Project Profile
Location: southern coast, onshore Trinidad
Production: 37.5 mmbbls ( South East block of Beach Marcelle field)
Area: 66,000 acres (16,253 gross acres)
In April 2011, Range reached an agreement for 100% ownership of production licences for three blocks in producing onshore oilfields in Trinidad and a major local drilling company. The agreement was finalised in June 2011.
The production acreage and operating wells cover the Morne Diablo, Beach Marcelle and South Quarry oilfields, with the total acreage covering 16,253 gross acres on the southern coast onshore Trinidad.
In addition to the two subsidiaries holding production licences for the onshore acreage, which owns five onshore drill rigs, three production rigs, one swab rig and a full workshop and pipe yard, storage tanks and facilities. The company is planning to use company-owned drilling rigs and equipment and, with cashflow from existing production, is expected to be self-sufficient (other than a significant initial working capital injection of which Range will be carried) in its forward program which aims to increase the production from 700 bopd to 4,000 bopd within 36 months from known reserves without taking into account any exploration upside. In addition to the known reserves, significant potential exists in the deeper Herrera Formation. The Deeper Herrera Formation will be a primary target of future drilling using company-owned drilling rigs, which are capable of reaching the depth of these formations. (approx. 100 mmbbl potential)
Beach Marcelle
In 2016, Range Resources received government and regulatory approvals for the implementation of the Beach Marcelle waterflood programme. The Beach Marcelle waterflood is the largest scale waterflood project to be undertaken in recent times in Trinidad and is expected to be a major contributor to the Company’s production growth. The majority of Range’s 1P reserve base is found in the Beach Marcelle block (14.7 mmbbls of 1P reserves). The Beach Marcelle waterflood has been split into a number of individual projects, based on the fault blocks within the field.
- Phase 1 projects comprise the South East, North East and part of the South West blocks. The South East block will be the first to be waterflooded. It is expected to produce up to 2,500 bopd and 5.5 mmbbls of oil in an 8-year period.
- Phase 2 project comprises part of the North West area, previously partially waterflooded by Texaco in the 1960s. The Company is evaluating the possibility of using disposal water from Petrotrin and / or other operators in the Beach Marcelle area as its water source. This would be a more cost effective option than drilling new water source injector wells. The Company is finalising its project timeline for the Beach Marcelle project, and will publish it to shareholders once completed.
Morne Diablo
In 2016, Range Resources also received all necessary government and regulatory approvals for the Morne Diablo waterflood expansion programme. Initial water injection commenced in December 2015, with three wells being injected. Nine further wells have been approved for conversion to water injectors. The Company has conducted further screening of existing wells on the Morne Diablo field to be used as potential water source candidates, which will be finalised once a well integrity survey has been completed. Initially, the Company will be sourcing injection water from available wells on the Morne Diablo field. The Company is discussing with Petrotrin a possible commercial arrangement for using available disposal water from their operations in the area, which could provide access of up to 3000 bwpd. This arrangement would also involve potential access to Petrotrin’s pipeline, subject to approvals. If approvals are obtained, Range will need to install piping for connectivity to its Morne Diablo field. The original oil-in-place is estimated by Range to be approximately 6.5 mmbbls, of which 1.35 mmbbls (21%) has been produced by primary depletion. Studies indicate that the waterflood expansion programme could produce another 1.15 mmbbls (18%) at Morne Diablo.
Operators:
Range Resources: Operator
Leni Gas & Oil plc (LGO)
Contractor:
Forrest A. Garb & Associates: Reserve auditor
LandOcean: Contract for evaluation studies for additional reserves recoverable by waterflooding