By OGJ editors
HOUSTON, May 5 -- An optimized development plan could boost oil recovery from the Tui area oil project off New Zealand by 1.1 million bbl to 27.9 million bbl proved and probable, said Australian Worldwide Exploration Ltd. (AWE), Sydney.
The extra recovery will come from reconfiguring the development to include two wells at Tui field, with provision for a third well if supported by drilling and production data, and a single well in each of the Amokura and Pateke accumulations, AWE said. The four horizontally drilled wells with subsea completions will produce to a floating production, storage, and offloading vessel (OGJ, Mar. 6, 2006, p. 36).
The company advised the joint venture it is prudent to add $21 million (US), hiking project capital expenditure to $225 million, to allow for unforeseen drilling problems or schedule delays. Tui, in 120 m of water on PMP 38158 in the Taranaki basin offshore, is to start producing oil by mid-2007.
A maximum initial flow rate of 50,000 b/d is likely to be followed by a rapid rise in water production and oil rate decline. The light, sweet crude is similar to oils from similar-age reservoirs in New Zealand's Maui field and the Bass Strait off Australia.
AWE reevaluated the project after acquiring New Zealand Overseas Petroleum Ltd. and becoming project operator earlier this year.
Meanwhile, AWE secured a rig to drill the Tieke-1 and Taranui-1 exploration wells on the permit in the second quarter of 2007.
Permit interests are AWE 42.5%, Mitsui E&P New Zealand Ltd. 35%, Stewart Petroleum Co. Ltd. (NZOG) 12.5%, and WM Petroleum Ltd. 10%.