Click to edit Master title style Subsea Expo€¦ · Area Plans Complete (Transitioned to Execute)...
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Subsea Expo
Area Plans & Resource Maturation in CNS
7th February, 2019
Alistair Macfarlane, Business Development Manager CNS, OGA
Agenda
Opportunity in the Central North Sea and Moray Firth Area
OGA Strategic Levers
o Stewardship - Field Development Roadmap
o Licensing
o OGA Area Plans
− 2019 31st Supplementary Licence Round – Greater Buchan Area
− Greater J Ridge
Summary
UKCS Undeveloped Opportunities
3.3bn boe in UKCS marginal discoveries (50% in the CNS/MF area)
0
1
2
3
4
5
6
ProspectsMarginal
discoveries
Proposed
projects In-fieldReserves
(2P)
4.1
3.3
2.1 2.1
5.4
Contingent resources
Bn
bo
e
Reserves and Resources Potential
(P50 recoverable, UKCS, end of 2017)
WoS, 0.85
NNS, 0.42
MF, 0.56
CNS, 1.14
SNS/IS, 0.33
Marginal Discoveries by Area
(End of 2017, Total 3.3 Bn boe)
CNS – Central North Sea
MF – Moray Firth Basin
WoS – West of Shetland
NNS – Northern North Sea
SNS/IS – Southern NS and Irish SeaSources: OGA’s 2017 Resource and Reserve Report, and OGA’s 2017 PARS database
FDP Roadmap
Formal Concept Select Agreement with OGA
Assessment
• Consultation on
Project Execution
Plan
• Consultation on
Concept Selection
• Consultation on
Supply Chain
Action Plan
• Technology & EOR
screening
OG
A
BE
IS
Environmental
Statement
preparation
OGA
agreement
to Concept
Select
Authorisation
• Project Execution
Plan
• FDP/FDPA
• Field Determination
• Unitisation & Unit
Operating
Agreements
• Field Operator
Approval
• Environmental
Statement
consultation
• Decommissioning
security
arrangements
Design or
Relocation
NotificationHS
E
Final
FDP
Execute
• Monitor project
execution
• Commissioning
Flare Consent
issued
• Pipeline Works
Authorisation
Safety Case acceptance by
Offshore Safety Directive
Regulator (if required)
First
Product
ion
Evaluate alternative
development
concepts
Industr
y r
equirem
ents
PhaseFully define development
scope and detailed
implementation plan
Build the development,
finalise the operating
plan
Source: OGA’s 2017 Requirements for the planning and consent to UKCS Field Developments
Licensing
Licensing simpler, more flexible and predictable
2017 2018 2019 2020 2021201
6
29th
30th
Launch Applications Awards
Awards
Launch Applications Awards
‘Mature’ Areas
‘Frontier’ Areas
‘Frontier’
31st
Seismic Data Release
120-day Application Period Introduced
90-day Application Period
New Innovate Model Licence Clauses
32n
d3
3rd
Launch Applications Awards
‘Mature’ Areas
Launch Applications Awards
‘Frontier’ Areas
Prospect Data ReleaseG
r B
uch
an
Launch Applications Awards
‘Mature’ Areas
Supplementary Licensing Round
Greater Buchan Area
Data Release
28th Round Licenses awarded
29th Round Licenses awarded
30th Round provisional award
31st Round blocks offered
Restricted areas
Blocks licensed previous rounds
Wells drilled since OGA established
36 applications from 35
companies for 164 blocks
123 licences awarded for 229
blocks to 61 companies
90-day Application Period
Area Plans
Complete (Transitioned to Execute)
Penguins
Fram
Arran
Columbus
Vorlich
Gannet (Fulmar
Bypass)
CMS
Redevelopment
Area Plans
Area Plan – a proposal for action developed in partnership between the OGA and
industry as to how economic recovery should be maximised in a particular
geographical area of the UKCS based on analysis of evidence.”OGA Guidance on the Development and use of Area Plans ( July 2017)
Innovative approach blending licensing with area plans
8
• A diverse portfolio of undeveloped discoveries, prospects and leads
• Existing infrastructure is utilised in the most MER effective manner
• Potential of up to 300mmboe
• 2/3rd of acreage is unlicensed
• Additional scoring category - Area Plan (100 marks, max)
• Strategic vision for the area to achieve MER (25 marks, max)
• Incorporation of nearby prospectivity and discoveries and how these could
be enabled (25 marks, max)
• Collaboration with area licensees, Joint applications, willingness to be
‘partnered’ (20 marks, max)
• Clear demonstration of understanding of risks and opportunities (10 marks,
max)
• Realistic time bound and funded activity plans (20 marks, max)
• Area Data collated and released to industry
Supplementary Area
Licensed Blocks
Condensate field
Gas field
Oil field
Discovery
Key
Prospects & Leads
Eocene
Paleocene
Lower Cretaceous
Jurassic
Permian
Devonian
Greater Buchan Area Supplementary Round
Infrastructure Challenge
Greenfield & Brownfield
CGA - Greater J Ridge Area Plan
Area Plan Goals
Size of Prize
c. 1 billion boe of base, incremental
and potential
Maximise and utilise Greater J Ridge
infrastructure
and extend CoP’s
New fields on-stream, using
appropriate infrastructure before 2025
Plans in place to develop other
economically recoverable resources in
the area before 2025
Unlock greater HPHT hydrocarbon
potential by risk reduction through
application of new technology and
HPHT clustering strategies
Substantial value to be created
Summary
UKCS still has significant opportunities
2018 saw successful Area Plan delivery in Central Graben Area
OGA CNS team strategically active with Area Plans and covering Greater J
Ridge, Greater Buchan Area and Q15
The OGA is strategically attempting to enable success through:
o Asset Stewardship
o Licensing approach
o Area Plans
o And ongoing focus on technology
Success will require industry to:
o Engagement early and collaborate between supply chain & operators to
optimise concepts
o Develop and deploy Technical innovation
o Joint developments
o New commercial models
End