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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Faroe Islands-Licence 005 Well 6004/8a-1 Results and Remaining Prospectivity Final Evaluation
Rev Date Description Originator Reviewed Checked Approved
0 Sept. 2011 First Issue EA/GB/SB/MR/PM EA/GB EA
1 Oct. 2011 Final Issue EA/GB/SB/MR/PM EA/GB EA MS
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
DISTRIBUTION:
Copy No. Name Department Company Paper Copies 1 E. Antonielli EXP Eni Denmark B.V.
1 Anne Stewart Library Eni U.K.
1 Carlo Zollino Archivio SEBU-ARMA Eni S.p.A. E & P Division
2 Heri Ziska Geology Jardfeingi (Faroe Directorate)
Electronic Copies
1 ECMS 318905 ENI Denmark B.V.
2 Heri Ziska Geology Jardfeingi (Faroe Directorate)
Original Archive Document Control ENI Denmark B.V.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
CONTENT:
1. EXECUTIVE SUMMARY...... 4
2. GEOLOGICAL SUMMARY ...... 7
2.1 Geological Setting and prognosis ...... 7 2.2 Well Objectives...... 8 2.3 Target Definition ...... 8 2.4 TD Criteria...... 8 2.5 Summary of the well results ...... 9
3. POST DRILLING SEISMIC INTERPRETATION...... 15
3.1 Seismic Data Volume...... 15 3.2 Stratigraphic and sequences calibration ...... 20 3.3 Anne-Marie structure regional interpretation ...... 23
4. LICENCE 005 RESIDUAL POTENTIAL...... 27
4.1 T50/T45 (post-Basalt) section ...... 27 4.2 The T45/T36 section ...... 29 4.3 The T35 and older section ...... 31 4.4 Final conclusions...... 34
5. ANNEX 1: REPORTS DELIVERED TO JARDFEINGI AND JV PARTNERS ...... 35
5.1 ENI IN HOUSE REPORTS:...... 35 5.2 OUTSOURCED CONTRACTORS REPORTS:...... 35
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
1. EXECUTIVE SUMMARY
The Licence 005 is located in the Faroese sector of the Faroe-Shetland Basin and it has been operated by Eni Denmark B.V. with a 25% interest, along with the co- venturers Dana Petroleum (25%), OMV (20%), Cieco E&P (12.5%), Faroe Petroleum (12.5%) and First Oil Expro (5%). The Anne-Marie Prospect was drilled by the 6004/8a-1 vertical exploration well, located in 1106m of Water Depth, about 100 nautical miles from the nearest marine base (Runavik). The original targets were the clastic terms of the Palaeocene, T50/T45, T40/T38, T36/T31 (and additionally T10 and Mesozoic) in a low relief, four-way, structural closure. The drilling programme included coring and a comprehensive wire-line formation evaluation programme. The Seadrill West Phoenix deepwater semi-submersible rig spudded the well on the 23rd July 2010 and reached the commitment TD of 3941m MDRT (-3901m TVDSS, as per the licence obligations) on 23rd October 2010. Upon completion of the logging program the 6004/8a-1 well was safely plugged and abandoned: the West Phoenix Rig was then released from contract at 00:15 hrs of 11th November 2010. Three significant gas shows intervals were crossed in the Palaeocene Sequence, from 2854.5m to 2965m (Flett Volcanic Series), from 3392m to 3440m (Lamba 1) and, finally, from 3734m to virtually TD (Lamba 2, Kettla Tuff Member and Vaila Volcanic). A considerable amount of high quality data have been acquired in Anne Marie well; however, due to the peculiar “unconventional” geological setting, their interpretation was not straightforward and it took a significant amount of time to be completed. A reconstruction of the geological setting by means of calibrated regional seismic interpretation and multidisciplinary analysis, matching all independent observations (GWD, core, log, MDTs,), finally produced a satisfactory integrated interpretation. The analysis highlighted the absence, or minimal quality, of any effective reservoir in the gas shows intervals. Even with an optimistic approach, the Anne Marie well data clearly demonstrate the absence of any accumulation of potentially commercial size: a GOIP of 177Gft3 is estimated. No remaining Prospectivity worth of consideration is recognised within Licence 005. No further technical work could be carried out, that could significantly change the above perceptions.
Remark: For detailed description of the Drilling and Subsurface Operations, please refer to the ANNE-MARIE 6004/8a-1 EXPLORATION WELL END OF WELL DRILLING REPORT (issued April 2011) and the FINAL WELL GEOLOGICAL REPORT (issued October 2011)
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Fig. 1: Location Map
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Licence 005 Jv : Eni Denmark Bv Oprt. 25% DANA 25% OMV 20% CIECO 12.5% Faroe Petroleum 12.5% First Oil Expro 5%
GEOG. SYSTEM/GRID: Spheroid WGS84, Datum ETRF89 / UTM Zone 30, CM 3° West SURFACE LOCATION LAT/LONG : 60° 49' 14.667" North 04° 33' 55.327" West SURFACE LOCATION UTM : 6 743 836.40m North 414 864.60m East BOTTOM HOLE LOC. LAT/LONG :60° 49' 13.934" North 04° 33' 52.947" West BOTTOM HOLE UTM :6 743 812.87m North 414 900.01m East DISPLACEMENT AT TD : 51.95m WATER DEPTH : 1106.35m
RIG/TYPE : West Phoenix / Deepwater Semi submersible REFERENCE DATUM (RTE) : 38.65m PERMANENT DATUM : Mean Sea level RIG ON CONTRACT : 12/07/2010 SPUD DATE : 23/07/2010 DATE WELL AT FINAL TD : 23/10/2010 RIG OFF CONTRACT : 11/11/2010 TOTAL DAYS : 118
TOTAL DEPTH (DRILLERS): 3941m MD 3902.35m TVDSS TOTAL DEPTH (LOGGERS): 3943m MD 3904.35m TVDSS BHF :Vaila Eq., Palaeocene - T35 RESULT :GAS (three intervals w/ shows) Reservoir :Tuffs, weathered volcanic, silty-sst
GOIP estimated : combined mean 177Gft3 STATUS : P&A Final classification : Gas discovery
CONTRACTORS: DRILLING: Seadrill DRILLING FLUIDS: Baker Hughes MWD/LWD: Pathfinder WIRELINE LOGGING: Schlumberger MUDLOGGING: Geoservices CORING: Halliburton BIOSTRATIGRAPHY: Ichron
Fig. 2: Well 6004/8a-1 (Anne-Marie) basic data summary
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
2. GEOLOGICAL SUMMARY
2.1 Geological Setting and prognosis
Licence 005 is located in the lightly explored Faroese sector of the Faroe-Shetland Basin and covers an east-west trending splay off the Westray-Corona Ridge that separates the Faroe sub-basin to the north from the Judd sub-basin to the south. The licence lies within the larger area covered by a thick extrusive Palaeogene basalt sheet that extends over much of the Faroese sector of the basin. The presence of this Basalt cover is the major controlling factor for assessing the Prospectivity of the Basin, as it impacts the seismic data quality at the extent of limiting the reliability of the interpretation and mapping of all the key elements of the Petroleum System.
Within the Licence 005, the Anne-Marie Prospect, a structural trap with four-way dip closure located over an old Mesozoic high, was recognised as valid target for an exploration well after a lengthy process of seismic reprocessing, interpretation and basin modelling,. The Well 6004/8a-1 was therefore aimed at two primary and up to four secondary reservoir targets, as originally identified:
The primary targets comprised: Early Eocene T50-T45 fluvial and shallow marine sandstones (the reservoir for the 204/10-1 Cambo oil discovery to the east of the licence). Late Palaeocene T36-T31 deep marine sandstones (the reservoir for several large oil discoveries in the Judd sub-basin to the south of the licence).
Secondary targets comprised: Sandstones in the late Palaeocene T40 and T38 sections, The early Palaeocene T10 section The Mesozoic section
Seal was assumed to be provided by the regionally extensive early Eocene and late Palaeocene shales or tuffs. Two main source rock intervals were supposed capable of providing a hydrocarbon charge to the Anne-Marie prospect: oil-prone lacustrine shales of the middle Jurassic section and oil-prone marine shales in the late Jurassic section (the Kimmeridge Clay Formation equivalent).
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
2.2 Well Objectives
The original well objectives were as follows:
□ Drill a vertical exploration well on the defined target of the Anne-Marie Prospect and to the licence commitment depth of -3900m TVDSS, or 50m into the Mesozoic, whichever recorded first. □ Drill the Primary target reservoirs (T50/T45 and T36/T31 levels) and the secondary target reservoirs (T40/T38, T10 and possibly, Mesozoic) in a complete / un-faulted section and in a structurally valid position in order to test the hydrocarbon column. □ Acquire representative bottom-hole core sample. □ Obtain sufficient information on the hydrocarbon bearing reservoirs encountered in order to evaluate the commercial potential of the discovery, i.e. estimations of hydrocarbons in place volumes, potential reserves and well productivity. Therefore the following requirements were essential: □ Obtain representative core in hydrocarbon bearing sections. □ Acquire a full set of Petrophysical logs through the reservoir in order to assess reservoir characterisation. □ Obtain down-hole pressure measurements and temperatures. □ Establish fluid contacts, if any. □ Acquire fluid samples (gas, oil, water) in order to obtain fluid properties (API, composition, dew point). □ Perform a rig sourced VSP survey in order to establish a seismic to well tie.
All of the objectives given above would have been pursued within Eni Denmark B.V. commitment to safe operations with minimal impact on the environment and cost- effective drilling operations.
2.3 Target Definition
The proposed surface well location was defined as 60°49’14.51’’N and 004°33’56.17’’W (Datum ETRF89, Spheroid GRS 1980), 6,743,832.1m Northing and 414,851.7m Easting (Zone 30N; Central Meridian 3° W), with a 150m circle radius at each of the target levels from the surface location.
2.4 TD Criteria
The licence commitment well TD of -3900m TVDSS was of reference.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
However, should have occurred a scenario of oil shows recorded down to -3900m TVDSS, there was a contingency to deepen the well to a maximum TD at -4500m TVDSS.
2.5 Summary of the well results
A tailored set of studies were started during the drilling of the well and concluded through the 3rd quarter of 2011 to clarify the Petrophysical, Mineralogical and structural/stratigraphic characteristics of the drilled sequence. A seismic interpretation on semi-regional scale was carried out and the estimate of the possible range of Gas In Place was also completed. The analysis of the Anne-Marie well data was performed with a truly integrated approach by a multidisciplinary team, composed of Professionals of Eni Denmark, Eni Head Quarters and Contractors. Such an approach allowed to obtain a satisfactory interpretation of the vast amount of data acquired and to achieve a “fit for purpose” evaluation of Anne Marie. While detailed and specific analyses and inference of the data are contained in the dedicated reports, the fundamental conclusions are here summarised.
The major outcomes of the well were finally presented and fully discussed at the 30th March 2011 Workshop held at Eni Denmark Office in London and presented to Jardfeingi on a dedicated Meeting held in Torshavn on the 12th April 2011. The Operator reported the essential elements and results as follows:
√ A very substantial Geological, Geophysical and Drilling dataset was positively acquired, satisfying the work obligations: o LWD: . Gamma Ray, Resistivity, Sonic, Density and Neutron: . DIR / GR (36"/42 hole) . DIR / GR / RES (26“ hole) . DIR / GR / RES / SONIC / PWD (17 ½” hole) . DIR / GR / RES / DENS / POR / SONIC / PWD . DIR / GR / RES / SONIC / PWD o WIRE LINE: . FMI: both in 12 1/4”and 81.2” holes o SWC: . Recovered 21 out of 23 (12 ¼” hole) . Recovered 20 out of 20 (8 ½” hole) o CORE: . one 11m (recovered 98%) at 3412mMD o MDT:
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
. 22 pre-tests, 10 good, 7 tight, 5 lost seals.1 fluid sample.(12 ¼” hole) . 11 pre-tests, 1 good attempt, 3 tight, 7 lost seals. (8 ½” hole) √ A working Petroleum System with the presence of a charged trap has been proved √ Well 6004/8a-1 result departed from prognosis as lithology and HC type. √ The Well drilled a valid 4 way closure for all the original targets: o The T50 shallow target has good reservoir characteristics, but was clearly water bearing o The Section of T45 to T36 age (Flett and Lamba equivalent) is made up by three distinct, unconformity-bounded, sequences of Basalt, Volcanic and Tuffs deposited along a volcanic dominated ridge o The T35 age (Vaila Fm) shows the onset of clastic input in a distally sourced and/or shallow intra-basinal ridge, affected by volcanic sill intrusion. √ 5 main lithofacies associations have been recognised using core data, conventional logs and formation image logs: o Basalts, basaltic lava flows, sub-volcanic dolerite sills and dykes o Coarse-grained volcaniclastic, reworked/altered basalts, breccias, conglomerates, Hyaloclastite and minor tuffs o Stratified tuffs, stratified and laminated tuffs o Structure less tuffs, homogeneous, amalgamated tuffs o Mixed deposits, lithic-arenites and volcaniclastic-siliciclastic alternations √ The Gas shows recorded as “Flett 1”, “Lamba 1” and “Lamba 2” intervals, proved the presence of an active charge, but: o Gas is not related to viable reservoir facies and the net pay is negligible, as per the CPI-Petrophysical Study conclusions o Pay sensitivity has been run using 25% porosity cut-off (0.1 mD permeability cut-off as conventional gas reservoir) and 30% porosity cut-off (0.3 mD) considering MDT results o Best case pay: 5m of net pay thickness with 27% of porosity. o Worst case pay: thickness lower than 1m o Intervals with high porosity values are related to micro-porosities o Fractures contribution is difficult to be estimated o MDT were attempted in correspondence to all major Gas Shows interval which resulted in negligible, if any, permeability o GOIP, Gas Original in Place volume is very modest.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Fig. 3 Well 6004/8a-1 (Anne-Marie) Prognosis Vs. Actual
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Gas While DrillingAnne-Marie – Gas ratios GWD (after cut offs)
(C1+ C2 )/(C3+C4+C5)
0 25 50 75 100 125 150 175 20 0 225 250 275 300 325 350 375 40 0 2800 2800
C12 sur C345 Flett 1 2900 2900 C345 sur C124
3000 3000
3100 3100
3200 3200 Cut offs: C1 < 5000 ppm TG/SumCcor < 0.7 3300 3300
T TG/SumCcor > 1.7 NC1*CDPC < 10 ROP < 2 m/h 3400 3400 Lamba 1 DEPTH m/R DEPTH 3500 3500
3600 3600
3700 3700 Lamba 2 3800 3800 Vaila 3900 3900
4000 4000 0.00 0.02 0.04 0.06 0.08 0.10 0.12 0.14 0.16 0.18 0.20 (C3+C4+C5)/(C1 +C2+C4)
Fig. 4 Well 6004/8a-1 (Anne-Marie) Gas while Drilling
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Faroe, Lic. 005: Well 6004/8a-1 (Anne-Marie): Petrophysical Evaluation & Stratigraphy FlettFlett 11
LambaLamba 11
LambaLamba 22
Fig. 5 Well 6004/8a-1 (Anne-Marie) Gas Shows Intervals
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Flett 1 Gas Show Interval
Lamba 1 Gas Show Interval
Lamba 2 Gas Show Interval No pay
Fig. 6: Well 6004/8a-1 (Anne-Marie) Gas shows on key seismic line
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
3. POST DRILLING SEISMIC INTERPRETATION
An extensive Data Base of reference wells and seismic was used for the revised interpretation, which framed the understanding of the Anne-Marie structure in a regional context.
Vágar Airport
BrugdanBrugdan
RosebankRosebank
LindisfarneLindisfarne LonganLongan WilliamWilliam SvinoySvinoy Cambo-1Cambo-1
MarimasMarimas
MarjunMarjun 204/19-1204/19-1 204/16-1204/16-1
Fig . 7: Anne-Marie and the reference offset well data base
3.1 Seismic Data Volume
The post drilling interpretation was carried out over the dedicated 3D CRS reprocessed seismic volume (in excess of 1100 km2) and by balancing the surrounding seismic 3D volumes to achieve an acceptable homogeneity of polarity, amplitude frequency content, and reflectors geometry.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
SeisWorks Project l5a10crs 2877 sq km CRSv3 2010 1103 sq km
Fig. 8: SeisWorks Project l5a10crs incorporating CRS v3 2010
Several prominent seismic markers were selected and identified by means of the calibrated sonic log and the twt/depth pairs derived from the well seismic VSP acquisition. A synthetic seismogram was generated to achieve a reliable match of seismic markers with the major acoustic boundaries and tops in the well. Top Balder and Top of the Flett Basalt were the key anchor points.
It must be noted that while the original VSP calibration was performed with as Zero Phase Seismic (North Sea) Polarity, for the final interpretation, the 3D CRS Volume of reference was displayed as Zero Phase, Lithological Polarity, i.e. an Increase of Acoustic Impedance in the logs corresponds to a Peak on the seismic trace.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
. Key Horizons (not all shown):
. Top Stronsay Shale
. Top Balder
. Top Lower Hildasay Sst
. Top Flett Basalt
. Flett 1 Gas Interval . Lamba 1 Gas Interval . Lamba 2 Gas . Top Vaila
Fig. 9: Post-drilling seismic interpretation, selected seismic markers
2800
3200
Fig. 10: Post-drilling seismic interpretation, well seismic calibration
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Fig. 11: Seabed Time Depth Pairs at Control Wells
Fig. 12: Seabed to Top Stronsay Shale Time Depth Pairs
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Fig. 13: Top Stronsay Shale to Lower Hildasay Sst TWT/ Depth Pairs
Top Flett 1 Gas Shows, unedited twt
T50/T45 Fluvio-Marine Reservoirs
Flett Upper Lavas Hyaloclastic “delta”
Flett 1
T38 DLS
Base T38
Sills, Dykes & faulting
S N
Fig. 14: Anne-Marie, Seismic Calibration (S/N transect)
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Fig. 15: Anne-Marie, Seismic Calibration Detail (SW/NE transect)
3.2 Stratigraphic and sequences calibration
The ages of the picked horizons were benchmarked by means of the Ichron Ltd. stratigraphic framework and their significance in the palaeogeography domain has been further studied in the bio-stratigraphic and sequence stratigraphic context (* see also Eni Spa “Integrated Geological Study”). The post drilling seismic interpretation was aimed at producing reliable maps to compute the Volumetric and to estimate Gas Original In Place of the Annemarie trap. The identification of possible remaining prospects and the revision of the basis for the petroleum system elements were also major scope of work. A very important element for the interpretation was an attempt to properly frame the occurrence of the volcanic sequence for identifying the relationship and the nature of the transition to the sedimentary series crossed by the offset well in the Palaeocene Flett/Lamba/Vaila formations.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Marjun, Marimas, Svinoy, Anne-Marie, Hess, 2001 Eni, 2003 BP, 2001 Eni 2010
SE NE
OIL in T10 DRY DRY GAS in T40, T38, 35 Eq. Fig. 16: Un-interpreted South to North key regional transect
Major sequence boundaries have been recognised as bounding major stratigraphic sequences, which were matched against both the well to seismic tie of their respective sequences and the lateral expression of the seismic geometries and facies packages. Several seismic resolvable packages have been identified in the Early Tertiary succession (Late Palaeocene /Early Eocene) of the Faroe-Shetland Basin. These packages have been tied to the key wells: 6004/8a-1 Anne-Marie, 6004/12- 1 Svinoy, 204/13-1 Tornado and 204/14-1 Suilven, 6005/15-1 Longan, 6004/17-1 Marimas, 6004/12-1 Svinoy, 6004/8a-1 Anne-Marie and 204/10-1 Cambo. The regional seismic data were of sufficient quality for propagating away from the said wells the basic lithological and stratigraphic element and pick the major unconformities and sequence boundaries.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Marimas, Svinoy, Anne-Marie, Eni, 2003 BP, 2001 Eni 2010
Fig. 17: Calibrated Regional Transect Marimas/Svinoy/Anne-Marie
The seismic interpretation and the integrated geological study pointed out that the unconformities recorded in Anne Marie mark major changes in basin configuration and are likely associated with uplift and erosion. Two major unconformities have been recognized on the basis of well facies and stratigraphy. The first important stratigraphic surface, from bottom upwards, in the lower part of Early Thanetian (base of the T36 sequence), represents the base of the Lamba Formation (L1) Lower Faroe Lavas Mb., that unconformably overlies siliciclastic sediments of the Vaila Formation. The second high-rank stratigraphic surface represents the base of the Flett Formation (Upper Faroe Lavas Mb.) that unconformably overlies the Upper Lamba (L2) Tuff Member. Furthermore, a prominent downlap surface is recognised at the base of the Lamba Tuffs, just around where the core 1 was cut (“Lamba 1 Gas shows” interval associated). All those surfaces have been established on seismic data and FMI, as well as prominent changes in Sonic Log trend and expression. Allowing for the limited seismic resolution at depth and as consequence of the Basalt energy adsorption, the seismic facies for each of the Unconformity bounded sequences stand up quite evident in the CRS reprocessed data volume.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
3.3 Anne-Marie structure regional interpretation
Anne-Marie structure is interpreted as a prominent apron remaining for most of the Palaeocene as a partly submerged palaeo high, which in turn, had separated two segments of the Faroe-Shetland Basin, to the West of the Corona Ridge. The stratigraphy and the structural analysis point out to the presence of a persistent volcanic depositional corridor which graded by interfingering and prograded over the coeval, truly sedimentary, deep water beds for the most of the Palaeocene (T35 to T45 age).
Fig. 18: Anne-Marie to Suilven Transect, main sequences boundaries.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Fig. 19: Anne-Marie to Longan Transect, main sequences boundaries.
The geometrical relationship of the volcanic dominated deposits and the sedimentary ones have been investigated in the hope that some large stratigraphic traps could have been identified within the Licence 005. Unfortunately, it became rather evident that the Licence area is mostly occupied by the volcanic apron drilled at the 6004/8a-1 location and there is no room for the presence of any sizeable closure involving quality reservoirs. The interfingering of volcanic and sediments does not bear but a vague expression on amplitude and it is further controlled by a pattern of faulting, along the major NW/SE and NE/SW conjugate strikes. However, there are clear evidences of seismic of clino-stratifications and downlap surfaces, which have also interpreted with the good quality FMI data. Hyaloclastic clinoforms link the Anne-Marie palaeo-high, basalt lava dominated plateau to the more basinal sedimentary facies, for good part of the T36/T38 time intervals. The overall T38/T40 sequence, is capped by the extensive final flow of the massive Flett Formation Basalt, which is finally overlain by the important regressive episode of the earliest Eocene.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
A remarkable number of dykes and sills, crossing the primary reflections at variable angle, have been detected and proved in the borehole. In particular, within the “Vaila” a couple of dolerite sills were clearly identified on both FMI and seismic and they appear in correspondence of a fault. This type of occurrence and geometry are very much similar to the outcrop examples of both the Faroe Islands and Greenland. On top of the obvious reference to the studies available for the Faroe Islands, an established analogue case for the evolution of the Volcanic and volcaniclastic sequences was used as reference: the Kangerlussuaq Basin of Eastern Greenland.
The Streymoy sill, Satan Mt. Streymoy, after Passey 2008
Climbing Sills along Faults
Fig. 20: Faroese Outcrop and seismic: volcanic dykes & sills expression
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Fig. 21: Anne-Marie Relationships between volcanogenic ridges and adjacent depocentres
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
4. LICENCE 005 RESIDUAL POTENTIAL
The significant gas shows recorded in the Anne-Marie well demonstrate the occurrence of an active Petroleum System within the Licence 005 area. However, the Flett Basalt appears as having behaved as a regional seal, preventing, on this side of the Basin, any further migration of hydrocarbons from the supposed deeply seated source into the high quality reservoir of T50/T45 Age (Balder, “Cambo” and Hildasay sandstones). The lack of hydrocarbon charge above the Flett Basalt and the lack of effective reservoir below are substantially condemning the potential for sizeable discoveries within the Licence area. The key seismic horizons have been mapped and checked for possible closures, without any positive feed back: within the Licence, there is no sizeable closure of any type, a part from the one drilled by the Anne-Marie well.
All these concepts notwithstanding, an analysis of the remaining Prospectivity in Licence 005 has been carried out for three crucial intervals: □ The T50-T45 (post-Basalt) section. □ The T45-T36 section. □ The T35 and older section.
4.1 T50/T45 (post-Basalt) section
Fair to good reservoir section was logged in the T50 “Cambo Sandstone” and Hildasay Sandstone units: average net/gross around 40% and porosity often largely above 20%. These shallowing upward fluvio-marine (deltaic and lagoonal) sandstones are likely to be developed across much of the Licence 005 area, but, the mapped horizons at T50 level to T45 shows a general plunging nose to the SE, where only a small structural closure has been identified (namely, Erestor), to the west of the larger Anne-Marie one. Furthermore, there is no evidence for significant hydrocarbon migration up into the post-Basalt section. It could be argued that at the depth of the T50/T45 Reservoirs, given the petro- acoustic character and considering the seismic data quality, the occurrence of Hydrocarbons should have generated recognisable Direct Hydrocarbon Indicators (DHIs) or, at least, some hints of those. Instead, even the CRS seismic Volume does not shows any evidence: amplitude maps are displaying with sufficient detail, the palaeo-morphology of the post-Basalt sedimentary succession, but no evidence for Oil or Gas charge can be interpreted.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Erestor
6004/8a-1
Fig. 22: T45 Top Lower Hildasay Sandstone Depth Map (m)
Erestor
6004/8a-1
Fig. 23: T45 Top Lower Hildasay Sandstone Hard Amplitude Map
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
4.2 The T45/T36 section
The Anne-Marie well encountered a much thicker volcanic/volcaniclastic section than expected that also spanned a wider than expected age range (T45 to T36). Such a thick T45/T36 volcanic/volcaniclastic sequence (some 1125m) is developed over much of Licence 005, and no effective reservoir was identified within it, as direct consequence of its volcanic dominated nature. Evidences for this section, derived from the core facies study, support the deposition in a submarine (at the base) to sub-aerial (at the top) environment. Reservoir potential of the volcanic/volcaniclastic is very poor, also as consequence of an unstable volcanic mineralogy and extensive diagenesis. Even the cored Hyaloclastite units with high porosity (30%) have very low to negligible permeability (<1mD). The nature of the depositional setting and the very low net-to-gross of potential reservoir units mean that there is a significant risk that any productive intervals are restricted laterally and locally isolated, making for low recovery factors.
6004/8a-1
Fig. 24: T45 Top Gas Shows Interval Flett 1, Depth Map (m)
Even though no reservoir potential exists in the volcanic and volcaniclastic units encountered at Anne-Marie, there could be potential in laterally equivalent siliciclastic systems in Licence 005.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
If T45/T36 siliciclastic sandstones occur, then they will be located along the southern boundary of the licence 005, given the accepted hypothesis clastic input from the South and South East. However, little potential is seen on the flank of the Anne-Marie apron, for hypothetic T45/T36 reservoirs which are only likely to occur along the southern boundary of Licence, where they would have still received a significant input of volcanic material, and where no lateral structural or stratigraphic closures have been identified to create any potential trap.
Flett Upper Lavas
Volcanic Apron
Fig. 25: Anne-Marie Flett Key S/N arbitrary line
The revised seismic interpretation and mapping for the Licence 005 area only shows some potential for modest dip closures at the Flett 1 level (over and west of Erestor), where, unfortunately, it is only plausible to expect the presence of massive volcanic products and volcaniclastic tuffs, as consequence of moving toward the emission centres.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
4.3 The T35 and older section
The Anne-Marie well, before reaching TD, penetrated some 170m of T35 Vaila Fm, where 6 SWC and two MDTs (both tight) were taken. This Vaila sequence is made up by very fine grained turbidites and deep marine shale with laminae of silt and very fine sand and has been intruded by basalt dykes and sills. The absence of coarse clastics (which were encountered at Svinoy to the south) in the logged lithology and the seismic regional interpretation are suggestive of a distal setting or a position in a sheltered and persisting palaeo-high running through the Licence 005. No primary reservoir potential has been identified in this Vaila section, while the overlaying Gas Show Interval (referred as Lamba 2) appears to be linked to a fault zone intruded by a dolerite dyke.
Fig. 26: Anne-Marie CPI and Lithofacies of T35 Vaila Formation
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
The potential of the siliciclastic Vaila and older section in Licence 005 is considered very poor. Little potential is also foreseen for effective Vaila sandstones deeper in the section because, even if those are well developed, the burial depth is likely to result in poor reservoir quality. Moreover, Vaila Fm at depth is extremely tectonised, compartmentalised and intruded by sills and dykes, as clearly shown on seismic by both vertical and time slices. No credible map of solid reservoir is possible, nor is it easy to envisage a sufficiently thick reservoir with high net to gross ratio. All this taken into account, the chances of making a significant discovery are extremely low, while the risk of drilling through an unpredictable lithology are considerable high.
Fig. 27: Anne-Marie Near Top Vaila T35/Base Lamba T36, TWT
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
Fault associated Sills
Time Slice 3660msec
Fig. 28: Anne-Marie W/E Seismic Transect, details at Total Depth Time Slice 3660msec @ TD
6004/8a-1
Note: strong W/E and NW/SE fault lineaments, multiple round saucer shaped sills/dykes Fig. 29: Anne-Marie, Vaila Fm. time slice at Total Depth
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
4.4 Final conclusions
The drilling of the Anne-Marie prospect by the 6004/8a-1 exploration well has fundamentally exhausted the possibility of finding, within the Licence 005, a sizeable hydrocarbon accumulation which could be deemed of commercial value. The charge of hydrocarbon is consisting of Gas with few traces of heavier components, which could be only interpreted as the remaining of a migration pathway from a still undetermined source rock, likely through a network of faults, being the fetch area of Anne-Marie rather limited and the occurrence of efficient carriers hard to visualise. The Anne-Marie closure is not charged at the Post-Basalt level and it does not contain any quality reservoir from the Top Basalt (actually, an effective seal) down to the finely grained, fault and sills compartmentalised, Vaila Formation drilled at Total Depth. As for the deeper section, below the Total Depth, the seismic data are strongly suggestive of a heavily faulted sequence, intruded by sills and dykes, possibly made up by distally sourced fine sediment interspersed with the early volcanic material: effective porosity and lateral continuity are therefore extremely unlike.
The Anne-Marie closure virtually coincides with the areal extension of the Licence, with the modest exception of the Erestor nose, where, again, it is unlikely to predict the development of reservoir facies and the relief of the structure are at best minimal.
Eni Demark through the presented data and interpretations had reached the conclusion that no further studies or activities are worth to be carried out over the Licence 005 and the Licence is to relinquished at the 31st October expiry date.
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Faroe Islands-Licence 005 ECMS Doc No: 318905
Well 6004/8a-1 Results and Revision: 1 Remaining Prospectivity Exploration Date: 11 October 2011
5. ANNEX 1: REPORTS DELIVERED TO JARDFEINGI AND JV PARTNERS
5.1 ENI IN HOUSE REPORTS:
END OF WELL DRILLING REPORT ENI DENMARK DCW
VSP Well Seismic Data processing ENI HQ-GEPO
Geochemical Characterisation of Head space gases and gas ENI HQ-GEBA shows
INTEGRATED GEOLOGICAL STUDY ENI HQ-GICA-SPES Petrophysical follow up and Formation evaluation FMI/STRATIGRAPHY
Water and pressurized sample characterisation ENI HQ-LAIP-LAAP-GEBA
Final Well Composite ENI DENMARK
Final Well report ENI DENMARK
5.2 OUTSOURCED CONTRACTORS REPORTS:
ROUTINE CORE ANALYSIS and PETROGRAPHIC STUDY KIRK PETROPHYISICS
BIOSTRATIGRAPHIC ANALYSES ICHRON Ltd
Wire Line Logging Set SCHLUMBERGER
Log While Drilling Set PATHFINDER
MUDLOGGING GEOSERVICES
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