Western Europe: Netherlands
August 2000 Vol. 221 No. 8 International Outlook WESTERN EUROPE Robyn Fowler and Susannah James, Arthur Andersen-Petroleum Services Group, London Nether
WESTERN EUROPERobyn Fowler and Susannah James, Arthur Andersen-Petroleum Services Group, London NetherlandsLicensing. During the first quarter, a Wintershall-led consortium was awarded an exploration license over Block A/15. PGS was granted a reconnaissance license, which covers part of currently open Blocks D/6 and D/9. Bids were invited for an exploration license over Block M/2, and Clyde submitted an application for a production license in M/7, which contains the M/7 gas discovery. An exploration license covering Block P/10, which had been subject to three competitive bids, was granted to Veba. Similarly, NAM accepted two exploration licenses covering Dutch North Sea Blocks E/2 and E/3, while Elf accepted a license over Block K/3d. During the second half of the year, the only activity was the award of a production license in December for the Q/4 exploration area. Partners remained the same – Clam, Clyde (operator) and Dyas – except that state company Energie Beheer Nederland BV exercised its right to obtain a 40% interest. The other members’ stakes were prorated to reflect this change.
A number of relinquishments took place throughout the year. NAM partially relinquished eight blocks / part-blocks and fully relinquished F/18c. Clyde surrendered P/18b, while Elf relinquished four blocks / part-blocks. Wintershall partially surrendered E/18 and L/16b. There were four other full surrenders and one partial relinquishment. In addition, Clyde (operator) and partners Dyas and Veba have withdrawn from the onshore drilling permit Valkenswaard, which is situated in North Brabant, Southern Holland. Exploration. Eleven of the 13 wells completed during 1999 were exploration holes. Six of these encountered gas, giving a 55% success rate. Both Clyde and Elf Petroland announced two new discoveries in mature quadrants K, L, P and Q, while TransCanada and Wintershall found one accumulation each in the less-explored A and G quadrants. Drilling. Offshore exploration and appraisal drilling levels continued to fall in 1999, with a total of just 10 wells started during the year. This is a 44% decrease from the 18 wells drilled in 1998. Almost three-quarters of these wells are located in the more mature quadrants K, L, P and Q. The remaining three wells are situated in the less-explored quadrants A and G. Development and production. Three Dutch fields were given the go-ahead for development during 1999. NAM’s F02-Hanze field is being developed through four vertical wells terminating at a gravity based structure, incorporating an oil storage facility. Elf’s K01a will be developed via a minimum facilities platform tied back to J06a-Markham as part of a satellite development plan. Approval for the fast-track development of two discoveries made by Clyde in Block Q04 was also given. Development has begun with the purchase of Wintershall’s abandoned K13 platform to be located on Q04A, with the second accumulation tied into the platform. These three fields have combined estimated reserves of 50 million bbl of liquids and 745 Bcf of gas. A further two fields started production in 1999, bringing 532 Bcf of gas on stream. D12/D15-Andalusite is a stand-alone development, with two wells terminating at a manned steel platform. The field has been developed by Wintershall, with NAM taking over as operator after field commissioning. To the southeast, NAM’s discovery Well Q/16-7 has been tied back to BP Amoco’s P18-A wellhead platform. Condensate produced from Q16-FB is commingled with liquids from P15, P18 and Rijn. Dutch offshore liquids production remained roughly stable at 27,500 bpd, an
increase of just 3% from the 1998 average. Gas production showed a similarly small rise of less than 1%,
reaching 2.805 Bcfd.
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