OILVOICE
2012 Quarter – Highlights
Africa: Morocco – Tarfaya Offshore Block
Processing of the 677 km2 Assaka 3D seismic survey over the Company’s
primary prospects Trident, TMA, and Assaka within the Tarfaya Block,
offshore Morocco was been awarded to CGG Veritas.
CGG Veritas commenced the Assaka 3D processing programme in early June
with expected completion by late October 2012.
Seismic AVO analysis by Schlumberger-WesternGeco has been completed on
selected reprocessed 2D seismic lines through the ‘flat spot’ anomaly
identified in the mid Tan-Tan Formation. Based upon this work the
results are indicative of high porosity and hydrocarbons in the
shallower Cretaceous sandstones.
Rock properties utlised for the AVO analysis are to be used to further
evaluate prospective intervals in the Cretaceous and work will begin
on the Jurassic carbonate sections.
Mapping has begun on rollover anticlines in Triassic grabens
underlying the Jurassic section. Preliminary results indicate the
structures add additional prospectivity to the Tarfaya block. The
Tertiary and Triassic age sections will be further evaluated in the
coming months.
Preliminary organic geochemical analysis of outcrop samples taken
during the November 2011 Field Trip has identified both Jurassic and
Cretaceous source rocks capable of generating two distinct families of
oils. These results are being compared to the oils at the Cap Juby
discovery adjacent to the Tarfaya block.
Macquarie Capital (Europe) has been engaged to act in the capacity of
financial advisor to Tangiers in respect to its proposed farm-out of
the Tarfaya Block. During the quarter Macquarie opened a physical data
room in London to provide potential farminee partners access to all
seismic data, Independent Resource and Competent Person’s Reports, and
all available well data relating to the Tarfaya Block. Tangiers gave
management presentations to potential farminee partners in London
during the month of June.
Presentations were received well by potential farminees and the
process is expected to be completed during the second half of 2012.
Australia: WA-442-P and NT/P81 Exploration Permits (Turtle and Barnett)
ISIS Petroleum Consultants (ISIS) opened a physical data room in Perth
for the purpose of securing farminee partner(s) to promote the future
3D seismic acquisition and exploration drilling programmes within the
WA-442-P and NT/P81 Bonaparte Basin Permit Areas, offshore Northern
Australia.
The primary focus is on the 14 Early Carboniferous age Milligans Fan
oil play leads and the Early Carboniferous to Devonian Nova and Super
Nova deep gas prospects, with a secondary focus on the future
shallower Carboniferous to Permian Turtle Barnett oil development
programme.
ISIS has estimated the combined mean gross unrisked oil-in-place
(STOIIP) for the 14 Milligans leads at 683 million barrels of oil with
a high side case of almost 1.5 Billion barrels of oil-in-place.
Gross unrisked mean Milligans Prospective Resources are estimated to
be 218 million barrels of oil with the high side case being 505
million barrels of oil.
ISIS has previously provided a Competent Person’s Report on the Nova
prospect, which indicated the mean undiscovered, unrisked gas
initially in place to be 6.93 trillion cubic feet of gas with an
unrisked gross prospective gas resource of 3.46 trillion cubic feet of
gas.
Tangiers published a paper in the May, 2012 APPEA Journal entitled
‘New Play Type, Southern Bonaparte Basin-Petrel Sub Basin-WA-442-P and
NT/P81 Exploration Permits’. A poster and talk were also given at the
APPEA conference on the new play type.
The ISIS data room and presentations for the farm-out have been
received well and the process is expected to be completed in the
second half of 2012.
An environmental study has commenced in advance of the seismic
acquisition over the WA-442-P and NT/P81 permits. It is anticipated
that this study should be completed by the end of the third quarter
2012.
Tenders have gone out for seismic acquisition vessels to shoot a ~650
sq km survey over the prospect areas. It is anticipated a decision
will be made by the end of the third quarter 2012.
Tarfaya Offshore Block – Morocco (75% and Operator)
The Tarfaya Block, offshore Morocco, is comprised of 8 contiguous
permits covering an area of 15,041 sq kms (approx. 3.7 million acres)
and is situated approximately 600 kms southwest of Morocco’s capital
Rabat, inshore from the Canary Islands on Morocco’s Atlantic Margin.
The Block contains multiple prospects and leads within the Jurassic
and Cretaceous sediments as well as emerging potential within the
Tertiary and Triassic Formations.
The company has recently awarded the 677 km2 Assaka 3D seismic
processing project to CGG Veritas. The processing programme commenced
in early June with completion expected in late October. The Assaka 3D
survey encompasses three of the Tarfaya Block’s primary prospects,
Trident, TMA, and Assaka, which have been independently assessed by
ISIS and NSAI to have a combined best estimate unrisked prospective
resource of 758 million barrels of oil. The four primary prospects
certified thus far by ISIS and NSAI within the Tarfaya Block now all
have been covered with 3D seismic. The La Dam prospect with a best
estimate gross unrisked prospective resource of 110 million barrels of
oil and has previously been covered by a 580 km2 3D seismic survey
acquired in 2006 and reprocessed in 2011.
The Company continues to focus exploration efforts towards maturing
multiple leads identified within the shallower Lower Cretaceous Sands
and Upper Jurassic dolomite horizons. Leads have also been identified
in the underlying Triassic section as well.
Schlumberger-WesternGeco has completed seismic AVO analysis on
selected reprocessed 2D seismic lines through the ‘flat spot’ anomaly
identified in the mid Tan-Tan Formation. Results of the 2D
simultaneous inversion work on the lines indicate that there are zones
of high porosity and hydrocarbon indicators at two levels within the
Cretaceous. Rock properties utlised for the AVO analysis are to be
incorporated into further simulation evaluation of the Cretaceous
Sands. The Jurassic carbonates will be examined for AVO anomalies as a
continuation of this work within the next quarter.
Once the Cretaceous mapping programme is complete and prospects
confirmed they will be submitted to an independent petroleum
consultant in order to provide a prospective resource estimate.
Attention will then shift to evaluating the potential of the Tertiary
and Triassic age sections.
Macquarie Capital (Europe) has been engaged to manage the farm-out
process for Tarfaya. The objective is to secure potential farminee
partner(s) and thus expedite the Tarfaya Block exploration programme,
specifically regarding the commencement of an exploration drilling
campaign during 2013. A physical dataroom was opened in London during
the quarter with management presentations provided during June. The
potential farminee partner(s) have been provided access to all seismic
data, Independent Resource and Competent Person’s Reports, and all
available well data relating to the Tarfaya Block. Macquarie also
serves in the capacity of financial advisor for the project.
WA-442-P (Turtle) and NT/P81 (Barnett) (90% and Operator)
These two contiguous permits encompass 3900 sq kms and are located in
the southern, shallow Federal waters offshore northern Western
Australia and Northern Territory, approximately 320 kilometres
southwest of Darwin. Situated southeast of the producing Blacktip gas
field, these two permits offer multiple play types. Tangiers has
identified an exciting new deeper gas play concept within the Early
Paleozoic interval, outstanding oil plays in the Early Carboniferous
Milligans Fans, and the Carboniferous to Permian undeveloped Turtle
and Barnett oil fields with the Messner and East Barnett oil leads in
the same interval.
The deeper gas play consists of two very large structures, Nova and
Super Nova with closures estimated at 450 sq kms and 550 sq kms,
respectively. These structures are believed to be located within
Devonian aged sediments below the mapped Top Bonaparte horizon and
underlie the Turtle and Barnett oil fields.
An independent evaluation and CPR prepared by ISIS on the upper
portion of the Nova prospect alone provides a mean gross unrisked
gas-in-place estimate of 6.93 trillion cubic feet of gas with an
unrisked gross prospective resource of 3.46 trillion cubic feet of
gas.
This new play type for the southern Bonaparte Basin was published in a
technical article in the May, 2012 APPEA Journal. A poster session and
presentation was also given at the APPEA conference in May.
Significant oil potential has also been identified within the
Early-Mid Carboniferous Milligans Fan oil play with 14 leads having
been mapped, 8 of which are structural with 6 being a combination
structural/stratigraphic in nature. A CPR prepared by ISIS Petroleum
Consultants on the Milligans Fan oil play assesses the combined mean
gross unrisked oil-in-place at 683 million barrels with a high side of
1,489 million barrels.
The mean gross unrisked prospective resources are estimated to be 218
million barrels of oil with an upside case of 505 million barrels of
oil. The Milligans interval has been intersected in previous wells
within the WA-442-P and NT/P81 Permit Areas with Turtle-2 and
Barnett-2 having flowed oil and gas on drill stem tests of the
Milligans sands. This serves to confirm the presence of an active
petroleum system at this horizon.
The shallower undeveloped Turtle and Barnett oil fields were
discovered in 1984 and 1985, respectively. Multiple oil bearing
reservoirs have been encountered within the Carboniferous to Permian
Keyling, Treachery, Kuriyippi, Tanmurra and Milligans formations.
Three zones tested oil within the Barnett-2 well having flowed up to
921 barrels of oil per day on jet pump from the Early Permian Lower
Treachery Sandstone. The crude was of excellent quality at 38.6° API
gravity. Engineering and reservoir studies have been undertaken to
assess suitable development concepts.
ISIS Petroleum Consultants (ISIS) opened a physical data room in Perth
during the quarter for the purpose of securing farminee partner(s) to
promote expanded future 3D seismic acquisition and exploration
drilling programmes within the WA-442-P and NT/P81 Bonaparte Basin
Permit Areas, offshore Northern Australia. The primary focus is on the
14 Milligans Fan oil play leads and the Nova and Super Nova deep gas
prospects with the secondary focus on the future Turtle Barnett oil
development programme. The process has been well received and is
expected to be completed in the second half of 2012.
As part of its work commitments and in order to further delineate the
prospects and drill targets, Tangiers is proposing to conduct a 3D
seismic shoot over its block. The proposed seismic polygon will
capture the Nova and Super Nova structures, the majority of the Turtle
Barnett field as well as a substantial portion of the Milligans
prospects. Tenders have gone out for seismic acquisition vessels to
shoot a ~650 sq km survey over the prospect areas. It is anticipated a
decision will be made by the end of the third quarter.
An environmental study has commenced in advance of the seismic
acquisition over the WA-442-P and NT/P81 permits. This study is
anticipated to be completed by the end of the third quarter.
ATP-587-P Cooper/Eromanga Basins, Onshore Queensland (100% and Operator)
ATP-587-P consists of 12 Blocks to the west of the Thomson River
between Stonehedge and Jundah southeast of Longreach and covers
approx. 946 sq kms. Geologically the tenement is situated within the
Mesozoic Eromanga Basin with the southeast portion of the tenement
being underlain by the northeastern edge of the Late
Paleozoic-Triassic Cooper Basin. In addition to conventional oil and
gas, the area is thought to have potential for coalbed methane gas and
oil shale plays.
ATP-587-P is covered by regional seismic with detailed 2D grids over
four prospects. Consistent with prior announcements the company is
currently assessing its long term plans for this permit.
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