In a company presentation delivered last week, Serica Energy gave an operational update on its current projects as well as an exploration outlook.
The most exciting upcoming activity will no doubt be the drilling of North Eigg just northwest of the currently producing Rhum field. The below map, probably showing the top of the Upper Jurassic reservoir in the area, clearly outlines the Rhum four-way closure and its three development wells. According to Serica, North Eigg shares many similarities with Rhum, so we assume that it is also Upper Jurassic turbiditic sandstones forming the main target there. The main difference with Rhum is that North Eigg relies on fault sealing against the East Shetland Platform bounding fault, which no doubt carries a risk.
In case North Eigg comes in positively though, this would further de-risk the South Eigg prospect, adding gravity to another exploration well post North Eigg. North Eigg is expected to hold around 70 MMboe.
Rhum
The Rhum field is an HPHT accumulation (top reservoir at around 4600 m) that was discovered in 1977 by well 3/29a-2. An earlier well (3/29-1), which was drilled in 1973, was abandoned due to high gas pressures. Originally operated by BP and partnered by the National Iranian Company, the field came on stream in December 2005 and has produced 99 MMboe so far, most of it being gas. The field is being produced through a subsea tie-back to the Bruce platform 44 km to the south.
Sanctions
With the Iranian Oil Company being partners at 50%, Rhum field production was impacted in the past through sanctions imposed by the US. This resulted in a complete stop of production between 2010 and 2014. Since the takeover by Serica in November 2018, the company has managed to secure a waiver for Rhum production and has so far has been able to produce continuously.
Columbus
Serica is currently operating a development well at the Columbus discovery in the UK Central North Sea, where it aims to drill a 5,600 ft horizontal well into the Forties Sandstone main reservoir. Columbus is expected to hold in excess of 14 MMboe.
HENK KOMBRINK
