Petroleum Developments Research Articles

Petroleum Developments in Far East in 1975

In the Far East during 1975 more than 300 exploratory wells were drilled with Indonesia accounting for 63% of the drilling activity. Production of 1,818,600 BOPD was reported excluding an estimated 1,000,000 BOPD reportedly produced in the People's Republic of China. The 1975 production is a 5% increase over the 1,739,230 BOPD reported in 1974. Indonesia accounted for 72% of the production. Natural gas production figures are incomplete, but average daily production exceeds 2.8 Bcf. A total of 41 new fields was discovered, and all but 6 are in Indonesia. South Vietnam had a significant discovery on a newly awarded offshore tract, and Taiwan had its first offshore discovery. Much of the exploratory activity was concentrated in new areas such as Vietnam, Burma, Bangladesh, India, and the west coast of Thailand where contracts first were awarded in 1974. Offshore drilling activities also increased in the Philippines and Taiwan but no discoveries were announced. South Vietnam and Cambodia fell to Communist forces during the year, and Portuguese Timor also was involved in a civil war. All exploratory rights in those countries will need to be renegotiated with the new governments. The Philippine government issued a decree giving license holders 1 year to convert their holdings into production-sharing contracts. New service contracts were awarded in the Philippines, India, and Afghanistan. Sri Lanka announced tracts to be awarded in early 1976. The new acreage awards guarantee that 1976 will be another active year in the Far East.

Petroleum Developments in South America, Central America, and Caribbean Area in 1974

The 1974 review presents information on petroleum developments in 30 countries and areas. Petroleum was produced in 11 countries with total production of 1,551,745,000 bbl (4,251,353 b/d) an 8.9% decrease from the 1973 production level. Venezuela accounted for the major part of the volume decline by reducing production 389,773 b/d from 1973 levels to 2,976,249 b/d. However, Venezuela still accounted for 70% of the total production of the area. Ecuador's production decreased by 15.2% to 177,029 b/d because of governmental restriction coupled with pipeline breaks. Production decreased less precipitously in Argentina, Colombia, Bolivia, and Chile. Trinidad and Tobago reported the largest volume increase (12.3%) followed by Brazil (4.2%) and Peru (9.2%); in each, offshore act vities were responsible for these production increases and perhaps the most noteworthy development of the year was the increase in offshore activity. Total wells drilled were 1,730, an increase of 92 or 5.6% over the 1973 level with Brazil and Peru reporting increases of 46 and 63 wells respectively. The number of exploratory wells completed (405) represents an increase of 21 or 5.5% over 1973 completions with Peru reporting 43, an increase of 38.7% above the 1973 level. Brazil reported 17 rigs operating in the offshore. Successful exploratory completions (128) increased by 4%. Peru and Venezuela recorded the highest success ratios (51 and 66% respectively) of the 13 countries in which exploratory wells were drilled. Exploration drilling results offshore Caribbean and Pacific Nicaragua (3 wells), Gulf of Panama (2 wells), and Guyana (2 wells) continued to be disappointing. A new-field discovery in Guatemala (Rubelsanto 1) has the p tential to be Central America's first commercial production. Geologic and geophysical party-months of field work (1,150.2) registered a 12.5% increase over 1973 which reflected a 125.4-party-month (+16.1%) seismic and a 28.5-party-month (+74.2%) gravity increase; however, surface geology decreased by 20.7 party-months (-10.8%). Peru reported the highest total (271 party-months) of seismic activity, an increase of 14%, but Bolivia with 92.9 party-months registered a 228% increase. Argentina and Brazil maintained their 1973 level of seismic activity with 268 and 117 party-months respectively. Four new contract operations were signed with YPFB making a total of 11 operational companies or groups exploring in Bolivia at year-end.

Petroleum Developments in North Africa in 1974

During 1974, the total area covered by exploration rights in the 6 countries reviewed in this report increased from about 1.5 million to 2.5 million sq km, mainly owing to the award of rights in Sudan and in Libya. A significant event of the year was the award of deep-water rights in the Mediterranean off Morocco and Libya. Seismic activity increased by about 20%, as did wildcat drilling. During the year, 77 wells were completed (66 in 1973). About 12 wells were reported as discoveries; 3 in Algeria, 1 in Egypt, 3 in Tunisia, and possibly 6 in Libya; 4 of these discoveries were offshore wells, 3 in Tunisia and 1 in Egypt. All were reported as oil discoveries, except 1 gas well in Tunisia. Development drilling also increased in 1974. But crude oil production was down 20.3% from the previous year and averaged 2,807,110 BOPD compared with 3,522,000 in 1972. The most impressive decrease was recorded in Libya (-30%). No figures were disclosed on the gas production, which probably averaged 1.6 MMCFD. The only significant event was the putting on stream of the Abu Maadi gas field which is the first field to go into operation in Egypt, production 105 MMCFD with reserves estimated at 20,000 million cu m (0.7 Tcf).

Petroleum Developments in Israel in 1974

Petroleum Developments in Israel in 1974

Petroleum Developments in New Zealand in 1974

Offshore drilling was delayed and will start early in 1975. No land seismic was carried out, and offshore surveys amounted to 7,100 line-km, down 34% from 1973; however, they were mainly detailed surveys resulting in more than 10 offshore drilling locations now being confirmed. No wildcat drilling was conducted on land, but development drilling in the Kapuni field totaled 48,591 ft; the expansion program is continuing. Production was 50 MMCFGD, up 5.7% from the previous year, and 3,794 b/d of condensate, up 7.5%. Contracts have been let for the construction of the first Maui production platform and the drilling of 12 production wells. For about 50,000 sq mi of offshore concessions due to expire in September 1975, the government has offered a two-year special extension, on condition that it gets a 51% interest while paying 40% of exploration costs; most companies are expected to accept the offer. Total concession area on land decreased to 20,483 sq mi, a reduction of 10% from last year, and offshore concessions decreased 19% to 257,085 sq mi.

Petroleum Developments in Middle East Countries in 1974

Petroleum production in Middle East countries in 1974 totaled 7,909,713,000 bbl at an average rate of 21,670,447 b/d, up 2.2% from 1973. The principal production increases were in Saudi Arabia and Abu Dhabi. There was a significant production decrease in Kuwait. The first oil production in Sharjah came on stream at mid-year. There were substantial new discoveries in Iran and Saudi Arabia. The main areas of exploratory work were in Iraq, Iran, Saudi Arabia, Abu Dhabi, Oman, and Turkey. New areas for exploration were opened in Iran and Syria.

Petroleum Developments in Central and Southern Africa in 1974

This review covers the petroleum exploration and production activities in 45 countries or provinces of Africa, excluding Morocco, Algeria, Tunisia, Libya, Egypt, and Sudan. Surface exploration work increased 23% to 485.8 party-months of which seismograph was 299.4, surface geology 73.8, gravimeter 63.8, photogeology 22.5, magnetometer 21.5, and structural drilling 2.8. Exploratory drilling increased from 112 to 120 wildcats with 29% success, slightly less than in 1973. New-field discoveries were reported in Angola, Cameroon, Congo, Gabon, Ghana, Ivory Coast, and Nigeria. A total of 22 unsuccessful wildcats was drilled in 7 other countries. Development drilling amounted to 277 wells in Angola, Congo, Gabon, and Nigeria, with an 89% success ratio. Total wildcat and development footage was 3,537,519 (1,078,236 m). Average well depth was 8,910 ft (2,716 m) compared to 8,763 ft (2,670 m) in 1973. At year-end 51 rigs were operating. Total annual oil production increased 11.4% from 878.3 to 951.8 million bbl, with an average rate of 2.6 million BOPD. Production increases were recorded in Angola 7.6%, Congo 19.8, Gabon 1.1, and Nigeria 8.7. Total annual gas production was up 4.7% to 799,669 MMcf (2,191 MMCFD).

Petroleum Developments in Far East in 1974

In the Far East, during 1974, more than 290 exploration wells were drilled and 34 new oil and gas fields were discovered; 29 new fields and 176 wells were drilled in Indonesia accounting for 61% of the drilling activity in the Far East. Production of 1,739,230 BOPD was reported, excluding an estimated 1,000,000 BOPD reportedly produced in the People's Republic of China. This is down 4% from 1973 when 2,855,226 BOPD were reported including 1,000,000 BOPD from the People's Republic of China. Indonesia accounts for 51% of the crude oil produced, and is followed by China, 37%; Brunei 8%; and East Malaysia 3%. Gas production figures are incomplete. Bangladesh, Burma, and India granted exploration rights to several international oil companies thereby joining the other Far East ountries in the search for black gold. Sri Lanka and South Vietnam both had significant oil discoveries within their territorial waters. Petronas, the Malaysia State Oil Company, was formed and existing contracts in Malaysia are being renegotiated. Increases in offshore-seismic activity and offshore production, the high cash bonuses paid for exploration rights in the deep-water Andaman Sea tract, and settlement of boundary disputes by India-Indonesia and Japan-Korea indicate that exploration activity will increase in 1975.

Petroleum Developments in Australia and Oceania in 1974

Exploration and development activity in Australia declined in 1974 relative to 1973. Footage drilled (161,888 ft; 49,057 m) onshore was 50% less than in 1973. Offshore, most of the drilling (294,363 ft; 89,201 m) continued to be centered on the northwest shelf where 24 wildcats were drilled in waters of Western Australia and the Northern Territory. Three successful wildcat or extension gas wells and 1 oil well were drilled in the report area. Onshore there was 1 successful wildcat, a gas well, drilled in Queensland in eastern Australia. There were no offshore development wells drilled in 1974 and onshore development was confined to 2 gas wells in the Cooper basin, South Australia, and 4 gas wells in the Surat basin, Queensland. Geophysical work also was at an equally low evel compared with previous years.

Petroleum Developments in South America, Central America, and Caribbean Area in 1973

This review presents information on petroleum developments in 30 countries and areas. Eleven countries had crude production, totaling 1,704,188,000 bbl (4,669,000 b/d). This was an increase of 6.3% (291,000 b/d) over 1972, more than offsetting the sharp decline in 1972, and bringing production back to a level exceeded only in 1970 (4,760,000 b/d). Venezuela's historically dominant production (72% of the total in 1973) was up by 146,000 b/d, or 4.5%; output of the other producing countries, collectively, was also higher, by 145,000 b/d (about 12.5%). Ecuador was the main contributor to the net increase for the latter countries; it became the third-ranking producer in the review area (at 209,000 b/d), as development of the initial 3 Oriente fields advanced. Trinidad product on was also up significantly, with steadily rising output from the new fields off the east coast that neared 70,000 b/d by year-end. Production increased substantially in Peru and Bolivia, and slightly in Brazil. It was down moderately in Argentina, Chile, and Colombia. Barbados made a tenuous entry into the ranks of producing countries, the 11th in the review area, with small production from recompleted discovery wells of prior years. Industry drilling again decreased in 1973, to 1,638 wells, from 1,703 in the previous year. Both development (1,254) and exploration (384) wells were down, each by about 4%. Development effort was down markedly in most of the more mature producing countries; only Venezuela showed a major increase. Argentina shifted notably to exploratory drilling, to a near-record of 139 for the country, but Chile, Ecuador, and Trinidad had decidedly fewer exploration wells. In all, 13 countries reported exploration drilling, including 3 which have no commercial production. Overall geologic and geophysical field-party activity was about at the 1972 level. Argentina and Brazil maintained their historical high efforts. For the second successive year Peru had a major increase in seismograph work, to about 20 crew-years, attributable almost entirely to the expanding play in the eastern part of the country. Seismic surveys were down considerably in Colombia, and sharply in Ecuador. Party-months of work by principal methods was: surface geology, 192 months (190 in 1972); seismograph, 778 (764); and gravity, 38 (48). Important oil discoveries are reported at several wildcats in the north part of eastern Peru, on private-company contract acreage adjoining Ecuador. Another promising new-frontier discovery appears to be gas finds on, and offshore of, the Guajira Peninsula, northeastern Colombia. Brazil increased its already major wildcat effort ranging over much of the extensive continental shelf, and one potentially significant new-discovery area is reported, in the Potiguar basin off the northeast coast. Forty-three NFW wells were completed in 1973, and approximately 10 rigs were reportedly active at year-end. No major new-field discoveries are indicated for the eastern Ecuador and eastern offshore Trinidad plays; emphasis shifted from wildcat to evaluation and development drilling in discovery areas of prior years. Results of further exploration drilling in Belize (3 wells) and in the Honduras offshore (3) continued disappointing, and most concessionaires withdrew from the latter area. The more important acreage developments for the period were: (1) 8 additional contracts, approximately 8,000,000 ha., awarded to private companies, in eastern Peru; (2) first contracts (7 blocks, 7,000,000 ha.) to international majors, under Bolivia's 1972 Hydrocarbons Law; and (3) selected eastern Ecuador and Trinidad offshore acreage opened to competitive bidding, near year-end.

Petroleum Developments in Middle East Countries in 1973

Petroleum production in Middle East countries in 1973 totaled 7,730,714,000 bbl at an average rate of 21,180,038 b/d, compared with 6,580,193,000 bbl or 17,978,669 b/d in 1972. The principal production increases were in Iraq, Iran, Saudi Arabia, Qatar, Abu Dhabi, and Dubai. New fields were found in Iraq, Iran, Saudi Arabia, Abu Dhabi, Dubai, and Turkey. Main areas of exploratory work were in Iraq, Iran, Saudi Arabia, Abu Dhabi, Oman, and Turkey. There were no exploratory activities in Ajman and Umm Al Gaiwain, Yemen, Cyprus, Jordan, or Lebanon.

Petroleum Developments in Central and Southern Africa in 1973

This review covers 45 countries or provinces of Africa, excluding Morocco, Algeria, Tunisia, Libya, Egypt, and Sudan. Surface exploration decreased considerably to 39.8 party-months of which surface geology was 30.5, seismograph 289.0, gravimeter 31.7, magnetometer 23.1, photogeology 18.0, and structural drilling 0.5. Exploratory drilling fell again from 134 to 112 wildcats with 32.1% success, the same ratio as in 1972. New-field discoveries were reported in Angola, Cameroun, Congo, Gabon, Nigeria, and Zaire. A total of 27 unsuccessful wildcats was drilled in 8 other countries. Development drilling amounted to 263 wells in Angola, Congo, Gabon, Nigeria, and Zaire, with an 84.4% success ratio. Total footage drilled was 3,285,946 (1,000,562 m). Average well depth was 8,763 ft (2,670 m), compared to 8,522 ft (2,598 m) in 1972. At year-end 44 rigs were operating. Total annual oil production increased 15% from 763.5 to 878.3 million bbl, with an average rate of 2.4 million BOPD. Production in Nigeria rose 13%, Angola 15%, Gabon 23%, and Congo production, with the development of the Emeraude field partly complete, increased 6-fold to over 14 million bbl. Total annual gas production was up 20% to 761,260 MMcf (2,085 MMCFD).

Petroleum Developments in New Zealand during 1973

No exploratory wells were drilled, and offshore seismic was down to 6,642 line-mi, 20% of the previous year; 137 mi of seismic was shot on land. Land concessions decreased by 13,325 sq mi to 22,763 sq mi, and offshore concessions decreased by 21,943 sq mi to 317,860 sq mi; this includes 302.7 sq mi of a new mining license covering the offshore Maui gas field. At a cost of NZ $30 million the Government bought a 50% interest in the Maui field, and will share all the development costs. From 2 platforms built in 2 stages of development, the field eventually will have a production capacity of 900 MMCFGD. Production from the on-land Kapuni field was 47.3 MMCFGD, up 38%, and 3,530 b/d of condensate, up 15%. An expansion program with up to 6 additional gas-producing wells was initiated at year-end. There is growing interest to acquire recently expired licenses. A new offshore drilling rig is scheduled to arrive in the country after the middle of 1974; nearly 50,000 sq mi of offshore concessions, including some of the best available prospects, will expire in the last quarter of 1975. Also on land, drilling is scheduled to resume in 1974.

Petroleum Developments in Far East in 1973

In the Far East, during 1973, more than 295 exploration wells were drilled, and 39 new oil and gas fields were discovered. Approximately 60% of the activity was focused in Indonesia. Oil production averaged 2,855,226 BOPD in the Far East, and includes 1,000,000 BOPD from the Peoples's Republic of China. That is an increase of 31% over 1972, when daily production averaged 2,178,226 BOPD and included 600,000 BOPD from the People's Republic of China. Indonesia accounts for 46.5% of the crude oil produced in the Far East, and is followed by China, 35.0%; Brunei, 8.1%; India, 5.5%; and East Malaysia, 3.2%. Although natural gas production figures are incomplete, the daily Far East average exceeded 2.5 Bcf. Plans are being formulated for the construction of LNG plants in Sarawak offshore Western Java, and North Sumatra. Petroleum legislation is being revised in Bangladesh, Burma, and Malaysia. Areas were opened for bid in Burma, India, Malaysia, and South Vietnam. Exploration contracts may be awarded by these countries and, possibly, Bangladesh before the close of 1974. Several deep-water blocks were acquired in 1973 and test wells may be drilled in the near future. The second deep-water test, 1,200 ft (365 m), was abandoned on the south coast of Java. Plans for geothermal exploration have been formulated in the Philippines.

Petroleum Developments in North Africa in 1973

One of the most significant events in petroleum exploration in North Africa during 1973 was the revival of exploration by foreign companies in Algeria by conclusion of 6 joint-venture agreements with the state company, Sonatrach. At the end of 1973, petroleum rights in the 6 countries covered by this review totaled about 1.5 million sq km, about the same level as at the end of the previous year. Seismic activity decreased by a spectacular 33% to about 370 crew-months compared to 550 in 1972. During 1973, 66 wildcats were completed compared to 90 in 1972. Five wells were reported officially completed as oil wells, 3 in Libya and 2 in Egypt, but their respective commercial significance is difficult to ascertain at this time. Extension and development drilling in North Africa was at about the same level as in 1972 with 156 wells completed and 1,200,000 ft drilled. Crude-oil production in 1973 averaged 3,639,000 b/d, a drop of 3.2% compared with 1972. The production decreases reported in the Egyptian fields (Morgan and Alamein) and a 2-month suspension of operations in the Suez Gulf at the outbreak of the October war were partly compensated by 3 new fields going on stream in Egypt during 1973 and the production from 2 fields which started initial output in Libya at the end of 1972. Only fragmentary information is available on the gas production which can be estimated at about the same level as in the previous year with an average of about 1,600 MMCFD.

Petroleum Developments in Israel, 1973

Petroleum Developments in Israel, 1973

Petroleum Developments in Australia and Oceania in 1973

Petroleum exploration activity decreased by 40 to 50 percent in Australia during 1973 relative to 1972. The decrease is attributed to several political and economic factors believed to be unfavorable to the oil and gas industry. Sixty-seven exploration wells and 16 development wells were drilled or drilling in Australia during 1973. About half of the exploration wells were drilled offshore. Offshore, the principal active areas remained the Gippsland basin of Victoria and the northwest shelf of Western Australia. Onshore, there was little significant drilling activity with exception of the Cooper basin of northeast South Australia and southwest Queensland. In this basin there were only 3 exploration tests drilled, but all were gas discoveries. In 1973 Australian oil production was 22,443,266 cu m (141,168,140 bbl) and gas production was 4,343,102,000 cu m (153,832,670,000 cu ft). At mid-1973 Australia's reserves were about 4.5 billion bbl of oil and natural gas liquids and 38 Tcf of gas. Three new-field discoveries and 1 deeper pool discovery on the northwest shelf, together with successful delineation wells on 3 new fields in the Gippsland basin should increase the total reserve. In Papua-New Guinea 2 new areas of exploration drilling not tested previously included the Sepik basin of northern New Guinea and southeast of Papua in the offshore part of the Vogel basin. Geophysical exploration was the principal activity in several parts of Oceania during 1973. Fiji appears to have been the site of greatest activity in this region.

Petroleum Developments in Mexico in 1972

Drilling: In 1972, Petroleos Mexicanos drilled 431 wells, 85 less than in 1971. Of the 431 wells, 143 were exploratory, 14 more than in 1971. Of the exploratory wells, 4 did not reach their objective because of mechanical failure. A total of 288 development wells also was drilled. The total footage drilled during 1972 was 3,727,563 ft (1,136,452 m). Of this amount, 1,460,118 ft (445,158 m) was exploratory drilling, 4.9% more than in 1971. The average depth of exploratory wells was 10,210 ft and of development wells, 7,873 ft. The success of new-field wildcats was 18.6%; the success of other types of exploratory wells was 24.5%. Exploratory activities: (1) Exploratory parties: during 1972, 75 exploration parties were in operation. Of these, 22 did field mapping; 17, subsurface mapping; 23, seismic mapping onshore and 5, seismic mapping offshore; 5, gravity meter; 1, terrestrial magnetometer; and 2, combination magnetometer and gravity meter. (2) Exploratory wells: in 1972, 143 exploratory wells were drilled. Of these, 4 did not reach their objective, because of mechanical failure. Of the 139 remaining wells, 88 were new-field wildcats, 11 of which were oil producers and 5, gas producers. This gives an exploration success of 18.6%. Of the exploratory failures, 46 were extension wells for deeper pool wildcats on producing structures; 9 were stratigraphic tests in new areas. Of the various types of exploratory wells, the success percentag was 24.5. Annual production of oil and gas: The annual production of crude oil and condensate during 1972 was 185,000,000 bbl, 4.08% more than in 1971. The daily liquid production was 505,494 bbl and the daily gas production was 1,803.8 MMcf. Total annual gas production was 660,232 MMcf. Reserves: At year end, the reserves of oil and gas reached 5,387.8 million bbl, a decline of 40,495 bbl with respect to 1971.

Petroleum Developments in Israel in 1972

Petroleum Developments in Israel in 1972

Petroleum Developments in Far East in 1972

Oil in the Far East area in 1972 averaged about 1,578,226 BOPD with another 600,000 BOPD estimated for the China mainland, representing increases over 1971 of 23 and 17.6%, respectively. The main producing countries are: Indonesia, 49.81%; China, 27.55%; Brunei, 9.04%; India, 7.18%; and Malaysia, 4.36%. Production figures for natural gas are incomplete, but the daily average for 1972 exceeded 1.75 Bcf. With LNG shipments from Brunei commencing in December 1972 and with negotiations in progress for Indonesian and Malaysian known reserves, gas in the Far East is expected to rise sharply. To attract foreign investments and techniques, the Philippines and Malaysia have enacted new petroleum laws patterned along the lines of the Indonesian production sha ing contract. It appears that India and perhaps Burma may follow this course, at least in their offshore areas. Aggressive exploration activities in 1972 resulted in several new discoveries. Aggressive exploration is expected to continue in 1973.