BPC scales back Bahamas well costs

Offshore staff

DOUGLAS, UK - Bahamas Petroleum Co. (BPC) says it has completed re-engineering of its first planned exploration well offshore the Bahamas.

The program took into account 3D seismic data and a comparison of historic drilling performance in the Bahamas and similar carbonate lithology wells drilled elsewhere in the world. The aim was to establish "technical limits" for benchmarking of well costs.

Further studies are under way to ensure the well equipment design maximizes the rate of penetration in order to reduce drilling times, keeping costs lower.

At the same time BPC is keen to maximize data gathering during drilling.

The company now estimates the cost of the well in the range $50-60 million, below its previous estimates.

Additionally, BPC has revised its models for a potential development, reflecting current global oil prices, reduced well cost estimates and other factors such as the proximity of any discoveries that may follow to existing infrastructure, contractors and service suppliers.

The company believes the minimum field size for an economic development is less than 200 MMbbl, with a break-even oil price of $30-40/bbl.


(Image courtesy BPC)

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


Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...