1

Relinquishment Report

for

Licence P194 (9/5a), P404 (9/10a) and P118 (10/1a)

Estimates, statistics, opinions and forecasts contained in this document are based on

TOTAL’s own information and knowledge. They are provided in good faith, but, by their nature,

are based on a number of assumptions and are subjective. Readers should therefore carry out

appropriate reviews and due diligence to satisfy themselves as to all information contained in

this document including, without limitation, TOTAL’s opinions, prospect evaluations, reserve

figures, production and cost forecasts and all technical aspects of production, transmission

and other facilities.

While this information was prepared in good faith, no representation or warranty, expressed or

implied, is or will be made, and no responsibility or liability is or will be accepted by TOTAL or

any of their respective affiliates or subsidiaries, employees, officers, directors and agents as

to, or in relation to, the accuracy or completeness of this document and any liability thereof is

hereby expressly disclaimed.

In furnishing this Relinquishment Report to DECC, TOTAL undertakes no obligation to provide

any Third party recipient with access to any additional information.

2

Contents 1. Licence Information ........................................................................................................................ 3

2. Licence Synopsis .............................................................................................................................. 3

3. Work Programme Summary ........................................................................................................... 4

4. Database ......................................................................................................................................... 4

5. Prospectivity.................................................................................................................................... 5

6. Further technical work undertaken ................................................................................................ 7

7. Resource and Risk Summary ........................................................................................................... 7

8. Conclusions: remaining prospectivity ............................................................................................. 8

9. Clearance ........................................................................................................................................ 8

Figure 1. P194, P404 and P118 licenses and Seismic database .............................................................. 4

Figure 3. Balder Lobe Lead Seismic Section ............................................................................................ 5

Figure 4. Balder Lobe Lead Depth Map ................................................................................................... 6

Figure 5. Regional Stratigraphic Chart .................................................................................................... 6

Figure 6. 9/5a-3 Balder feeder channel .................................................................................................. 7

3

1. LICENCE INFORMATION

Licence Number: P194, P404 and P118

Licence Round: 3rd Round licence

Licence Type: Traditional

Block Numbers: 9/5a, 9/10a and 10/1a

Total E&P UK Ltd confirms DECC is free to publish this report and that all third party

ownership rights have been considered and appropriately cleared for publication

purposes.

2. LICENCE SYNOPSIS

Blocks 9/5a, 9/10a and 10/1a contain the UK part of the Frigg Field (Fig.1), which

was unitised in 1976 under the Frigg Field Unitisation Treaty and the Frigg Field

Agreement between the governments of the UK and Norway. TEP Norge was

designated field operator. Frigg was discovered in 1971 and development approval

received in 1974. A column height of 160m of dry gas lying over a 9m thick oil rim

was calibrated in the sandy turbiditic reservoirs of the Frigg formation, Lower Eocene

in age. IGIP are estimated around 247 Billion std.m3. A total of 191.7 Billion std.m3

was produced between Sept. 1977 and Aug. 2004, date of the final shutdown. DECC

has requested TEPUK to relinquish 9/5a (P194), 9/10a (P404) and 10/1a blocks

(P118) as the Frigg field ceased production more than 5 years ago (as per UKCS

DECC rules.

Block 10/1 was first awarded in June 1970 in 3rd Round to a Total operated group

and partially relinquished in January 2006 to create block 10/1a.

Block 9/10 was first awarded in November 1965 in 2nd Round to a Total operated

group as part of licence P090, then split in 1971 into 9/10a and 9/10b. Block 9/10a

(including Frigg Unit) was given a different licence number (P404) in December 2004

and part of it was relinquished in December 2007.

Finally, Total/Elf acquired Frigg Unit interest in the 9/5 block in July 1993. Block

9/5aN part was totally relinquished in March 2004 and the Block 9/5aS was

relinquished in March 2008 leaving just the current block 9/5a as licensed acreage.

4

Figure 1. P194, P404 and P118 licenses and Seismic database

3. WORK PROGRAMME SUMMARY

All original work programmes completed.

4. DATABASE

TEPUK has full 3D seismic coverage across the P194, P404 and P118 licenses.

Figure 1 shows a map of the seismic database used.

The well results on the P194, P404 and P118 licences and on previous licenses are

summarised in the table below:

Well Operator Spudded Completed TD (m) Results Comments

10/1a-1 &

1ATotal Oil Marine

31/12/71 (1)

27/02/72 (1A)

08/02/72 (1)

06/05/72 (1A)

900 (1)

2846 (1A)

P/A Gas &

Oil

Primary objective Lower Eocene Frigg Sands already proven in the

Norwegian side and known to extend into the UK area. 1 Well P/A for

operational problems. 92m gross reservoir with a full gas column (N/G 88%,

95% SG) & 11m of oil (N/G 100%)

10/1a-2 Total Oil Marine 09/05/72 24/06/72 2500 P/A DryObjective was to verify presence of gas bearing Frigg Sands. Minor gas

shows up to 3.8% C1 in the 40m net Frigg sands

10/1a-3 Total Oil Marine 18/09/75 16/11/75 2760P/A Gas &

OilAppraisal well to define extension and quality of Frigg Field western flank.

Very shaly reservoir with 14m of Net gas pay. Average SW 90%

10/1a-4 ELF 21/11/75 10/01/76 2650P/A Gas &

Oil

Appraisal well to define extension and quality of Frigg Field western flank.

Gross sand is 235m with a Net of 170m. Net gas pay 114m with a SG 90%

and Net oil pay of 94m with a SO 82%

10/1a-5 &

5ZELF

05/12/84 (5)

11/01/85 (5Z)

10/01/85 (5)

08/03/85 (5Z)

1590 (5)

2870 (5Z)

P/A Gas &

Oil

Appraisal well to define HC contact in the Frigg Field south-western flank.

Initial well (5) got stuck at 1438m and was P/A. Gross of 104m Gas bearing

sands with a GS 89%. 23m Oil column with a SO of 49%

5

5. PROSPECTIVITY

Balder Lobe Lead

The Balder lobe lead is located just West of the main Frigg field (Figs. 2 and 3) and

corresponds to the Eocene Balder stratigraphic unit (Fig. 4). 9/5a-3 well encountered

8m oil leg column at the Balder (Forties sand) interval (Fig. 5). It corresponds to a

small 4 way-dip closure, upstream in the feeder channel of the Balder lobe. At the

9/5a-3 well location, Frigg channel and lobes do not interact with deeper Balder

interval (Fig.5).

Wells 10/1-2 and 10/1-3 have penetrated the Balder lobe water bearing (Fig.3). At

this location, the Balder lobe 4 way-dip closure straddling blocks 9/5 and 10/1a

(P118) seems to be in direct communication with the Frigg interval, as illustrated on

the seismic section in Figure 2. The Seal risk was therefore identified as critical for

the Balder lobe (Pseal = 20%).

Figure 2. Balder Lobe Lead Seismic Section

Balder Lobe Lead

Channel

Communication?

Frigg Field

Top Cretaceous

Flat Spot

NW SE

Top Frigg

Top Balder

A A’

C.I. = 20m

Frigg Field

A

A’

Top Balder Structural Depth map

6

Figure 3. Balder Lobe Lead Depth Map

Figure 4. Regional Stratigraphic Chart

Balder lead 4WD ClosureArea = 5.94 km2

Volume = 75 Mm3

Crest = 1982 mSpill Point = 2038 m

HC Column = 56 m

9/5a-3

10/1a-2

10/1a-3

10/1a-5Z

Balder Depth map (C.I.: 10m)

Dry well

HC well

Petroleum results at

Balder

Interval

10/1a-4

10/1a-1a

Frigg Field

7

Figure 5. 9/5a-3 Balder feeder channel

No additional prospectivity was identified deeper than the Eocene stratigraphic

interval.

6. FURTHER TECHNICAL WORK UNDERTAKEN

In order to de-risk the seal parameter, an AVO cube has been generated over the area. Unfortunately, no AVO anomalies have been identified at the Balder lobe location.

7. RESOURCE AND RISK SUMMARY

Resources Mboe

Stratigraphic

Level Min Mode Max Mean PS

Net Risked Mean

Resources

Balder Lead Eocene 14.5 20 83.4 31 13% 2.9 Mboe

The overall POS of Balder Lobe Lead has been calculated at 13% (1*1*.9*.7*.2)

with Unrisked Mean oil Resources of 31 MMboe. The main risk is the lateral seal

with a PS of 20%. The geometry is risked at 70% and the reservoir has been risked

at 90%.

Structural depth map showing Frigg field & and a large lobe shape at

Top Balder. Well penetrations located within the main feeder channel

and in the South East flank of the lobe shape

down-dip wells

controlling contact

9/5a-3

Structural Depth map Top Balder

Lobe shape at

Top Balder

Frigg Field

Balder / Tuff

Well 9/5a-3

10/1-3

10/1-2

Balder/Forties reservoir Fms more than

90m Gross sand thickness identified at well

location

Log results shown a 8m Oil leg (2128-2136)

at the top of the Forties Fm, 1 segregated

light oil & mud filtrate sample was taken

9/5b NexenBalder lobe

13km2, Potential 60m HC column

Crest :1960m

26Round Commit.

Shoot 3D,DoD

NW SE9/5a-3

Balder

Feeder

Channel

Frigg

Feeder

Channel

C.I. = 20m

Frigg FieldB

B’

B B’

Res DTGR

9/5a-3

8

8. CONCLUSIONS: REMAINING PROSPECTIVITY

TEPUK has identified a lead at the Balder level mainly located on 9/5b Nexen block

and the proposed relinquishment 10/1a block. With a critical risk on lateral seal, the

risked stakes for the Balder lead are very small (Mean risked resources = 2.9 Mboe)

and are not worth pursuing. Furthermore, the Frigg operator, TEP Norge, conducted

a pre-abandonment study of the remaining potential in the Frigg Field in 2013. This

study showed that no commercial volumes remained to be exploited, either in the UK

sector or in Norway, and the field has therefore been abandoned and the facilities

decommissioned. The details of the abandonment are given in the Frigg Field

Cessation Plan Close Out Report, dated 12th May 2011.

Therefore, based on very limited remaining opportunities on the 9/5a (P194), 9/10a

(P404) and 10/1a (P118), TEPUK has recommended relinquishment of all 3 part

blocks.

9. CLEARANCE

Total E&P UK Ltd confirms DECC is free to publish this report and that all third party

ownership rights have been considered and appropriately cleared for publication

purposes.