Kufpec agrees on farm-in for North Sea Alma/Galia project

Offshore staff

LONDON EnQuest has agreed to farm out a 35% interest to Kuwait Foreign Petroleum Exploration Co. (Kufpec) in the Alma/Galia oilfield developments in the UK North Sea.

Subject to regulatory approvals, Kufpec would invest about $500 million, including up to $182 million in future contributions for past costs and a development carry for EnQuest.

The capex for the project, which EnQuest operates, is being revised to include some added costs related to increased scope to extend the fields’ lives. EnQuest anticipates a total outlay for the development of roughly $1 billion. First production is scheduled for 4Q 2013, peaking at more than 20,000 boe/d.

Alma, previously known as Argyll, was the first UK North Sea oilfield development. It was abandoned at a relatively low water cut of 70%, due to constraints in available technology at the time.

EnQuest estimates remaining reserves at Alma and Galia at 29 MMboe. The planned development involves drilling seven production wells and two water injection/disposal wells, tied back to the modified FPSO EnQuest Producer. Facilities would be capable of processing high water cut levels up to 95%.


Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...