Kuwaiti Oil Barrel Price75.11 Date:22-11-2024

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Ministry of Oil organizes a discussion session on the offshore drilling project

10-09-2024

• Sheikha Tamader Khaled Al-Ahmad Al-Jaber Al-Sabah: Offshore drilling is the beginning of a new era of oil and gas.. and is in line with plans to increase production • "Kuwait Oil" aims to produce 150 thousand barrels of oil per day and 150 million cubic feet of gas from the offshore area by 2040 • Preparing for a high-resolution 3D seismic survey of the offshore area and studying the best options for early production from discovered wells • Completion of the first phase of offshore drilling by the end of 2026 and preparation for the second phase of the project before the completion of the first The Ministry of Oil organized a discussion session entitled (Offshore Drilling Project) this morning, Tuesday, September 10, 2024, in which the Chief Geophysicist, Maitham Ibrahim, and the Chief Geologist, Iman Al-Shahri, from the Kuwait Oil Company, lectured. It was attended by employees of technical and economic affairs, employees of the Kuwait Petroleum Corporation, and guests from the Public Authority for the Environment, the Ministry of Electricity, Water and Renewable Energy, the Kuwait Institute for Scientific Research, the Organization of Arab Petroleum Exporting Countries (OAPEC), and students of the College of Engineering and Petroleum at Kuwait University And media professionals. At the beginning of the discussion session, the Director of Public Relations and Media at the Ministry of Oil, Sheikha Tamader Khaled Al-Ahmad Al-Jaber Al-Sabah, welcomed the attendees and praised the efforts made by the Kuwait Oil Company in exploration and production operations, which culminated in the discovery of the Al-Nukhdha field in Kuwaiti territorial waters, noting that the field is the beginning of a new era for exploring marine resources, as it represents a milestone that paves the way for making Kuwait a pioneer in oil and gas production from territorial waters, which enhances the country's role as a major source of energy at the regional and global levels. She said that offshore drilling represents the beginning of a new era of oil and gas in Kuwait, as it is in line with the country's oil plans that aim to increase production to 4 million barrels of oil per day. Sheikha Tamader Khaled Al-Ahmad Al-Jaber Al-Sabah indicated that the project places the State of Kuwait on the map of leading regional producers as a prominent offshore operator according to international standards, and offshore drilling will provide opportunities to develop qualified national cadres, through international partnerships and training programs, which enhances the country's ability to compete in this advanced field. The beginning of marine exploration In turn, both the Chief Geophysicist, Maitham Ibrahim, and the Chief Geologist, Iman Al-Shahri, reviewed the history of marine exploration in the State of Kuwait, saying that in 1961, the first marine exploratory seismic survey was carried out by Shell, and in 1962, the first two marine exploratory wells were drilled by Shell, and in 1963, the Kuwait Oil Company drilled the first marine well near Failaka Island, and other exploratory wells and wells of the Madinah field in Kuwait Bay were drilled, and in 1981, the Kuwait Oil Company conducted a two-dimensional marine exploratory survey of an area of ​​6,000 square kilometers, and in 1983, based on the results of the seismic survey, 3 exploratory wells were drilled. They stated that in 2014, a two-dimensional seismic survey was completed, while in 2018, the geological study of the reservoirs was completed and the best sites for exploratory drilling were determined. During 2022, the marine exploratory drilling project began in the Kuwaiti marine area by drilling the (Nukhada-1) well using the Oriental Phoenix offshore drilling platform on August 8, 2022. During 2023, the second exploratory well (Jaliah-2) was drilled using the Oriental Dragon offshore drilling platform on September 23, 2023. Regarding the history of marine exploration, they said that the area of ​​the Kuwaiti marine area is estimated at about 6,000 square kilometers, and 7 exploratory wells were drilled with the aim of exploring the Cretaceous layers, and 4 wells gave good results in the Manaqish and Ratawi layers, while (Well HA-0001) gave expectations of the presence of hydrocarbon materials in a gas layer. They discussed the marine exploration project implemented by Kuwait Oil Company, saying that a comprehensive exploratory assessment of Kuwaiti marine areas was conducted, and based on the study, the sites of the six wells that were started were selected. These six sites were selected based on multiple elements, as they are the highest rated for containing hydrocarbon resources and constitute 30% of the total marine hydrocarbon potential for both the Cretaceous and Jurassic periods. Offshore Production Objectives They revealed that the exploration group at Kuwait Oil Company continues its efforts by exploring offshore resources, with its commitment to achieving a potential production of 150,000 barrels of oil per day and 150 million standard cubic feet per day to support Kuwait Oil Company in achieving its 2040 strategy goals, and that offshore exploration initiatives constitute 25% of the remaining oil potential target for 2040. As for the geological layers targeted by the offshore drilling project, they said that they consist of 6 wells as follows: 3 wells aiming to explore the Cretaceous layers represented by both Nokhdha 1, Jaliyah 2 and Jizah 1, and 3 other wells aiming to explore the Jurassic layers represented by Nokhdha 2, Jaliyah 3 and Rakhwa 3. Regarding the first of the offshore exploration wells (Nokhdha-1 well), they explained that drilling of well (NO-0001) began 74 kilometers from Kuwait City within Kuwaiti international waters on August 8, 2022, and the goal of this drilling was to Proof and confirmation of the presence of hydrocarbons and their productivity from various geological formations. They mentioned that it was announced that commercial quantities of light oil and associated gas were discovered in the Al-Nukhdha marine field located east of Failaka Island in Kuwaiti economic waters, and the daily production from the well (Al-Nukhdha-1) from the Manaqish geological layer reaches about 2,800 barrels of light oil and 7 million cubic meters of associated gas, and during the test it became clear that the well was very successful in terms of exploration, as the initial results showed promising and important results for light oil and associated gas from the Manaqish geological formation in the Al-Nukhdha marine sector. They reviewed the Manaqish geological layer, saying that the Manaqish layer is considered one of the Lower Cretaceous layers, and the Manaqish layer is considered one of the oil-producing layers in the fields of southwest and east of Kuwait, such as the Manaqish field, Umm Qadeer and Burgan field, and the Manaqish layer is located between the Ratawi layer above it and the Makhoul layer below it, and it is considered a calcareous layer. Seismic Survey Regarding the future plan for offshore drilling, they said that the petroleum system in the Al-Nukhadha offshore field has been proven through a new discovery of hydrocarbons. Five other exploratory well sites have been identified to assess the hydrocarbon potential in current drilling operations. A 3D seismic survey is required for the evaluation phase, to gain a better understanding of the potential for offshore exploration and to assess potential hydrocarbon reserves. They stated that Kuwait Oil Company is currently preparing for a high-resolution 3D seismic survey covering the entire Kuwaiti marine area. The best options for early production from the discovered offshore wells are also being studied, followed by implementing the appropriate infrastructure, establishing production facilities, and studying the best options for establishing a port for offshore operations with a capacity to serve 4 offshore drilling platforms at the same time. The specifications of offshore drilling platforms and the nature of logistical operations are being reviewed based on current experiences to reach the optimal specifications, which reduces operational costs and the duration of operations, while maintaining quality in the upcoming project phases. In the second phase of offshore exploration, he said that 6 to 9 more exploratory wells will be identified and drilled, and 3D seismic surveying will be of great benefit at this stage, and the upcoming Jurassic Nokhada-2 (NO-0002) well will add a greater understanding of the chalk reservoirs in the Nokhada offshore field, in addition to the possibility of conducting a productivity test during drilling. Regarding the importance of the project, he said that offshore drilling is a national project whose purpose is to contribute to increasing the State of Kuwait’s hydrocarbon reserves, and also aims to enhance the State of Kuwait’s position as one of the reliable producers worldwide, and to ensure the continuity of the existence of new hydrocarbon resources to meet the needs of the global market and join the State of Kuwait among the leading regional players as a prominent offshore operator according to international standards and develop new technical skills in offshore exploration, drilling and production, and also aims to create new and diverse job opportunities for national talents and apply innovative technologies in all marine specialties including digitization, machine learning, artificial intelligence, and data analysis and interpretation. Regarding the project developments, he pointed out that the first phase of the project includes drilling 6 offshore wells, and the drilling and testing of the (Al-Nukhada-1) well has been completed. Currently, two offshore wells are being drilled, namely (Jaliah-2) and (Jazza-1). After the completion of these two wells, 3 wells will be drilled targeting the Jurassic layers at great depths. The first phase is expected to be completed at the end of 2026, and preparations will be made for the second phase of the project before the completion of the first phase.

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