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Shell to begin pilot water injection project at Thai field

By an OGJ Online Correspondent

BANGKOK, Dec. 28 -- A unit of the Royal Dutch/Shell Group will launch a pilot water injection project in Greater Sirikit field on S1 concession in early 2002.

During 2001, the field suffered a rapid drop in pressure, bringing production to 21,760 b/d. Previously, Greater Sirikit field was expected to produce 24,900 b/d.

Thai Shell will decide in mid-2002 whether to commit to a full-scale water injection program. In the meantime, it will spend $20 million of its $44 million 2002 budget on the pilot project.

In 2002, the company plans to drill 24 development wells, spending $24 million. In 2001, Thai Shell drilled 32 development wells and four exploration or appraisal wells, but still fell short of its oil production target by nearly 13%.

"The chance of sustaining, if not increasing, oil production from Sirikit production does not depend so much on drilling a lot more wells but to boost (oil flow) pressure from wells. And the only way to achieve that is by means of water injection," a Thai Shell executive said.

In 2002, the company aims to sustain oil production from the 20-year-old Sirikit field at about 20,000 b/d with about 50 MMcfd of associated gas.

It will also look at producing additional oil from other locations in the tract, especially the northern part of Sirikit. As of early 2001, remaining oil reserves at S1 were estimated at 147 million bbl.

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