INTERNATIONAL BRIEFS

PETROCHEMICALS

NATIONAL METHANOL CO., a joint venture of Saudi Basic Industries Corp., Hoechst-Celanese Corp., and Panhandle Eastern Corp., let a $250 million contract to Fluor Daniel for engineering, procurement, and construction management of a 700,000 metric ton/year grassroots methyl tertiary butyl ether plant at Al-Jubail, Saudi Arabia. Project completion is scheduled for late 1993.

REPSOL PETROLEO SA let contract to Linde AG to supply an online plant optimization package for its Tarragona, Spain, ethylene plant. Linde will provide engineering, integration with control system, and onsite commissioning support.

EXPLORATION

ALGERIA'S state owned Sonatrach 1 Otra wildcat in the Adrar region of western Algeria found 40 gravity oil in Paleozoic pay. Sonatrach estimates the structure could have as much as 240 million bbl of original oil in place. Previous noncommercial oil shows in the region have been from Carboniferous.

A GROUP led by Albion International Resources Inc. obtained a 350,000 acre exploration concession in the Duki area of Baluchistan, Pakistan. Albion, with 24.5% working interest, will operate on behalf of a six company group. Albion also acquired 20% working interest in 240,000 acre Block PPL 38419 next to Maui gas field off New Zealand.

ISRAMCO INC., New York, proposes to spend $32 million to continue its Israeli exploration program. The company, leading an investor group, drilled the 2 Yam discovery in the Mediterranean Sea off Israel last year (OGJ, June 25, 1990, p. 32). Plans call for seismic surveys and geological studies of the onshore Nirim license, offshore North Negev Yam permit, and Negev Ashkelon license. That would establish participants' rights to about 300,000 acres in the offshore Negev Ashkelon and Negev Jaffa areas and onshore Negev Nirim licenses and about 815,000 acres on the North Negev Yam permit.

ESSO COLOMBIANA LTD. 1 Arjona on the Chimichagua block of Colombia's Lower Magdalena basin flowed a combined 11.2 MMcfd of gas through a 40/64 in. choke from Tertiary Cienaga de Oro at 2,935-3,930 ft and 4,169-4,653 ft with respective flowing tubing pressures of 526 psi and 698 psi. The discovery is 31 miles north of El Banco and 20 miles from the nearest pipeline. Esso and Maxus Energy Corp., Dallas, own equal interests in the block.

ELF AQUITAINE ANGOLA extended the exploration period for its Block 3/85 off Angola for 3 years from July 31 under an agreement with state oil company Sonangol. A number of discoveries have been made on the block. Elf is operator with 50% interest, with other interests held by Agip Angola Ltd. 15%, Ajex 12.5%, Repsol Exploracion Luanda SA 6.25%, Svenska 6.25%, Ina Naftaplin 5%, and Naftagas 5%.

UNION PACIFIC RESOURCES CO. estimates reserves potential of the Warda oil discovery in the Gulf of Suez off Egypt at 250 million bbl, not production potential of 200,000-300,000 b/d by late 1993-94 as reported incorrectly (OGJ, May 6, Newsletter).

TRANSPORTATION

PETROLEOS DEL ECUADOR started up a products terminal at Esmeraldas capable of handling 30,000 dwt tankers, replacing a 20,000 dwt tanker capacity terminal in operation for 14 years. The new terminal will cut shipping costs for exports of fuel oil from the Esmeraldas refinery. Venezuela's Ing. Petroleo y Gas handled the project.

IRAN'S ALBORZ TANKER exploded May 28 off Capetown, South Africa, killing seven men and injuring one. The blast apparently occurred during repairs on the empty 230,683 dwt tanker, when sparks ignited gas built up in piping. The tanker, owned by National Iranian Tanker Co., was moored when the explosion occurred.

BP EXPLORATION CO. LTD. let a turnkey contract to John Brown Engineers & Constructors Ltd. for the entire riser platform project for BP's Forties pipeline system in the U.K. North Sea. John Brown earlier was awarded the project's $11.1 million design contract (OGJ, May 13, p. 41). Under the new contract Brown has placed contracts including one for $37 million with HeereMac for transporting and installing the jacket and deck and one for $25.9 million with Consafe for constructing the platform's 2,500 ton topsides.

MOSCOW reports serious environmental damage from another in a series of Volga River oil spills. A barge carrying 8,760 bbl of heavy fuel oil hit railroad bridge supports near Syzran.

DRILLING-PRODUCTION

IRANIAN NATIONAL OIL CO. hired Canadian Triton International, Toronto, to provide drilling services in Iran under a 1 year contract with option to extend. The contract calls for 12 rigs and crews and is valued at more than $200 million. Drilling is to begin in 2-3 months. Iran plans to boost its productive capacity to 5 million b/d by March 1993 from about 3.5 million b/d at present.

U.S.S.R. completed fabrication of its biggest drilling-production platform in the Caspian Sea, the first of a new series of deepwater platforms. Built by a fabrication yard near Baku, the 20,000 metric ton platform will be installed in water of undisclosed depth in the area of the giant 28th of April oil field east of Azerbaijan's Apsheron Peninsula. Plans call for 20 wells. Development of 28th of April and other fields in deeper water along the Apsheron Sill has been slowed by platform construction delays.

ENTERPRISE OIL PLC shareholders approved transfer of a 31.9149% interest in U.K. North Sea Block 22/11 containing 60% of Nelson field to Elf Enterprise Petroleum Ltd., the company that will operate Occidental Petroleum Corp. U.K. offshore assets purchased by Ste. Nationale Elf Aquitaine (OGJ, May 13, p. 26).

CONOCO U.K. LTD. 49/22-9z appraisal well flowed 31 MMcfd of gas and 26 b/d of condensate through a 56/64 in. choke with 1,786 psi flowing tubing pressure from Lower Permian Rotliegendes Leman sandstone. It was drilled to 10,555 ft on North Sea Block 49/22 about 85 miles southeast of Lincolnshire, England.

COMPANIES

A MERGER of Poco Petroleums Ltd. and Voyager Energy Inc., both of Calgary, received court approval. The merged companies will have more than 800 bcf of gas reserves and about 44 million bbl of liquids. Current combined production is about 155 MMcfd of gas and 19,500 b/d of liquids.

AKER AS, Oslo, agreed in principle to acquire Omega Marine Inc., Houston. Since 1990 the two have operated a jointly owned company, Aker Omega Marine Inc., focusing on engineering services for floating production platforms.

Copyright 1991 Oil & Gas Journal. All Rights Reserved.