Eight license parcels awarded offshore Newfoundland and Labrador

Offshore staff

ST JOHN’S, Canada – The Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) has outlined results from its Call for Bids in the offshore Eastern Newfoundland and Jeanne d’Arc regions.

Siobhan Coady, Minister of Natural Resources, said: “We are optimistic about today’s successful calls for bids in our province’s offshore.

“Overall there is a total work commitment of close to $758 million and eight successful bidders - three of which are new to our offshore: Hess Canada Oil and Gas; Noble Energy Canada; and Delek Group (Navitas Petroleum Ltd. and DKL Investments).

“Also, of the eight parcels awarded, we are pleased that four are in the newly identified West Orphan basin, while two are in the Flemish Pass basin and two are in the Jeanne d’Arc basin.”

A group led by BP Canada Energy Group, Hess Canada Oil and Gas and Noble Energy Canada was awarded licenses in the area of the newly discovered play trend in the West Orphan basin.

The Calls for Bids consisted of 16 parcels of land totaling more than 3.3 million ha, with 13 parcels in the Eastern Newfoundland Region and three in the Jeanne d’Arc basin.

Offshore Newfoundland and Labrador has been undergoing a comprehensive data acquisition program over the past few years.

Integration of the multiple surveys led to identification of a new Lower Tertiary play trend in the West Orphan basin, with Beicip Franlab assessing the in place resource potential at 25.5 Bbbl of oil and 20.6 tcf of gas over the 2016 license round area.

The play trend is thought to contain geology similar to slope and deepwater regions offshore Brazil, with one prospect in the area, Cape Freels, sharing characteristics with the Marlim field.

The scheduled license round system allows parcels not taken up in previous rounds to be re-offered in subsequent calls in that region and, as a result parcels in the Flemish Pass basin were re-submitted for bids this year, resulting in further work commitments in the area.

11/14/2016

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

Whitepapers

Reach New Heights: Six Best Practices in Planning and Scheduling

These 6 best practices have created millions of dollars in value for many global companies. Learn...

Making DDoS Mitigation Part of Your Incident Response Plan: Critical Steps and Best Practices

Like a new virulent strain of flu, the impact of a distributed denial of service (DDoS) attack is...

The Multi-Tax Challenge of Managing Excise Tax and Sales Tax

To be able to accurately calculate multiple tax types, companies must be prepared to continually ...

Operational Analytics in the Power Industry

Cloud computing, smart grids, and other technologies are changing transmission and distribution. ...