Grove gets license in Dutch North Sea

Oct. 30, 2006
Grove Energy Ltd. has been awarded the Horizon West (P8a) Production License covering 26.17 sq km in the Dutch North Sea.

By OGJ editors
HOUSTON, Oct. 30 -- Grove Energy Ltd., Vancouver, BC, has been awarded the Horizon West (P8a) Production License covering 26.17 sq km in the Dutch North Sea.

The 15-year license contains Horizon West oil field, discovered in 1982 by Mobil in 33 m of water. The field is believed to contain 50-70 million stock-tank bbl of oil initially in place. Historical data suggest 8-12% may be recoverable. An independent reserve report is being prepared, Grove said.

The field's reservoir is Lower Cretaceous Vlieland sandstone at a depth of 1,800 m subsea. Three vertical wells were drilled on the structure and tested at rates up to 900 b/d of 38.4° gravity oil.

Field development will be managed by Chevron Corp. from its P9 Horizon Platform, 6 km to the east. It will involve an extended-reach well. Grove is arranging financing for the work.

An agreement with Chevron for a joint development and operating plan, including processing and transport tariffs, is in progress.

Interests in the license are Grove 48%, the Dutch State via EBN 32%, Chevron 16%, and Dutch State Mining 4%.