Field Trip Algeria pdf 1 MB

2005 Eni Field Trip - Algeria
Claudio Descalzi
Senior Vice President
Geographic Area Italy, Africa and Middle East
Exploration & Production Division
September 22nd, 2005
Algeria: macro economic data - 2004
COUNTRY DATA
ƒ
Population:
ƒ
GDP per capita:
ƒ
GDP growth rate:
ƒ
External Debt:
ƒ
Inflation rate:
UPSTREAM SECTOR
ƒ
Oil/Condensate
production:
4,973 US$
ƒ
LNG production:
7.1 %
ƒ
Total Gas
production:
ƒ
Oil/Condensate
proved reserves:
ƒ
Gas Reserves:
33.4 Million
22 BUS$
4.6 %
1.8 Mbbl/d
18 Mtpa
220 Mcm/d
13.1 Bstb
4.5 Tcm
2
Algeria: main gas supplier to the
European market
5°W
0°E
5°E
10°E
Mediterranean Sea
SPAIN
Atlantic Ocean
35°N
35°N
ALGIERS
TUNISIA
ƒ
ƒ
Key gas supplier to the
European market
R'MEL
HASSIHASSI
R ’MEL
MOROCCO
Large gas reserve
HASSI MESSAOUD
30°N
ALGERIA
ƒ
Integrated gas pipeline
LIBYA
MAURITANIA
ƒ
25°N
25N
system
Eni the first buyer of
Algerian gas
MALI
20°N
20°N
NIGER
0
100
Existing gas pipeline
Ongoing projects
Km
200
5°W
0°E
5°E
10°E
3
2004 Algerian Gas & LNG Buyers
Gas
LNG
35.4 Bcm/y
25.3 Bcm/y
22%
15%
11%
10%
7%
8%
3%
3%
21%
68%
32%
Italy
Portugal
France
Turkey
Usa
Spain
Others
Spain
Belgium
Italy
Others
Source: Eni & “Arab Oil & Gas Bulletin – Feb. 05”
4
Eni in Algeria
KEY FEATURES
ƒ
Solid and long lasting relationship
ƒ
Leading international upstream player
ƒ
Legacy country
ƒ
More oil and gas opportunities
5
Eni Assets in Algeria
5°W
0°E
5°E
MAIN PARTICIPATED FIELDS
10°E
ALGERIA
Mediterranean Sea
El Borma
SPAIN
OD-1 El Borma-Mesdar
Bir Achmed
20”
35°N
RHOURDE MESSAOUD
(ROM)
B403c/e
Eni w.i. 100%
ZEK
TUNISIA
HASSI R'MEL
BRN-BRW-BRSW
BRW
BFS
BIR REBAA NORTH (BRN)
BRSW
HBNE
SFNE
Ali Ben
SFSW
CSF
CPS
30°N
B208
RBK
BKNE
BKNE-15
HASSI BERKINE NORTH (HBN)
QBN
B406b
HASSI BERKINE SOUTH (HBNS)
Eni
CPF
OURHOUD
B212
B405c
OH3 - HEH
RKF
RKF Cepsa
30”
w.i. 12.25%
B406a
OURHOUD
Eni w.i. 4.59%
FCP
Wadi ET
KMD
B440
LIBYA
MAURITANIA
25°N
MLW
25N
Eni w.i. 50%
RDB
B211
MLNW
MLN
B405a
B405b
MLE
FCP
MLSE
B208
EKT
EMN
Planned El Merk Synergy
CPF
EKT
MLS
BERKINE BASIN
MALI
Eni w.i. 63.9%
Base Camp
Base Camp
HBNSE
ROD & Sat
B404
BRN-ROD
Plant
BRN
HBN
HBNS
BBK
CPF
HASSI MESSAOUD
ROD
ZEA
B403b
BBKN
B404b
B404
RHOURDE OULAD DJEMAA
(ROD)
RAR
REC
ROM
ALGERIA
ROM
ROME
RERN
401a
ar
2
OD Mesd
NBR
Atlantic Ocean
RKF
20”
35°N
”
20
ALGIERS
MOROCCO
TUNISIA
EL MERK
Eni w.i. 12.25%
EME
B211
B212
Eni
EOR
IAN
0
100
Eni Operator
Eni Asset
Km
200
20°N
20°N
NIGER
IAN-EOR
Eni w.i. 33.57%
0
5°W
0°E
5°E
10
50 km
10°E
6
Eni: presence in Algeria
HISTORICAL MILESTONES
1975
Establishment
of Joint
Company
SnamSonatrach
T.M.P.C.
1981
1986
1987
1989
1991
ƒ
Start-up of gas
export through
gas-line E. Mattei
The Concession
Agreement of B.403
turned into Production
ƒ
Signature of
Concession
Agreement for
Blocks
403&407
Rhourde
Messaoud
(ROM) oil
field
discovery
Bir Rebaa
North (BRN)
oil field
discovery
Bir Rebaa West
(BRW) & Bir
Rebaa SW
(BRSW) oil field
discoveries
Sharing Agreement
(first PSA signed in
Algeria)
7
Eni: presence in Algeria
HISTORICAL MILESTONES
1995
1996
1999-2000
2001
2002
2004
BRN
Production
start up
HBNN & BRSE
(ROD) oil field
discoveries
Acquisition of
Anadarko, Lasmo
& Maersk
interests in B.
401a &402a
Lasmo
Acquisition
EOR
discovery in
B. 212
ROD
production
start up
GSA
establishment
SH-Eni historical operated production (100%)
Kbopd
60
40
20
-
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
8
Production Sharing Agreement (PSA)
TOTAL
TOTAL PRODUCTION
PRODUCTION
ROYALTIES
ROYALTIES
12.5%
COST OIL
COST OIL
ƒ
ƒ
ƒ
ƒ
TRANSPORT COSTS
OPERATING COSTS
EXPLORATION COSTS
DEVELOPMENT COSTS
PROFIT OIL
TAX OIL
PROFIT OIL
PROFIT OIL SLIDING SCALE
Based ON DAILY PRODUCTION
TAX OIL
38.0%
2nd Party Entitlement (Cost oil + Profit Oil): MAX 49%
9
International Players in Algeria
Kboe/d
2004 average daily equity production
70
60
50
40
30
20
10
0
Eni
Anadarko
Cepsa
BP Plan Statoil
Sources:
Monthly Amerada
Operators Meeting,
NOC - Gas Utilization
Burlington
BHP
Repsol
Hess
Eni a leading international player in Algeria
10
Algeria: Eni equity production trend
kboe/d
CAGR 2004-08
~ 13 %
67
2004
>90
2005E
>110
2008E
11
Eni: efficient organic growth
2004
Eni Algeria
Eni E&P
3-year average
3-year average
Reserve replacement ratio (%)
158
117
Opex ($/boe)
2.1
3.0
4.94
7.26
0.5
1.2
F&D cost ($/boe)
Discovery Cost
12
Algeria: Eni participated Facilities
BIR REBAA Central Processing Facility
OD-1
20”
2
OD-”
RKF
20”
20
401a
RERN
RAR
ROME
ROM
ZEK
BRW
ROD
BRN-ROD
Plant
BRN
REC
Base Camp
ZEA
B403b
BBKN
B404b
B404
BFS
BRSW
HBN
3 Trains (first oil June 1995)
Production 120 Kbopd
64 wells (38 Oil Producers, 14 Water Injectors, 12 Gas
Injectors)
HBNE
SFNE
HBNS
BBK
AAC
ƒ
ƒ
ƒ
HBNS CPF
Base Camp
RDB
HBNSE
SFSW
CSF
CPS
BKNE
PK0
RBK
HASSI BERKINE Central Processing Facility
QBN
BKNE-15
OURHOUD
Ourhoud CPF
PK31
B405c
Rhourde K
RKF Cepsa
OH3 - SH/CSTF/HEH
30” X 310 Km
Cepsa
Wadi ET
B208
EKT
KMD
MLW
MLNW
MLN
MLN
B405a
MLE
MLSE
MLS
Burlington
AAC
ƒ
ƒ
ƒ
EMN
El Merk Synergy
CPF
EKT
4 Trains (first oil May 1998)
Production 249 Kbopd
134 wells (81 Oil Producers, 40 Water Injectors, 13 Gas
Injectors)
EME
B212
OURHOUD Central Processing Facility
Eni
EOR
IAN
ƒ
ƒ
ƒ
B211
AAC
3 Trains (first oil December 2002)
Production 230 Kbopd
61 wells (34 Oil Producers, 23 Water Injectors, 4 Gas
Injectors)
13
Main Operated Fields
Rhourde Oulad Djemaa (ROD) & Satellites
e
lin r
a
pe
Pi esd
”
M m
20 N k
0
BR 23
Rern 2
401a
1
RERN355%
ƒ Reserves:
265
M boe (100%)
ƒ First Oil: October 2004
RAR
401-402
55%
403d
1
ROD
403
ROME
BRN
BRW
50%
100%
BRW E
65% 403a
403
403
BRN
402a
ROD 55%
80 kboe/d (100%)
50%
403a
403d
100%
75%
BRSW 50%
SFNE
55%
402a
ƒ Peak Production (2005):
BSF 55%
402a
ƒ Capex (full life):
510
M$ (100%)
325
M$ (Eni share)
RDB 55%
Eni w.i. 63.9%, SH-Eni Operator, BHP w.i. 36.1%,
14
ROD Dedicated Facilities in BRN - CPF
Train 3 (Rod)
Oil Stock (BRN)
Power Gen
Oil Stock (Rod)
Stock House
Work Shop
DCS
Train 2
Train 1
Offices
Security
Water Injection
Manifolds
SH-Eni Operator
15
Main Ongoing Development Projects
OD-1
20”
2
OD-”
RKF
20”
20
401a
RERN
RAR
ROME
ROM
ZEK
BRW
ROD
BRN-ROD
Plant
BRN
REC
ZEA
B403b
BBKN
B404b
B404
SFNE
HBNS CPF
ƒ B208 (EL MERK)
HBNE
HBNS
BBK
AAC
BFS
BRSW
HBN
EL MERK SINERGY
Base Camp
Base Camp
Eni w.i. 12.25%
RDB
HBNSE
SFSW
CSF
CPS
BKNE
PK0
RBK
ƒ B212 (IAN/EOR)
QBN
BKNE-15
OURHOUD
Eni w.i. 33.57%
Ourhoud CPF
PK31
B405c
Rhourde K
RKF Cepsa
OH3 - SH/CSTF/HEH
30” X 310 Km
Cepsa
Wadi ET
B208
EKT
KMD
MLW
MLNW
MLN
MLN
B405a
MLE
MLSE
MLS
Burlington
AAC
EMN
El Merk Synergy
CPF
EKT
ƒ B405a
Burlington
ƒ B404 (LPG)
EME
Eni w.i. 12.25%
B212
Eni
EOR
First Oil Q4 2008
IAN
B211
AAC
16
Main Ongoing Development Projects
EL MERK B 208+NGL 404
Anadarko 24.5%, Eni 12.25%,
Maersk 12.25%, Sonatrach 51%
ƒ Reserves :
HBN
B404
HBNS
750.0 M boe (100%)
HBNE
CPF
HBNSE
SFSW
CSF
CPS
RBK
QBN
BKNE BKNE-15
B404 NGL
OURHOUD
ƒ First Oil: December 2008
Ourhoud CPF
Rhourde K
OH3
RKF Cepsa
Cepsa
B208
KMD
MLW
ƒ Peak Production (100%):
MLNW
MLN
MLN
B405a
MLE
El Merk CPF
EKT
167.0 kboe/d (2009)
Burlington
B212
EOR
EL MERK
IAN
IAN-EOR
ƒ Capex (100%):
full life: 1,888 M$ (Eni 240 M$)
17
Main Ongoing Development Projects
IAN – EOR
Eni 33.57%, Teikoku 14.43%
Sonatrach 51%
ƒ Reserves :
HBN
B404
HBNS
HBNE
CPF
88.0 M boe (100%)
HBNSE
SFSW
CSF
CPS
RBK
QBN
BKNE BKNE-15
B404 NGL
OURHOUD
ƒ First Oil: December 2008
Ourhoud CPF
Rhourde K
OH3
RKF Cepsa
Cepsa
B208
KMD
MLW
MLNW
MLN
MLN
B405a
MLE
ƒ Peak Production (100%):
El Merk CPF
30.0 kboe/d (2009)
EKT
Burlington
B212
EOR
EL MERK
IAN
IAN-EOR
ƒ Capex (100%):
full life: 360 M$ (Eni 121 M$)
18
Algeria: future opportunities
ƒ
Business growth opportunities in Algeria:
• Oil – through Enhanced Oil Recovery & brown field
projects
• Gas – through development of the high potential
with priority to LNG & GTL projects
ƒ
Conditions favorable to new projects:
• Highly qualified First Party
• Reliable operating and fiscal environment
• Transparent bidding procedures
• Availability of extensive processing & transmission
infrastructures
19
Safety Induction
Antonino Galletta
GSA General Manager
September 22nd, 2005
HSE : Safety Measures at BRN-ROD Plants
Safety Measures during the visit to the BRN-ROD Oil Treatment Plants
ƒ
PPE (hard hat, always - safety goggles, ear protectors, gloves, when
needed) must be worn while walking inside the plant
ƒ
Electrical apparatus (e.g. mobiles) must be switched off inside the plant
ƒ
Before taking snapshots with electronic cameras inside the plant, please
inform the accompanying person
ƒ
In case of alarm (siren), calmly walk towards the muster point and wait for
further instructions
ƒ
Should you need assistance, or in case you spot a dangerous situation,
please contact your accompanying person or use the emergency phones
which are available inside the plant and dial 9
21
HSE : Safety Measures at Bordj Fatima
Safety Measures to be followed during the trip to the Bordj Fatima Fort
Possible dangers have been considered and minimized, through:
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ƒ
ƒ
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Security escort
Medical assistance
Communications means
Expert accompanying personnel
Remaining minimal risks can be avoided through:
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ƒ
ƒ
ƒ
Do not hand touch hidden places, to avoid possible bytes of scorpions or vipers.
Always stay together with the group
Inform the doctor in case you have allergies or health problems
Should any problem arise, please inform immediately the accompanying personnel
No particular PPE is required
22
Field Tour
Taoufik Hamdan
Petroleum Engineer Manager
September 22nd, 2005
Field Trip Itinerary
Step 1 - BRN Base
RAR
ROD
ROME
ROD
BRW
BRN
Step 2 – Rod Well 14
BRSW
BSF
SFNE
Step 4 – BRN-ROD Plant
Step 3 - Sif Fatima Fort
24
BRN - ROD Plants - Facility Layout
Control room
Tank Train #3
Train #3
Oil Tank
Wharehouse
Electric plant
Re-injections
Train #3
Workshop
Muster Point
Offices
Train #1
Entry Manifold
Train #2
Fire Fighters
Water injection
Escape routes
25
1 - BRN Base
26
2 - Horizontal Well Profile
Oil
Oil
3500 m
Oil
SHALE
SHALE
Oil
Oil
Oil
SHALE
TD 4056 m Mmd
(3546 m TVD)
Oil Water Contact
3600 m
27
3 - Sif Fatima Fort
28
4 - BRN/ROD Plants
29