• 5 minutes Iran Says It Arrested 17 CIA Spies, Some Sentenced To Death
  • 9 minutes Will We Ever See 100$+ OIL?
  • 13 minutes Iran downs US drone. No military response . . Just Destroy their economy. Can Senator Kerry be tried for aiding enemy ?
  • 56 mins Iran Loses $130,000,000 Oil Revenue Every Day They Continue Their Games . . . .Opportunity Lost . . . Will Never Get It Back. . . . . LOL .
  • 1 hour Oil Giant Saudi Arabia Is Set to Start First Wind-Power Plant
  • 2 hours How is E&P of Marginal Oil on the UKCS Similar to the Shale Oil Operations in the US?
  • 5 hours Berkeley becomes first U.S. city to ban natural gas in new homes
  • 3 hours So You Think We’re Reducing Fossil Fuel? — Think Again
  • 4 hours Shale Oil will it self destruct?
  • 8 hours Renewables provided only about 4% of total global energy needs in 2018
  • 11 hours First limpet mines . . . . now fly a drone at low altitude directly at U.S. Navy ship. Think Iran wanted it taken out ? Maybe ? YES
  • 6 hours EIA Reports Are Fraudulent : EIA Is Conspiring With Trump To Keep Oil Prices Low
  • 12 hours N.Y. Governor Signs Climate Bill
  • 1 day U.S. Administration Moves To End Asylum Protections For Central Americans
  • 10 hours Today in Energy
  • 7 hours Which is a better domain name for OAPEC?
Alt Text

Oil Market Caps Gains And Losses

The fear of a new…

Alt Text

Oil Falls Back As Iran Risk Factor Fades

Oil prices started the week…

Alt Text

IEA: Don’t Expect Oil Prices To Go Much Higher

Slowing oil demand growth and…

Oil & Gas 360

Oil & Gas 360

From our headquarters in Denver, Colorado, Oil & Gas 360® writes in-depth daily coverage of the North American and global oil and gas industry for…

More Info

Premium Content

Exxon Moves Forward With Offshore Guyana Project

Phase 1 will produce 450 MMBO

ExxonMobil (ticker: XOM), Hess (ticker: HES) and CNOOC today announced FID for Phase 1 development of the Liza field in offshore Guyana.

Initially discovered in May 2015, the Liza field is located about 120 miles offshore from Guyana, in about 5,700 feet of water. Liza is in the Stabroek Area, a large offshore lease block owned by the three partner companies. Hess reports that Stabroek is 6.6 million acres in size, or 1,150 times the size of a standard GOM block.

(Click to enlarge)

Source: Hess

120 MBOPD peak production planned

Phase 1 of development of the Liza field will involve a total of 17 wells, drilled from four drill centers. Eight wells will produce oil, while six will inject water into the reservoir and three will inject gas. A floating production, storage and offloading vessel will process production. ExxonMobil estimates Phase 1 will have peak production around 120 MBOPD. In total, the operation will recover about 450 MMBO. ExxonMobil reports that Phase 1 will cost just over $4.4 billion, including $1.2 billion for the FPSO.

Based on Hess’ reports of its share of development costs (not including the FPSO cost), the companies will spend about $370 million this year, $830 million in 2018 and $1.1 billion in 2019. The remaining $900 million will be spent in 2020 and 2021, but the timing is less certain. First oil is expected in 2020, less than five years after initial discovery.

Further discoveries support more development

Additional exploratory work is in progress, as the Stabroek block is large enough to hold many different plays. ExxonMobil reports that the recently-drilled Liza-4 well encountered nearly 200 feet of “high-quality, oil-bearing sandstone reservoirs." While the area explored by Liza-4 will not be developed in Phase 1, the successful result will be a major factor in considering Phase 2. With the success of Liza-4, Hess estimates gross discovered recoverable resource for the Stabroek block is between 2 and 2.5 billion barrels.

ExxonMobil is the operator of the Stabroek block, and holds a 45 percent interest. Hess owns a 30 percent stake, while CNOOC owns 25 percent.

By Oil and Gas 360

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play