Apache achieves first oil at Garten development, UK North Sea

12/4/2018

HOUSTON -- Apache Corporation has initiated production from its Garten development on Block 9/18a Area-W in the United Kingdom sector of the North Sea. The discovery well, which is located 6 km south of the Beryl Alpha Platform, was placed on production in late November, less than eight months after being drilled in March 2018.

The discovery well at Garten encountered a downthrown structural closure with 778 ft of net oil pay in stacked, high-quality, Jurassic-aged sandstone reservoirs. The well is currently producing from the Beryl sand at a rate of 13.7 Mbopd and 15.7 Mcfgpd. Two lower zones were also successfully tested, and all three zones will ultimately be commingled to maximize recovery. The strong initial rate establishes excellent momentum late in the year and will positively impact Apache’s 2019 production guidance. As previously disclosed, the recoverable resource is expected to exceed 10 MMbbl of light oil plus associated natural gas. Apache has a 100% working interest in the Garten development.

Jon Graham, region V.P., North Sea for Apache, said, “We are proud to have brought the Garten field online well ahead of our original target of first-quarter 2019. Performance from the three zones we tested is very encouraging, and we expect this field will significantly increase Apache’s reserves and production in the UK. With exposure to strong Brent oil and UK natural gas prices, Garten will be a notable contributor to Apache’s cashflow in 2019.

“The Garten project is an excellent example of Apache’s strategy in the North Sea to focus exploration activity near operated facilities and leverage existing infrastructure. The pace of this project would not have been possible without the skills and expertise we have within our team and close collaboration with companies in our supply chain,” continued Graham. “The support we received from the Oil and Gas Authority cannot be overstated, and we are proud to be contributing toward maximizing economic recovery in the UK North Sea with the successful development of the field.”

“Garten is a unique technical achievement and represents Apache’s most complex smart well completion to date. Our delivery on this project underscores Apache’s strong mix of integrated technical capabilities, project management expertise and cost discipline,” added Mark Hobbs, director of Operations & Projects at Apache North Sea.

Dr. Andy Samuel, chief executive of the Oil and Gas Authority said, "It is great to see the Garten field come onstream less than a year from the original discovery and well ahead of the original plan. The Garten well was the 2,500th exploration well on the UK Continental Shelf. Apache’s continued success reinforces the tremendous potential of the UKCS, which Apache is unlocking using advanced data gathering and analytics with excellent application of a number of technologies including 3D seismic to uncover high value near-field prospectivity.”

The Garten field is tied back to the Beryl Alpha platform, which is located 180 mi northeast of Aberdeen. It follows Apache’s successful Callater field discovery in the Beryl area, which came online in May 2017.

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