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Gold/Mining/Energy : TLM.TSE Talisman Energy

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To: Marantz who wrote (1140)2/1/2001 11:49:55 PM
From: Tomas  Read Replies (1) of 1713
 
Beatrice Blooms for Talisman - Hart's European Offshore Petroleum Newsletter, January 30

A contract for the installation of a replacement pipeline for the Beatrice field is soon due to be sealed by operator Talisman Energy which has further plans to extend the life of the field.

Two new wells are due to be drilled on Beatrice, to access pockets of trapped oil in the field, which is located in UK block 11/30a in the Inner Moray Firth area. But the plan is still subject to consent being obtained from the Department of Trade and Industry for replacing the existing line and drilling the two extra wells using a cantilevered jackup rig, from the Beatrice Bravo platform, which is also due to be upgraded. Water injection is due to be increased on Bravo, and dual electric submersible pumps are to be installed on all new completed wells on the field, if the Talisman plans are approved. Approval for the project is being sought by next month.

Beatrice has been out of production since last August when it was shut in for maintenance.

It failed to come back onstream after a defect was discovered in the export pipeline to the Nigg Bay terminal, during a seawater pressure test. Talisman is suggesting a new line could be installed this spring ready for re-starting production by July this year. If this plan is approved, the existing export line would be sealed and buried.

The new pipelay contract involves 60km of new line, starting 5km from the Beatrice Alpha platform to within 3km of the shoreline at Nigg. The present 66.9km line, 16-inch (406.4mm), in diameter, was commissioned in 1981 by the then operator, Britoil.

Once back onstream, the Beatrice is expected to produce at 15,000 b/d of oil again - trebling the output before the field was shut in last year - and at an annual average of 10,000 b/d.

The trapped oil pockets are described as being "...attics located updip of existing wells," and the water injection output will be increased from 75,000 b/d of water to 125,000 b/d. This is intended to allow Talisman to maximise offtake, and improve sweep within the Beatrice reservoir. Furthermore, ESPs will be installed in all existing wells when they are worked over.

Talisman also unveiled its 2001 spending plans which amount to US $1.7 Bn worth of exploration and production investment, a 44% rise from 2000, the Canadian-based operator said.

While Canada will account for the lion's share of that spend at $710m this year (up from $690m in 2000), the North Sea will be the second highest investment area for Talisman, with a $565m spend, a $250m rise from 2000.

Indonesia, Sudan, and the rest of the world will account for $435m, more than double the $185m spend for those regions last year.

Out of the North Sea budget, Talisman has allocated $95m for development of Blake, $50m for Hannay, and $30m for Halley.

A further $50m has been allocated for development spending on the Claymore field; $35m for Tartan, and for a new 3D seismic survey over its other Fourth Round assets.

Overall production from Talisman is due to be increased by between 5% and 10% this year, and average production is forecast at 430,000 to 450, 000 b/d.

Last year, North Sea production accounted for 32% of Talisman's output total. Canada accounted for 47% and the remainder was derived from Indonesia and Sudan.
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