BG discovers gas near North Sea Armada field

BG Group PLC reported it has discovered a gas accumulation on the South West Seymour prospect east of BG-operated Armada field in the central North Sea.

By OGJ editors

HOUSTON, Nov. 7 -- BG Group PLC reported it has discovered a gas accumulation on the South West Seymour prospect east of BG-operated Armada field in the central North Sea. The prospect lies within Block 22/5b, which BG, with 57% equity, operates on behalf of partners TotalFinaElf SA 25 % and Centrica PLC 18%.

The heavy-duty Galaxy III jack up rig, working from the Armada platform, spudded the 22/5b-A12 discovery well Sept. 26. The well encountered a 150 ft hydrocarbon column within Fulmar sands and another oil column within the underlying Pentland sands. The prospect was drilled in a 38-day program following completion of BG's Armada field Phase 2 drilling program.

"By drilling South West Seymour as part of the existing Armada development program, (we maximized) opportunities using existing resources," said BG Group Executive Vice-Pres. for the UK Jon Wormley. "We are greatly encouraged by the discovery. . .(and) look forward to bringing it on stream," he added.

The South West Seymour partners intend to make some minor modifications to the Armada platform and will sidetrack the well. First production is expected in second quarter 2003.

The BG-operated Armada gas and condensate fields—Fleming, Drake and Hawkins— span five exploration blocks covering 31 sq km. Initial Armada production began in October 1997, following completion of project facilities and eight wells at a cost of £437 million.

The drilling of three additional wells in the $100 million Phase 2 began in December 2001. The program is expected to expand the field's current 450 MMcfd production plateau and extend its life to 2010 (OGJ, Nov. 19, 2001, p. 8).

Armada gas is exported via the CATS pipeline to Teesside, with liquids transported through the Forties pipeline system to Cruden Bay.

Armada partners are BG 45.27%, BP 18.20%, TotalFinaElf 12.53%, ConocoPhillips 11.45%, Centrica 6.97%, and Agip SPA 5.58%.

More in Companies