|Shell raises reserve estimate of Thai oil concession

Shell Exploration and Production, a unit of the Shell Group, has reported that it has raised the reserves estimate of an oil concession in Northern Thailand, which should produce for another two decades. The acreage is mainly situated in the Kamphaeng Phet province, and Thai Shell has said the revised reserves estimate is due to secondary production techniques, improved performance of some existing wells and exploration success.
Estimates of proven reserves that remain in the Greater Sirikit field has increased by 8.8 % to 148 mm barrels of oil, and by 1.2 % to 250 bn cf of associated gas reserves. This is in comparison to 136 mm barrels of oil and 247 bn cf of gas at the end of 1999. Thai Shell executives have reportedly said that water flooding will help increase its production from 24,000 bpd of oil and 60 mm cfpd of gas over the next ten to 12 years.

The company is also hopeful that future exploration successes will further increase reserves and extend the current plateau production rateby as much as 20 years. The reserves estimate increase is also due to water flooding projects in the Sirikit West and Thap Raet fields, improved performance in some existing wells and results from intensive in-house development studies carried out last year.

Source: Energy24 ||ENI works on feasibility study for Iran-Pakistan-India gas pipeline26-04-01 Italy's energy giant is working on a feasibility study for the construction of an offshore gas pipeline from gas-rich Iran via Pakistan to India, a source close to the project said. Iran's gas reserves, believed to be the world's second largest, could find a huge market in India but political tensions with Pakistan make transporting the gas through its territory highly politically sensitive.
ENI's engineering unit Snam is examining costs and the technical feasibility of a project which would call on expertise similar to that being used by ENI and Russia's Gazprom to construct the Russia to Turkey pipeline via the Black Sea, known as "Blue Stream." A deepwater Iran-India pipeline would entail massive investment and pose major technical challenges, among which would be passing the pipe through water up to 3,000 meters deep.

"Although ENI has very good deep water capabilities -- perhaps the best in the world -- the pipeline in the Black Sea is 'only' 2,000 meters deep," the source said. Even Blue Stream at a dept of 2,000 meters, is considered a hugely demanding engineering feat by gas transportation experts. It is expected to take one and a half years to complete. The source said the Iran-India pipeline could take up to four years to build.
The source said an Iranian company had asked ENI to prepare the feasibility study, but refused to name it, and added no cost plans were available as yet since it would be "pure speculation."
A second source, also close to the project but from a different country, put the cost of the project at $ 2.5-$ 3.5 bn. The source said two feasibility studies are being conducted by Snam, one which would pass onshore from Iran, onshore via Pakistan to India and the other which would bypass Pakistan offshore.
The studies, the source said, are expected to be complete within three months. Multinationals are being sought to finance the project and so far BHP Petroleum has expressed interest, the source said. BHP President Philip Aiken, said a gas pipeline from Iran to India via Pakistan was among the opportunities the company was examining.

It is believed India favours the offshore route because it fears for the security of the gas supply if it passes onshore through Pakistan. But, Iran, said one source, is offering to guarantee the security of the gas but hasn't made it clear how that could be achieved in such risky political terrain. Pakistan is said to support the route onshore and is keen to capitalize on the transit fees it would be owed.
India's Prime Minister Atal Bihari Vajpayee visited Iran in recent weeks to discuss energy cooperation between the two countries and the constructionof the Iran-India pipeline was discussed, a source said.