Serica Energy PLC · LSE:SQZ
Serica Energy — Ireland Oil & Gas 2013 Summit
24 slides from Serica Energy's conference presentation, Sep 10, 2013
Slide 1: Prospectivity of the Slyne Basin
Prospectivity of the Slyne Basin Ireland Oil & Gas 2013 Summit, Dublin, 10th September 2013 Petroleum Exploration Licence 1/06 (Frontier), Atlantic Ireland
Slide 2: Why Explore in Ireland?
Why Explore in Ireland? Commercial Factors Exploration & appraisal Kinsale Head Wells drilled in offshore Ireland per year • Highly under-explored Discovery (1978) (source: PAD / Wood MacKenzie) • Big market for domestic Corrib Discovery Dooish Discovery production (1996) (2002-3) Bandon • Good onsh
Slide 3: Why Explore Ireland Atlantic?
Why Explore Ireland Atlantic? Geological Factors • Shared geology with UK, Faroe & • Six oil and gas fields / discoveries Norwegian Atlantic margins • Numerous reservoirs & seals • Numerous rifted basins • Several proven source rocks • More than one proven play • Many large undrilled structures Loch
Slide 4: Why Not Explore Ireland Atlantic? Debunking the Myths
Why Not Explore Ireland Atlantic? Debunking the Myths… • Herd instinct - The herd is (mostly!) grazing around Africa • Perceived lack of exploration success - Irish Atlantic is similar to the UK & Norway in terms of drilling success rates • Lack of geological understanding - Diverse geology, similar
Slide 5: Irish Atlantic Margin: Many Diverse and Proven Plays
Irish Atlantic Margin Many Diverse and Proven Plays RESERVOIR SOURCE SEAL Dooish Dooish Corrib Eocene possible none probable Bandon Palaeocene Probable none probable Connemara Spanish Upper Possible none probable Point Cretaceous Lower PROVEN possible PROVEN Cretaceous Upper PROVEN PROVEN PROVEN Per
Slide 6: Irish Atlantic Margin: Proven Source Rocks & Hydrocarbons
Irish Atlantic Margin Proven Source Rocks & Hydrocarbons Jeanne-d’Arc Basin: Porcupine Basin: Rockall Basin restricted marine Upper restricted marine Upper (Dooish Discovery): Jurassic (Kimmeridgian) Jurassic + lacustrine uncertain; probably Egret Formation source (algal) middle Jurassic Upper Juras
Slide 7: Atlantic Margin Geological & Commercial Chance of Success
Atlantic Margin Geological & Commercial Chance of Success (gCOS & cCOS) Faroe-Shetland Møre - Vøring Central Graben 102 wells 65 wells 856 wells 14 discoveries 14 discoveries 117 discoveries 6 fields 1 field 125 fields gCOS 18% gCOS 23% gCOS 28% cCOS 6% cCOS 2% cCOS 15% Rockall (UK/Ire) 17 wells 3 d
Slide 8: Irish Atlantic Margin: Licence Activity 2013 to date
Irish Atlantic Margin Licence Activity 2013 to date Serica Oil discovery EL 1/06 Condensate discovery Dooish Gas Field Cairn farm-in to Woodside farm-in to Chrysaor licences Petrel licence LO 11/4 FEL 2/04, FEL 4/08 & LO 11/2 Corrib Woodside farm-in to Bluestack licence LO Kosmos farm-in to 11/3 Ant
Slide 9: Petroleum Exploration Licence 1/06 (Frontier) Summary
Petroleum Exploration Licence 1/06 (Frontier) Summary 27/4-1z oil sample • Low risk exploration, Slyne Basin, west of Ireland • EL 1/06 operated by Serica (50%) in Serica partnership with RWE EL 1/06 • Water depth ~200m • Proven oil on block (27/4-1,1z Bandon Oil Discovery) • Nearby commercial gas f
Slide 10: Slyne Basin Petroleum System: Two Proven Plays
Slyne Basin Petroleum System Two Proven Plays Proposed Boyne 27/4-1,1z 27/5-1 E W well location TWT(s) Oil shows in high quality 0.5 Middle Jurassic 150m thick immature sandstones oil prone source rocks in Lower Jurassic Triassic 1.0 Sherwood Bandon Discovery: Boyne Sandstone 38m oil column in Prosp
Slide 11: 27/4-1, 1z Bandon Oil Discovery
27/4-1, 1z Bandon Oil Discovery • 27/4-1,1z drilled by Serica in 2009 • 38 m gross oil column in Lower Jurassic sandstones • Oil-water contact 1091 mSS • Triassic sandstone moderate quality but water wet • Well sidetracked to obtain core & MDT oil samples • 16 °API oil; biodegraded due to shallow de
Slide 12: Boyne, Liffey & Achill Prospects
Boyne, Liffey & Achill Prospects Top Lower Jurassic Depth Map Top Triassic (Sherwood Sandstone) Depth Map Bandon Oil 27/4-1 dry Discovery hole at Triassic level 27/4-1, 1z Boyne Boyne Prospect Prospect Liffey Liffey Prospect Prospect Achill Prospect 10 km 10 km
Slide 13: Boyne Prospect: Trap
Boyne Prospect: Trap 27/4-1,1z 27/5-1 Bandon Boyne Discovery Prospect WNW Proposed Well (offset) ESE Boyne Top Bajocian Prospect Limestone Top Lower Top Lower Jurassic Top Triassic Sherwood Jurassic Depth Map Sandstone Depth Map Top Sherwood Sandstone Boyne Top Permian Top Boyne Halite Carboniferous
Slide 14: Lower Jurassic Reservoir
Lower Jurassic Reservoir • 27/4-1,1z reservoir: estuarine to shallow marine sandstones • Excellent core porosity and permeability • Nearby well 27/5-1 encountered similar, slightly younger sandstones 27/4-1z 27/4-1z Porosity vs Permeability Core 10000 27/5-1 1000 Permeability (mD) 100 27/5-1 10 27/4
Slide 15: Triassic Reservoir
Triassic Reservoir 27/5-1 Core • 27/4-1 modest reservoir quality, comparable to the Corrib Field • Nearby well 27/5-1 had excellent reservoir quality continental sandstones, again similar to Corrib 27/5-1 & Corrib core porosity vs. permeability • 27/4-1 average porosity 13%; • 27/5-1 average porosit
Slide 16: Lower Jurassic Source Rock
Lower Jurassic Source Rock Source Potential Organic Richness Active Total Source Rock Quality 27/4-1,1z Vitrinite Reflectance (Ro%) Vitrinite Reflectence Ro (%) S2 (kg/tonne) (TOC %wt) Organic Carbon HI (mgS2/gTOC) Well 27/4-1z 0.1 1.0 10.0 0 100 27/4-1 Ro (%) 200 27/4-1z Ro (%) seabed 273 mSS 300 4
Slide 17: Lower Jurassic Charge
Lower Jurassic Charge Transformation Boyne Depth Map on Top Boyne Ratio Map, Top Prospect Broadford Beds Prospect Lower Jurassic Bandon Oil Discovery 27/4-1, 1z 27/4-1,1z 27/4-1,1z thick but 27/5-1 27/5-1 immature Lower Jurassic oil source rocks Lower Jurassic Well 27/5-1 on source rocks eroded on m
Slide 18: Carboniferous Source Rock
Carboniferous Source Rock Coal Seam Well 27/5-1 27/5-1 Vitrinite Reflectance Vitrinite Reflectence Ro (%) (Ro%) Sandstone Gamma Ray Resistivity Sonic 0.1 1.0 10.0 0 100 27/5-1 Ro (%) 200 seabed 273 mSS 300 400 500 Dolerite Sill 600 700 Carboniferous (mSS) 800 Depth (mTVDSS) 900 coals within oil 1000
Slide 19: Carboniferous Charge
Carboniferous Charge Transformation Boyne Depth Map on Boyne Ratio Map, Top Prospect Top Sherwood Prospect Carboniferous Sandstone dry hole at Triassic level: lack of closure / 27/4-1,1z cross-fault 27/4-1,1z leakage? 27/5-1 27/5-1 dry hole at Triassic level: leakage across thick, but fault to north
Slide 20: Charge Summary
Charge Summary Proposed Boyne 27/4-1,1z 27/5-1 E W well location TWT(s) Oil shows in high quality 0.5 Middle Jurassic 150m thick immature sandstones oil prone source rocks in Lower Jurassic Triassic 1.0 Sherwood Bandon Discovery: Boyne Sandstone 38m oil column in Prospect high quality Lower Carbonif
Slide 21: Predicted vs. Actual Oil Gravities
Boyne, Liffey & Achill Prospects Predicted vs. Actual Oil Gravities Oil Gravity (API) 0 10 20 30 40 50 0 27/4-1,1z Bandon Boyne & Liffey Prospects OWC 1091 mSS 1800 mSS 16 °API predicted 30 °API 500 (range 19 to 38 °API) Captain Harbour Bressay 1000 Depth (mSS) Mariner (Eocene) Dandy Fyne Mariner (P
Slide 22: Resource Inventory
Resource Inventory * Resources P90 P50 Mean P10 Units • Boyne Prospect is ranked No. 1 Boyne 9 31 45 96 mmbo Jurassic • Boyne Prospect has highest chance of Boyne Sherwood 33 199 513 1213 bcf success Liffey • Excellent trap 6 38 104 245 mmbo definition and simple Jurassic charge model Liffey 74 281
Slide 23: Petroleum Exploration Licence 1/06 (Frontier) Summary
Petroleum Exploration Licence 1/06 (Frontier) Summary Liffey Bandon Prospect • Two proven, low to Discovery moderate risk hydrocarbon systems 27/4-1,1z • Well-defined structural prospects on high- 27/5-1 quality 3D seismic data • Reservoir potential at more than one level • Boyne Prospect is ready t
Slide 24: Acknowledgements
Acknowledgements With thanks to Serica Energy & RWE