Abu Dhabi Review

Adco plans to boost drilling activity

Adco ... getting more aggressive

ABU Dhabi Company for Onshore Oil Operations (Adco) plans to drill close to 1,500 wells between 2009 and 2013 plus an additional 72 wells on behalf of Abu Dhabi National Oil Co (Adnoc) in the latter’s sole risk areas, according to Adco’s internal plans.

The plans are part of a drive to push output to 1.8 million barrels per day (mbpd) from the current 1.4 mbpd.
The sole risk areas in Adco’s onshore concession and some offshore enclaves comprise all the gas reserves where Adnoc has contracted drilling to Adco.
According to Adco’s “final business plan 2009-2013,” drawn up in July, drilling activity will increase dramatically from 2010, when 302 wells will be spudded, compared with 189 wells in 2009 and 184 wells in 2008. That frenetic rate will continue, with 317 wells planned in 2011, 321 in 2012 and 339 in 2013.
The drilling profile shows the push becoming more aggressive in the second half of the five-year plan period. This confirms earlier reports, based on Adco’s 2008 plan sees that the 1.8 mbpd target is more likely to be reached late next decade.
The Bab field comes top in terms of number of wells, with 543 to be drilled between 2008 and 2013, the plan shows. A total of 302 wells will be spudded in Bu Hasa and 272 in Asab.
Adco plans to launch a tender for engineering, procurement and construction (EPC) contracts for full field development of the Thamama G and Habshan-2 reservoirs in Bab in September 2009.
Bab is supposed to contribute 435,000 bpd to the 1.8 million bpd target. The Thamama G and Habshan-2 development — along with the Habshan-1 reservoir project, on which work is under way — will together account for 172 wells between 2008 and 2013. Most will be drilled from 2010 onwards.
Drilling in Asab will also double from 2010. The bulk of the work will focus on the Thamama A reservoir, which is expected to contribute new output to Adco’s plans. A total of 48 wells will be drilled in Thamama A between 2008 and 2013.
A major tender for a full field development EPC for Asab, as well as the Sahil and Shah oil fields, went out in June. Adco set a deadline for the submission of commercial bids, after receiving technical bids from four groups in April. The multibillion-dollar project aims to hike output from the three fields by 130,000 bpd.
Sahil, Shah and the North East Bab (NEB) fields, as well as small new fields — including Bida Al-Qemzan, Qusahwira, and Mender — will together account for 509 wells in the six years to 2013.
The NEB fields (Dabbiya, Rumaitha and Shanayel) will contribute 230,000 bpd to Adco’s 1.8 million bpd target and Sahil will produce 100,000 bpd at full capacity, according to current plans. Smaller contributions will come from Shah (70,000 bpd), Qusahwira (40,000 bpd), Bida Al-Qemzan (20,000 bpd) and Mender (16,000 bpd).
Phase 3 development of Rumaitha will alone account for 44 of the 90 wells to be drilled in the NEB fields starting in 2011. Adco plans to drill two appraisal wells at Bu Tini in 2011 and 2012, and one appraisal well at Uwaisa in 2013.
In total, the company will drill 14 appraisal and exploration wells between 2008 and 2013, of which seven will be in the southeast, four in the central area and one in the northeast. It is also drilling two exploration wells in Adnoc’s sole risk areas.
The plans show Adco drilling 12 gas wells in Adnoc’s sole risk area in the Hail field. Although part of the Adco concession, it — like Bu Tini — lies offshore.