Ghazeer project: BP Oman to drill 100 wells

Energy major BP plans to drill around 100 wells as part of its Ghazeer project representing the second phase of its multibillion dollar investment in the development of the giant Khazzan gas field in Block 61 in central Oman.
Work on the Ghazeer development, which is designed to boost natural gas output from Block 61 to 1.5 billion cubic feet (bcf) per day by 2021 — up from 1 bcf / day presently — is progressing as per schedule, according to Yousuf al Ojaili (pictured), BP Oman’s President.
“Ghazeer is on target. We have already started to construct the well-pads, as well as commenced construction of the third processing train,” said Al Ojaili.
“We have started to drill wells, with three rigs currently operating in the Ghazeer area. So we are on schedule to deliver the project by early 2021.”
Speaking to journalists on the sidelines of the SPE International Hydraulic Fracturing Technology Conference & Exhibition taking place at Sheraton Oman Hotel, the official said that BP Oman plans to eventually drill around 100 wells as part of Ghazeer’s full-field development. The total capital cost of the project, encompassing investments in both the Khazzan and Ghazeer phases, amounts to around $16 billion over the life cycle of the programme.
BP Oman brought its Khazzan field into operation in September last year, gradually ramping out production to the current 1 bcf/day. Supplementing this output is around 30,000 barrels per day of condensate as well.
Significantly, learnings from the Khazzan phase have been taken on board to dramatically reduce the cost of drilling wells during the Ghazeer phase, said the President. “Whatever we have learned from Khazzan, we have begun to apply in the execution of the Ghazeer development – whether on the surface, or in the reservoir, or the drilling of wells. The good thing is that we are seeing a decrease in the cost of wells. Even the number of days for drilling is almost halved. Where it was 100 days for vertical wells initially, it is less than 50 days now, which is helping drive the cost down.”
Asked about plans, if any, for BP to grow its presence in the Sultanate beyond the Khazzan programme, Al Ojaili said: “We want to focus on Block 61 because there is great potential in it – big volumes – we have to maintain the availability of gas for the country. That’s our focus!”
Referencing the MoU signed in May by international oil companies with the Omani government with regard to potential investments in integrated gas developments, BP Oman’s President stated: “If we have these opportunities, we will continue to look for growth in the country – whether it’s upstream or downstream.”