Independent Gas Operator – Underground Drilling Due Diligence
Axis was engaged by an institutional investor to assess the performance of a highly unconventional, onshore oil field development.
The large, shallow field had previously been developed by conventional methods over many decades. Due to the relatively heavy fluids and poor water injection efficiency significant unrecovered volumes were still in place. To try and unlock these reserves a mining company developed a gravity drainage strategy to sink a deep shaft, build a cavern and then then drill wells upwards into the overlying reservoir.
The investor requested we review production data to develop an independent assessment of reservoir and well performance and generate production profiles that could be used to generate revenue forecasts.
Key tasks included:
- Field visit, including to the underground cavern
- Review of historical conventional reservoir and well performance
- Review of underground drilling production performance
- Review of drilling program
- Develop geological and reservoir models
- Generate production profiles
- Prepare detailed documentation and present results to investor and field operator
This project delivered an independent validation of the operators future plans and provided our investor client with the information they required to determine the level of opportunity and risk associated with the project.
For more information please contact our experts.