• 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 ?
  • 55 mins Platts says if Iran's 2 mm bbls exports comes back on market oil goes to $40 . . . What about new Permian pipelines 2.47 mm bbls coming ? . . . WHAT IF BOTH IRAN AND PERMIAN TOTAL 4.47 mm added bbls . . . OMG !
  • 21 hours Iran Loses $130,000,000 Oil Revenue Every Day They Continue Their Games . . . .Opportunity Lost . . . Will Never Get It Back. . . . . LOL .
  • 13 hours Renewables provided only about 4% of total global energy needs in 2018
  • 6 hours Today President Trump Questioned U.S. Policing the Straits of Hormuz for Rich Asian Countries. Allies Britain and Japan were asked to participate. Said NO. US spends $100 Billion/year Protecting Mideast Shipping Lanes!
  • 3 hours Millions of Barrels of Iranian Oil Are Piled Up in China’s Ports
  • 2 hours So You Think We’re Reducing Fossil Fuel? — Think Again
  • 5 hours N.Y. Governor Signs Climate Bill
  • 1 day Berkeley becomes first U.S. city to ban natural gas in new homes
  • 10 hours Oil Giant Saudi Arabia Is Set to Start First Wind-Power Plant
  • 2 hours U.S. Administration Moves To End Asylum Protections For Central Americans
  • 1 day How is E&P of Marginal Oil on the UKCS Similar to the Shale Oil Operations in the US?
  • 10 hours EIA Reports Are Fraudulent : EIA Is Conspiring With Trump To Keep Oil Prices Low
  • 1 day Trump vs. Xi Trade Battle, Running Commentary from Conservative Tree House
Charles Kennedy

Charles Kennedy

Charles is a writer for Oilprice.com

More Info

Premium Content

Shell, Gazprom Neft Eye Siberia’s Bazhenov as Next Bakken

A joint venture between Shell and Russia’s Gazprom Neft has begun drilling in a Siberian shale formation that is believed to hold one of the world’s largest shale oil deposits.

The joint venture, Salym Petroleum Development (SPD), is eying the Bazhenov shale as a play potentially similar to the highly prolific Bakken shale in the US.

The Bazhenov is located in Western Siberia, and covers 2.3 million square kilometers or 570 million acres, which is the size of Texas and the Gulf of Mexico combined, an area 80 times bigger than the Bakken.

Related article: Iran, Russia Ruffle US Feathers with Oil Swap Deal

The drilling announcement follows a memorandum signed in April last year to explore and develop shale oil and Arctic offshore projects in Russia.

Oleg Karpushin, SPD’s chief executive officer, said the appraisal program will give his company an edge in developing hard-to-recover resources.

"We hope that the pilot project will allow us and our shareholders to make a decision about moving to a large-scale development," he said.

SPD said it plans multi-stage fractures of all five wells in Upper Salym, West Siberia in a bid to tap shale oil potential in the prospective Bazhenov formation.

The first horizontal well follows three years of study on the prospect, which included three vertical wells, 3D seismic, coring and well logging in the Upper Salym area.

Related article: Russian Rosneft to Acquire Morgan Stanley Unit

The Bazhenov layer has attracted Shell and Exxon because it is said to be similar to the Bakken shale, a key venue behind the North American shale boom.

Exxon will also start a $300 million pilot project drilling in a different part of the Bazhenov with Russia’s Rosneft this year.

The Bazehnov region has many cracks and fractures which could make its oil flow more readily, and therefore production could come in at a lower cost. So far, test wells in the region have operated at 400 barrels per day, on line with Bakken test well averages.

Moscow has introduced tax breaks to incentivize exploration of the Bazhenov and other shale plays.

By. Charles Kennedy of 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