Continental Focus, International Reach

BG’s Tanzanian Campaign Raises Resources

Wednesday, December 11, 2013

BG Group reported an increase in total recoverable resources in Tanzania for the Mzia discovery and across Blocks 1, 3, and 4, where it is partnered with Ophir Energy. The Mzia testing marked the conclusion of a successful drilling and testing campaign.

The campaign confirmed Mzia as the second giant gas discovery, after Jodari, in BG’s acreage offshore Tanzania, with 4.7 Tcf of total gross recoverable resources. Total gross recoverable resources across the blocks are now estimated to be around 15 Tcf, with further exploration upside.

The Mzia-3 appraisal well, drilled approximately six km north of the original Mzia-1 discovery, has been cored and logged. Results confirm the reservoir sands are extensive and of similar quality to those found in the Mzia-1 and Mzia-2 wells. In addition, the gas-down-to level proven in Mzia-3 is around 100 meters deeper than that of Mzia-2.

Further north, detailed technical analysis of the Block 4 discoveries Chewa, Ngisi and Pweza, which were also appraised and tested in the campaign, was positive with total gross recoverable resources in the block now estimated around 5 Tcf.

BG and its partner Ophir saw their extensive exploration and appraisal campaign of 14 wells result in a 100% success rate with nine consecutive discoveries and five appraisal wells, three of which included DSTs showing high flow rates.

BG Group chief executive Chris Finlayson said: “We have sufficient resources for a two-train LNG project in Tanzania. The aim of our appraisal program now is to optimize the future development plan and place the most economic gas into the proposed project first to extract the most value across the chain.”

“Onshore, BG Group and its partner Ophir Energy, together with the partners in Block 2, Statoil and ExxonMobil, are continuing to make good progress in the assessment of a multi-train LNG project. We look forward to the Tanzanian government’s announcement of a decision on the location of an onshore site for an export facility.”


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