Gulf News

Bahrain finds 80b barrels of shale oil

DISCOVERY INCLUDES 10- 20TR CUBIC FEET OF DEEP GAS RESERVES

- BY HABIB TOUMI Bureau Chief

Bahrain’s largest ever discovery of oil and gas has shale oil amounting to at least 80 billion barrels, the kingdom said yesterday.

Bahrain earlier this week announced the discovery of shale oil and a deep gas resource in Khaleej Al Bahrain Basin, located off the west coast of the kingdom.

“DeGolyer and MacNaughto­n’s and Haliburton’s independen­t appraisals have confirmed the find by National Oil and Gas Authority ( NOGA) of highly significan­t quantities of oil in- place for Khalij Al Bahrain, with tight oil amounting to at least 80 billion barrels, and deep gas reserves in the region of 10- 20 trillion cubic feet,” Minister of Oil Shaikh Mohammad Bin Khalifa Al Khalifa said yesterday as he announced the size and content of the discovered resources. “Agreement has been reached with Halliburto­n to commence drilling on two further appraisal wells in 2018, to further evaluate reservoir potential, optimise completion­s, and initiate long- term production.”

The discovery, made within the 2,000 square kilometre Khalij Al Bahrain Basin, is located in shallow waters off the kingdom’s west coast, close to a fully- operationa­l oilfieldwi­th ready- to- connect- to facilities, according to Halliburto­n, who added that this unique factor provides potential for significan­t cost optimisati­on.

Two accumulati­ons

A separate discovery of significan­t gas reserves in two accumulati­ons below Bahrain’s main gas reservoir has been confirmed.

Extensive work has already been carried out to evaluate in- place volumes. The first well in the drilling programme is planned to produce in August, and over the next two years focus will be given to maximising production and commercial efficiency.

“Oil in place of 80 billion barrels is based on a P50 resource estimate,” said DeGolyer and MacNaughto­n Senior Vice president, Dr John Hornbrook. “The discovery breaks new ground for the Bahrain oil and gas industry using establishe­d technologi­es.”

The newly discovered resource, which officials expect to be “on production” within five years, is expected to provide significan­t and long- term positive benefits to the kingdom’s economy — both directly and indirectly through downstream activities in related industries.

The next stage will focus on ensuring robust frameworks to facilitate commercial opportunit­ies with internatio­nal partners, NOGA added.

Iraq

is still in discussion with ExxonMobil over a multi- billion- dollar project to boost output fromsevera­l southern oilfields, the Iraqi oil ministry said yesterday.

The project was discussed again in Baghdad by Oil Minister Jabar Al Luaibi and a senior executive from ExxonMobil in charge of extractive projects, Brad Carson, theministr­y said.

The Integrated South Project consists of building oil pipelines, storage facilities and a seawater supply project to inject water from the Gulf into the oilfields. ( Reuters)

 ?? Reuters ?? Shaikh Mohammad Bin Khalifa Al Khalifa speaks to reporters during a press conference in Manama yesterday to announce the size and content of the newly discovered resources.
Reuters Shaikh Mohammad Bin Khalifa Al Khalifa speaks to reporters during a press conference in Manama yesterday to announce the size and content of the newly discovered resources.

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