25 November 2016, Lagos – Production from Aje field located in Oil Mining Lease 113 offshore Lagos is being affected by mechanical issues associated with the completion of one of its wells, a project partner has said.
Panoro Energy, an independent exploration and production company with assets in Nigeria and Gabon, said in its third quarter report 2016 that production from the field continued in the quarter, with first lifting of Aje crude completed on September 15.
It, however, said, “Production from Aje during the quarter continued to be limited by the performance of the Aje-5 well which, as we reported last quarter, requires subsurface intervention to remedy a mechanical problem.
“In addition, availability of gas lift on the FPSO to optimise production rates was limited and some modifications and repair to components of that system have been necessary. The gas lift system engineering work has been delayed but is now well underway and the system is planned to be operational again in the near future.”
Yinka Folawiyo Petroleum Company Limited, a wholly-owned indigenous firm and operator of the OML 113, had on May 3 announced the commencement of crude oil production on the Aje field.
Other partners are New Age Exploration Nigeria Limited, EER (Colobus) Nigeria Limited, Pan Petroleum (Panoro Energy) Aje Limited and PR Oil & Gas Nigeria Limited.
Panoro said the delay in using the gas lift system impacted production during the third quarter and would affect the production expected in the fourth quarter.
It, however, said that the Aje-4 well produced throughout the third quarter and continued to perform better than anticipated in its earlier modelling.
The company said, “Preparations for the Aje-5 intervention programme have started with procurement of long lead items and rig contracting. The intervention is scheduled to be undertaken at the end of 2016 and is designed to remedy mechanical issues with the completion of the well.
“It is expected that the Aje field will be producing regularly at our earlier stated target rates of 7,000-9,000 barrels of oil per day once the Aje-5 well is successfully brought back on line, which we anticipate to be in early 2017.”
Panoro had in September said the average gross daily production at Aje, calculated from the first oil in May until mid-August, was 5,500 barrels, which included the entire testing, inauguration and approval period completed in mid-July.
According to the report, the Aje gas development project, which involves production and sale of gas and liquids from the 163 million barrels of oil equivalent Turonian reservoir, is moving through concept definition towards a Field Development Plan.
– Punch
