtually unchanged, so that the increase in the upside estimate is driven by being able to increase the RF.
Company resource estimate post SNE-2 Source: Cairn Energy |
ERC Equipoise resource estimate post SNE-4 Source: Cairn Energy |
Hi Elaine - always a pleasure to read your updates! Hope all's well.
ReplyDeleteBest, Kim