Shah Deniz appraisal yields likely commercial find

April 29, 2000
BP Amoco PLC and partners late last month unveiled final test results from the SDX-2 appraisal well in the Shah Deniz find in the Caspian Sea off Azerbaijan. Drilled to 5,892 m TD 6 km south of the SDX-1 discovery well and flow-constrained by equipment, the well was tested in two strata.

BP Amoco PLC and partners late last month unveiled final test results from the SDX-2 appraisal well in the Shah Deniz find in the Caspian Sea off Azerbaijan. Drilled to 5,892 m TD 6 km south of the SDX-1 discovery well and flow-constrained by equipment, the well was tested in two strata.

From the Fasila Suite, it flowed up to 63 MMscfd of gas and 3,250 b/d of condensate through a 48/64-in. choke with 6,140 psia wellhead pressure. A test of the Balakhany VII zone yielded 60 MMscfd of gas and 3,100 b/d of condensate through a 52/64-in. choke with 4,800 psia wellhead pressure.

Well pressure data give reason to believe flow from a producing well would occur at a significantly higher rate, according to BP Amoco. The company also said hydrocarbon data from the well are being analyzed to yield information about reservoir performance, development planning, and best possible facility design.

BP Amoco also says it has found enough gas in Shah Deniz to justify a pipeline to Turkey.

Gordon Birrell, BP Amoco's Azerbaijan exploration business unit leader, said: "The tests have been very successful and have achieved the objectives, enabling us to confirm our plans outlined back in February for the potential export of Azerbaijan gas to Turkey from the Shah Deniz field in the Caspian Sea.

"The Shah Deniz partners are encouraged by the results of the first two wells. SDX-2 has added significantly to the partners" confidence, enabling them to embark on the first stage of a program for field and midstream development. The Shah Deniz group is now in a position to be responsive to the market's demands, as Shah Deniz provides a realistic Caspian resource to deliver early volumes of gas to the market."

Plans call for a second appraisal well, SDX-3, and possibly three more to follow in Shah Deniz, which lies in 50-600 m of water about 70 km south of Baku (see map, OGJ, May 1, 2000, Newsletter).

Operator BP Amoco holds a 25.5% interest; Statoil AS, 25.5%; State Oil Co. of Azerbaijan Republic, 10%; TotalFinaElf SA, 10%; LukAgip, 10%; Iranian firm Oil Industries Engineering & Construction, 10%; and Turkish company Turkiye Petrolleri AO, 9%.