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Tuesday, February 13, 2018
In Kenya, the JV partners in the South LokicharBasin blocks 10BB and 13T, have proposed to the government that the Amosing and Ngamia fields be developed as the initial stage of the South Lokichar development according to an update from Africa Oil Corp. This phase of the development is planned to include a 60,000 to 80,000 bpd Central Processing Facility (CPF) and an export pipeline to Lamu on the Kenyan coast.
Africa Oil says this approach is expected to bring significant benefits as it enables an early FID of the Amosing and Ngamia fields taking full advantage of the current low-cost environment for both the field and infrastructure development, as well as providing the best opportunity to deliver first oil in a timeline that meets the government’s expectations. The installed infrastructure can then be utilized for the optimization of the remaining and yet to be discovered South Lokichar oil fields, allowing the incremental development of these fields to be completed in an efficient and low-cost manner post first oil.
The initial stage is planned to include 210 wells through 18 well pads at Ngamia and 70 wells through seven well pads at Amosing, with a planned plateau rate of 60,000 to 80,000 bpd. Additional stages of development are expected to increase plateau production to 100,000 bpd or greater. It is anticipated the FEED for the initial stage will commence in 2018, with FID targeted for 2019 and first oil in 20121/2022.
A total of six appraisal wells have been drilled at the Amosing field, ten at Ngamia, three at Etom and two at Ekales. Additionally, extended well tests, water injection tests, well interference tests and water-flood trials have been undertaken, all of which have proved invaluable for planning the development of the oil fields.
An agreement between the JV partners, Tullow Oil, Africa Oil, and Maersk Oil and the government of Kenya was signed on March 14, 2017 allowing all EOPS upstream contracts to be awarded. Initial injectivity testing has started at Ngamia-11 and oil production and water injection facilities are being constructed in the field, which are expected to be ready to commence production/injection in the first quarter of 2018. Oil produced is being initially stored until all necessary consents and approvals are granted and work is completed for the transfer of crude oil to Mombasa by road.
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