Offshore Nigeria
Type of Service
Concept Screening Study
Statement of Relevance
Joint Development Zone Block 3 (JDZ 3) is located 200 km off the Nigerian coast, and 60 km from the nearest facilities at the Akpo field. The water depth is between 1,700 and 2,000 metres. With small oil volumes and potentially significant amounts of gas, creative solutions and CAPEX/OPEX reduction are critical to any potential development.
Description of Services
Energy and Power were requested to identify development scenarios and associated costs as input to Pan Petroleum’s economic analysis and valuation of the block. The scope included:
i) Identification of potential development options, including platform types (e.g. FPSO, FLNG, Spar, etc), risers and subsea architecture;
ii) Evaluation of gas and oil export options (e.g. gas pipeline vs. LNG);
iii) Concept selection based on techno-economic criteria;
iv) Identification of key cost blocks for oil and gas production and preparation of a high level CAPEX estimate for the preferred option;
v) Preparation of a Level 1 schedule from end of FEED to first gas;
vi) Investigation of FPSO lease rates, drilling rig rates and FLNG OPEX.
Two development scenarios were considered; JDZ 3 hub and spoke development, initially two identified prospects with possible future tie-backs, or tie back of these two prospects to a shared facility in the neighbouring block. Oil and gas and gas only cases were considered and technical challenges related to the extreme water depth and long distance subsea tie-backs were addressed.
