Esgian Week 38 Report: Contracting has Slowed

Sunday, September 22, 2024

Esgian has no rig contracts to announced but provides an update on rig moves and drilling operations in the US Gulf of Mexico, Canada, Morocco and Norway in its Week 38 Rig Analytics Market Roundup.

Report Summary

Drilling Activity and Discoveries

ExxonMobil has abandoned the Persephone C-54 well on EL 1169 in the Orphan Basin offshore Newfoundland, Canada.

Seadrill’s 12,000-ft drillship West Neptune has resumed drilling operations on LLOG’s Who Dat South exploration well in the US Gulf of Mexico, as post-tropical cyclone Francine is no longer a threat to oil and gas activities in the area.

Energean has completed drilling the Anchois-3 well on the Lixus license offshore Morocco, with partner Chariot Limited reporting that the well has “not delivered as anticipated or in line with the excellent results of the previously drilled Anchois-2 well.”

In a decision dated 11 September 2024, Judge Carlos Albero Villalva Del Alvar of Distrito Judicial de Santa Marta has ordered Petrobras and partner Ecopetrol to immediately suspend all drilling and related activity at the Uchuva-2 well and Tayrona Block offshore Colombia.

Equinor and its partners have made an oil and gas discovery in wells 15/3-13 S and 15/3-13 A on the Gudrun field in the North Sea off Norway.

In a final update following Tropical Storm Francine, the Bureau of Safety and Environmental Enforcement (BSEE) has confirmed that no personnel remain evacuated from offshore rigs in the US GOM and no dynamically positioned rigs are still moved off location.

TotalEnergies has started production from the Fenix gas field, located 60 km off the coast of Tierra del Fuego in Southern Argentina.

Demand

Europa Oil & Gas, i3 Energy’s partner in the Serenity license in the UK North Sea, does not intend to apply to the North Sea Transition Authority (NSTA) for an extension to the license, which is due to expire on 30 September 2024.

Pharos Energy is continuing plans for potential exploration drilling on Block 125 offshore Vietnam, with long lead times ordered in August 2024 and discussions ongoing with potential farm-in partners and rig contractors required to progress exploration on the block.

Mobilization/Rig Moves

Noble’s CJ70492-ft jackup Noble Invincible has completed its current term with Aker BP and is moving towards a new location offshore Norway to work for DNO.

Vantage Drilling-managed 375-ft jackup Topaz Driller has completed its yard stay in Singapore. It will start its contract with Carigali-PTTEPI Operating Company (CPOC) soon.

The 375-ft jackup drilling rig Baltic, recently sold by Shelf Drilling, has departed Nigeria aboard the Seaway Eagle heavy-lift transportation vessel and is en route to its new owner in Southeast Asia.

Valaris' 350-ft jackup rig, Valaris 147, which had been stationed at the Ras Tanura anchorage following the suspension of its contract with Saudi Aramco, is now en route to Abu Dhabi Free Port.

P&A specialist Well-Safe Solutions’ 1,500-ft semisub rig Well-Safe Guardian has demobilized from the North Sea to a port in Scotland.

Other News

State-owned Surinamese company Staatsolie intends to participate in the development of Block 58 offshore Suriname along with TotalEnergies and APA Corporation and is considering issuing bonds to finance this.

Shelf Drilling and Shelf Drilling (North Sea), Ltd. (SDNS) have announced that the entities, including SHLF MergCo, have entered into an agreement and plan of merger whereby SDNS will become a wholly owned subsidiary of Shelf.

China National Petroleum Corporation (CNPC) subsidiary PetroChina Investment Suriname B.V. and Suriname’s state oil company Staatsolie have signed production sharing contracts for Blocks 14 and 15 offshore Suriname.

Following a recent formal award of three new licenses in the UK to Hartshead Resources, the UK’s North Sea Transition Authority (NSTA) has now fully executed and formally awarded all six licenses to the company.

Australia’s Minister for Industry and Science, Ed Husic, has indicated that Asset Energy's applications related to the PEP-11 offshore permit in New South Wales (NSW) should be refused.

The Norwegian Ocean Industry Authority (Havtil) has granted Equinor consent to use the 1,640-ft semisub Transocean Encourage for production drilling on a field offshore Norway.

Southeast Asia-focused E&P company Longboat Energy has changed its name to Seascape Energy Asia plc to reflect its recent strategic focus change.

Chevron and its partners in the Aphrodite field on Block 12 offshore Cyprus have signed an agreement with the government of Cyprus for a standstill period to continue holding discussions regarding an updated plan of development for the field.

Eight Japanese companies have signed agreements with the Japan Organization for Metals and Energy Security (JOGMEC) to conduct a study on the transportation and injection of CO₂ from Japan to depleted offshore gas fields in Sarawak, Malaysia.

The Bayu-Undan field joint venture and TIMOR GAP have now executed a Sale and Purchase Deed (SPD) to transfer a 16% interest in the Bayu-Undan upstream project, located offshore Timor-Leste, to TIMOR GAP, with an economic date of 1 July 2024.

EOG Resources' proposed multi-well drilling plan for the Beehive structure offshore Western Australia is now being assessed by the Australian offshore energy regulator NOPSEMA.

Australia-focused Cooper Energy is proposing to conduct an exploration drilling program within Commonwealth waters of the Otway Basin as part of the Athena Supply Project.

NEO Energy is seeking an extension of the license P2498 in the North Sea, which contains the Buchan Horst project, as the company awaits clarity on the fiscal and regulatory uncertainties currently facing the UK's oil and gas industry.

Melbana Energy Limited has been granted petroleum exploration permit WA-552-P in the Dampier sub-basin of the Northern Carnarvon basin offshore Western Australia.

Australia’s Woodside has submitted a five-year revision of the Pluto Facility Operations Environment Plan to incorporate the Xena-03 well.

Categories: Offshore Drilling Oil and Gas

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