UK's IOG Still Weighing up Harvey's Potential
Independent Oil and Gas (IOG) has said it will carry out further analysis and modelling to determine whether its Redwell and Harvey gas finds in the southern North Sea are feasible to develop, the UK company said in a statement on December 18.
IOG’s first well at Harvey confirmed a 49-ft gas column in September, falling short of its target of a 211-ft column. But a larger structure has been detected at Harvey northeast of the well, it said today, which could hold 40bn ft3 of gas. The company will have to undertake more technical work to shore up this figure.
Well results at Harvey have been merged with seismic data collected at the nearby Redwell discovery, indicating that Redwell extends further northwest than previously understood and forms a single structure with the Woodforde prospect. This structure could hold 100bn ft3 of gas.
Additional reservoir modelling will now take place to see if it is worth developing Redwell and Harvey, either via a tie-in to the Thames pipeline system or IOC’s core gas project, which it sanctioned in October.
Under a farm-in deal announced in July, Berkshire Hathaway Energy’s CalEnergy Resources has an option to acquire half of the Harvey project within three months of the well’s completion.