Continental Focus, International Reach

Savannah to Test Amdigh-1

Monday, October 1, 2018

Savannah Petroleum plans to conduct a well test on its Amdigh-1 well in Niger during December. It is intended that an electric submersible pump will be installed downhole using a workover rig during the month of December 2018. The workover rig is expected to be hired from Great Wall Drilling Company Niger SARL. Savannah expects to rent the associated surface equipment required for the test.

 

In addition, the company has entered into a MoU with the government of Niger concerning the Early Production Scheme (EPS). The early production scheme is expected to be domestically focused, utilizing crude oil resources associated with the company’s recent discoveries in the R3 portion of the R3/R4 PSC area. Under the terms of the Niger MoU, Savannah is required to submit a pre-feasibility study in relation to the production scheme to the government by November 6.

 

The EPS is currently anticipated to develop a recoverable resource base of 52 million barrels and is expected to be centered around the Amdigh oil field, over which the surface facilities are planned to be located. The facilities are intended to be linked to a simple gathering system to enable the proximal fields (Bushiya, Kunama and Eridal, as well as other potential future discoveries) to be tied into the EPS. The evacuation route for the EPS will see the produced crude oil transported around 120 km to the Jaouro Export Station (JES) which connects the Agadem-Zinder crude oil pipeline to the SORAZ refinery. The crude oil sales point is assumed as being the SORAZ refinery gate.

The EPS is anticipated to be developed in two phases. Phase 1 is expected to see crude oil trucked from Amdigh to the JES and is anticipated to deliver plateau production of about 1,000 bpd from Q1 2019.  Phase 2 foresees a pipeline being laid from Amdigh to the JES during 2019. The Amdigh-Jaouro Pipeline is expected to be ten inches in diameter with throughput capacity of up to 10,000 bpd. This second phase development has been planned to see production ramp up to 5,000 bpd, and later in the life of the field assumes the use of water injection to increase recovery rates. Savannah is also evaluating the possibility of increasing trucked production in Phase 1 above 1,000 bpd, however no firm decision has been made in relation to this at this stage.


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