AUSTRALIAN firm Nido Petroleum Ltd. said that the mid-Galoc area of the Galoc field located in the waters off northwest Palawan has a “chance of development” as it contains 1C (low estimate) contingent resources at 6.2 million stock tank barrels (mmstb) on a gross basis.
It said the 2C (best estimate) and 3C (high estimate) contingent resource estimates are 9.5 mmstb and 14.6 mmstb, respectively, on a gross basis.
According to Nido, the contingent resource estimates for the Galoc oil field were based on the independent assessment conducted by Gaffney Cline and Associates (GCA).
GCA has estimated a “chance of development” for the mid-Galoc development project, based on consideration of the key contingencies relating to this project, it said.
It concluded its work with a review of the main Galoc Field production history, and by Galoc Production Company’s (GPC) latest simulation model forecasts and history-matching results.
These were used as a basis for generating the production profiles that formed the basis of GCA’s resource estimates, Nido said.
Contingent resources in mid-Galoc were estimated using a deterministic approach and in the 2C and 3C cases represent production volumes that extend beyond the current expiry date of the service contract.
Independent contingent resources estimation, Nido added, is a key milestone in the plan to develop the mid-Galoc area of the field.
Nido has a 55.88 percent working interest in the Galoc oil field while GPC owns 33 percent interest.
The mid-Galoc oil accumulation is a northerly extension of the Galoc Field, located in Block C1 of Service Contract 14 (SC 14C1) in the Northwest Palawan basin.
The mid-Galoc area is being considered as a potential development project using horizontal drilling and sub-sea completion technology.
The operator, GPC, has recently completed an extensive technical review of the existing geological and production data from the Galoc field incorporating the mid-Galoc area.
This resulted in new, integrated static and dynamic reservoir models which have underpinned the resource assessment undertaken by GCA.