FarLtd has informed that theoil contingent resource estimates for theSNE oil field have been increased.
The companycommissioned RISC Operations to prepare an IndependentResources Report for Far’s SNE oil field offshore Senegal.Theprojectis operated by Cairn with40% stake. Other partners are ConocoPhillips 35%, FAR 15% and Petrosen 10%.
According to Far, the report was prepared as at December2015 incorporating recent data available from wells SNE-1 and FAN-1 and reprocessed 3D seismic.
The SNE contingent resources set out in RISC’s Independent Resouce Report represent a materialincrease to the estimates previously reported by Far in late 2014 with the SNE field 2C contingent resource increasing by 42% to 468 mmbbls(100% basis, recoverable).
Far has requested RISC to update its independent assessment of SNE contingent resourcesfollowing results from each of the wells in the ongoing three well SNE appraisal progam.
Far announced the successful results from SNE-2, the first well of this appraisal program well, inearly January.The second SNE appraisal well (SNE-3) is currently undergoing preparations for a drill stem testing program following the successfuldrilling, coring and wireline logging of the well. SNE-3 has been drilled approximately 3 km southof SNE-1 at a location designed to evaluate the mid reservoir and upper hetrolithic” reservoirsections.
Step toward ‘significant’ development?
This well will be followed by BEL-1, to be drilled into the Bellatrix Prospect and evauatethe Buried Hill exploration play as well as being deepened to appraise the northern part of theSNE oil field.
RISC’s Independent Resource Report notes that the SNE field contingent resource estimatespresented have not been updated to reflect the results of the SNE-2 appraisal well orany other changes since December 2015, and that new data may materially impact thesecontingent resource estimates.
According to Far, the SNE discovery is at a very early stage of appraisal and will require significant further drilling,testing and studies before any commercial development scheme could be defined.
FAR Managing Director Cath Norman said:“The SNE oil field contingent resources estimated by RISC represent a significant upgrade on FAR’sprevious estimates. RISC’s 2C contingent resource of 468 mmbbls represents a 42% increase toFAR’s previously reported estimate of 330mmbbls.
“This increase to Far’s SNE oil field contingent resource estimates gives FAR increasing confidencethat the SNE reservoirs are of such a scale and extent to justify a significant commercialdevelopment.
“Further, our current appraisal drilling program continues with the safe drilling of the SNE-3 wellto total depth and we look forward to providing an update of the results of the SNE-3 well on thecompletion of the flow testing program.”
“We continue to be very pleased with the progress of the evaluation of our world class SNEdiscovery offshore Senegal.”
