Rockhopper Exploration Plc · LSE:RKH
Rockhopper Exploration — Investor Presentation (September 2011)
46 slides from Rockhopper Exploration's investor presentation, September 2011
Slide 1: Capital Markets Presentation Session 4 Development
ROCKHOPPER EXPLORATION PLC CAPITAL MARKETS PRESENTATION SESSION 4 DEVELOPMENT PAUL CULPIN DEVELOPMENT MANAGER OVERVIEW CONCEPT FIELD DEVELOPMENT BASE CASE DEVELOPMENT LOGISTICS AND INTFRASTRUCTURE PROJECT SCHEDULE SEA LION AREA FUTURE DEVELOPMENT SCENERIO SEPTEMBER 2011 123
Slide 2: Development Overview
DEVELOPMENT OVERVIEW Development PresentaIon has three parts: • Block 14/10 Sea Lion Main Complex – Cover all the salient factors involved in an offshore development in the North Falkland Basin • Block 14/10 Area Development – Examine a development scenario which would cover the prospecIvity within t
Slide 3: Sea Lion Main Complex – Concept Phase
DEVELOPMENT SEA LION MAIN COMPLEX – CONCEPT PHASE • Sea Lion Main Complex IntroducIon • Base Case Development • North Falkland Basin Metocean CondiIons • Oil Sales and Trading • LogisIcs and Infrastructure • Project Schedule • Summary AUGUST 2012 125
Slide 4: Sea Lion Main Complex Introduction
DEVELOPMENT SEA LION MAIN COMPLEX INTRODUCTION AUGUST 2012 126
Slide 5: Sea Lion Field Development Concept Phase Timing and Progress
DEVELOPMENT IntroducIon SEA LION FIELD DEVELOPMENT CONCEPT PHASE TIMING AND PROGRESS • The Concept Phase has been on going since May 2011 • Concept Phase is divided into two parts – Concept Screening – Concept Engineering • Screening completed – 13 opIons considered and 3 taken forward to Concept En
Slide 6: Sea Lion Overview
DEVELOPMENT IntroducIon SEA LION OVERVIEW • Sea Lion Main Complex has: – A relaIvely large Mid Case areal extent @ 68 sq km with liale to no faulIng – Large conInuous sand layers varying in thickness over the field 25m – 90m with good porosity @ 21% and good permeability @ 200md – Under saturated res
Slide 7: Typical FPSO Field Development – Foinaven West of Shetland
DEVELOPMENT introducIon TYPICAL FPSO FIELD DEVELOPMENT – FOINAVEN WEST OF SHETLAND S ubsea d evelopment w ith Floating SEPTEMBER 2011 129 Production S torage and O fftake (FPS O )
Slide 8: Sea Lion Base Case Full Field Development Concept
DEVELOPMENT SEA LION BASE CASE FULL FIELD DEVELOPMENT CONCEPT AUGUST 2012 130
Slide 9: Location – FPSO
DEVELOPMENT LOCATION — FPSO Sea Lion Development - FPSO it Storage, No Pl Dri Contre 2 6 ROCKHOPPER EXPLORATION PLC
Slide 10: Sea Lion Field Development Concept Phase Studies
DEVELOPMENT SEA LION FIELD DEVELOPMENT CONCEPT PHASE STUDIES TECHNICAL STUDIES • FaciliIes and Subsea concept developments and cost • Well concepts in conjuncIon with the above field developments and cost • VLCC MoIon CharacterisIcs, Mooring and Offloading Study • Geotechnical Studies and FoundaIon Ana
Slide 11: Subsea Wells Tied Back to FPSO
DEVELOPMENT SUBSEA WELLS TIED BACK TO FPSO DEVELOPMENT CONCEPT – 350 mmbbl oil recoverable • WELLS – producIon, water and gas • DESIGN THROUGHPUT injecIon – Oil rate in the region 108,000 -‐ – 24 producIon wells from 4 subsea 120,000 bopd manifolds (15 mmbbl/well) – Water InjecIon rates in the regi
Slide 12: Sea Lion Development Schematic – FPSO
DEVELOPMENT SEA LION DEVELOPMENT SCHEMATIC – FPSO FPSO (LEASED) (Full Processing, HSP/GL/ESP, GI, WI – Subsea, Wet Prod. Trees) SEPTEMBER 2011 134
Slide 13: Sea Lion Main Fan Complex FPSO
DEVELOPMENT FPSO SEA LION MAIN FAN COMPLEX (Leased) 3km radius 3km radius 6 producers 6 producers Oil ProducIon Power Water to HSP/Gas Lim/Electrical Cable to ESP 3km radius Water InjecIon 3km radius FPSO 6 producers 6 producers Riser Base Manifold Oil ProducIon Manifold Water InjecIon Manifold SEPT
Slide 14: Very Large Crude Carrier – Conversion from trading tanker to FPSO
DEVELOPMENT VERY LARGE CRUDE CARRIER – Conversion from trading tanker to FPSO SEPTEMBER 2011 136
Slide 15: Typical FPSO Field – Foinaven
DEVELOPMENT TYPICAL FPSO FIELD – FOINAVEN PARAMETER FOINAVEN SEA LION LocaIon 190 km west of Shetland 200 km north of Falkland Water Depth 455m 450m EsImated Oil Reserves 380 mmbbl 350 mmbbl (resource) EsImated Gas Reserves 230 bcf 95 bcf Discovered 1992 2010 Development Consent 1994 @2013 First Oil
Slide 16: Areas of Study – Concept Engineering – Subsea and Wells
DEVELOPMENT AREAS OF STUDY – Concept Engineering – Subsea and Wells • SUBSEA and WELLS – Flow Assurance Steady State – Waxy nature of the crude @ 20% – Pour Point 30 @ degC – Sea Lion 14/10-‐5 well test had arrival temperatures above 65 degC – TesIng of pour point depressants / wax inhibitors • SUB
Slide 17: Areas of Study – Concept Engineering – Facilities and Subsea
DEVELOPMENT AREAS OF STUDY – Concept Engineering – FaciliIes and Subsea • FACILITIES – OIL PROCESS – Maintaining temperatures – Oil and water separaIon • GEOTECHNICAL FOUNDATION STUDIES – SucIon pile – Driven pile – Anchor • SUBSEA INFRASTRUCTURE – INSTALLATION DRIVERS – Flexibles – Hardpipe reel •
Slide 18: Areas of Study – Concept Engineering – Wells
DEVELOPMENT AREAS OF STUDY – Concept Engineering – Wells • WELL STABILITY – Well Stability/Rock Mechanics – High formaIon integrity negates any sand control requirements – FormaIon integrity allows for the ability to drill the formaIon in any direcIon and any angles allowing full access to the reser
Slide 19: Met Ocean Conditions
DEVELOPMENT MET OCEAN CONDITIONS • Data based upon 15 months wave rider buoy informaIon located in block 14/10 in 1998 and 1999 • COMPARISON BETWEEN THE Campos Basin Brazil, North Falkland Basin, Central North Sea, West of Shetland SEPTEMBER 2011 141
Slide 20: Metocean Data
DEVELOPMENT METOCEAN DATA SEPTEMBER 2011 142
Slide 21: Metocean Data – Wind Speed and Significant Wave Height
DEVELOPMENT METOCEAN DATA 10 min Wind Speed at 10m (m/s) Significant Wave Height (m) SEPTEMBER 2011 143
Slide 22: Metocean Data – Swell Wave Height
DEVELOPMENT METOCEAN DATA Swell Wave Height (m) SEPTEMBER 2011 144
Slide 23: Met Ocean Conditions
DEVELOPMENT MET OCEAN CONDITIONS SEPTEMBER 2011 145
Slide 24: Met Ocean Conditions
DEVELOPMENT MET OCEAN CONDITIONS SEPTEMBER 2011 146
Slide 25: Met Ocean Conditions
DEVELOPMENT MET OCEAN CONDITIONS SEPTEMBER 2011 147
Slide 26: Met Ocean Conditions
DEVELOPMENT MET OCEAN CONDITIONS SEPTEMBER 2011 148
Slide 27: Met Ocean Conditions
DEVELOPMENT MET OCEAN CONDITIONS SEPTEMBER 2011 149
Slide 28: Oil Sales and Trading
DEVELOPMENT OIL SALES AND TRADING AUGUST 2012 150
Slide 29: Sea Lion Crude Assay
DEVELOPMENT SEA LION CRUDE ASSAY • Medium crude API 29.2 • Wax content c.20% • Low Sulphur at 0.21% • Low TAN 0.25 • IniIal studies based upon on Gross Product Worth (GPW) analysis indicates that Sea Lion would be likely to trade in a range between 10% discount and 5% premium to Brent FOB – dependen
Slide 30: Sea Lion Crude – Marketing/Trading
DEVELOPMENT SEA LION CRUDE – MARKETING/TRADING • Rockhopper does not currently intend to trade Sea Lion • OpIons for trading include – Integrated oil company – Specialist oil trading company • Typical Ime to market by tanker – NW Europe TIME TO MARKET 25 days – Gulf Coast TIME TO MARKET 20 days – Fa
Slide 31: Logistics and Infrastructure – Development & Production Requirements
DEVELOPMENT LOGISTICS AND INFRASTRUCTURE – DEVELOPMENT & PRODUCTION REQUIREMENTS SEPTEMBER 2011 153
Slide 32: Logistics and Infrastructure – Production & Development Requirements
DEVELOPMENT LOGISTICS AND INFRASTRUCTURE – PRODUCTION & DEVELOPMENT REQUIREMENTS During producIon phase • Typical FPSO requirements during producIon phase – Resupply @ 2 weeks – Personnel movements @ 1-‐2 flights/week • 75 people offshore on FPSO • 20 people offshore on mulIfuncIonal support vessel •
Slide 33: Logistics and Infrastructure – Development & Production Requirements
DEVELOPMENT LOGISTICS AND INFRASTRUCTURE – DEVELOPMENT & PRODUCTION REQUIREMENTS During development • The Project ExecuIon Plan outlines – Semi submersible Pre drilling of producIon/injecIon wells with 1 rig @ 1 year prior to first oil – 4 month period of installaIon and hook up and commissioning – F
Slide 34: Potential Timetable for Development
DEVELOPMENT POTENTIAL TIMETABLE FOR DEVELOPMENT SEPTEMBER 2011 156
Slide 35: Potential Timetable for Development
DEVELOPMENT POTENTIAL TIMETABLE FOR DEVELOPMENT Possible Full Field Development Schedule • Complete Concept Engineering Studies 4Q 2011 • Award Subsea FEED 1Q 2012 • Award FaciliIes FEED 2Q 2012 • Complete FEED 4Q 2012 • Approval* of Field Development Plan and major FPSO and Subsea Contract awards 1
Slide 36: Sea Lion Field Development Summary
DEVELOPMENT SEA LION FIELD DEVELOPMENT SUMMARY • Concept work has been progressing since May 2011, work on-‐going for compleIon end 2011 • MulIple studies are being carried out with anIcipated ouaurn cost for 2011 @ GBP 2.5million • Approximately 2,000 engineering man-‐hours will have to be liquid
Slide 37: Sea Lion Main Complex – Phased Development
DEVELOPMENT SEA LION MAIN COMPLEX – PHASED DEVELOPMENT SEPTEMBER 2011 159
Slide 38: FPSO (Leased) Phased Development
DEVELOPMENT FPSO (Leased) PHASED DEVELOPMENT 3km radius 3km radius 6 producers 6 producers 3km radius Oil ProducIon 3km radius Power Water to HSP/Gas Lim/Electrical Cable to ESP Water InjecIon 6 producers 6 producers FPSO Riser Base Manifold Oil ProducIon Manifold Water InjecIon Manifold SEPTEMBER 2
Slide 39: Block 14/10 Area Development
DEVELOPMENT BLOCK 14/10 AREA DEVELOPMENT SEPTEMBER 2011 161
Slide 40: Sea Lion Area Future Development – Casper Kermit Chatham
DEVELOPMENT SEA LION AREA FUTURE DEVELOPMENT – Casper Kermit Chatham • This is a snapshot of the potenIal future • Using the standard concepts presently being engineered • RepeaIng of known designs will decrease risk and costs from lesson learnt SEPTEMBER 2011 162
Slide 41: Area Development
DEVELOPMENT 14/10 3km radius AREA DEVELOPMENT 6 producers 3km radius 6 producers 6 producers 3km radius 3km radius 3km radius Oil ProducIon Power Water to HSP/Gas 6 producers 6 producers Lim/Electrical Cable to ESP FPSO Riser Base Manifold Oil ProducIon Manifold SEPTEMBER 2011 163
Slide 42: Johnson Gas Condensate Development Planning
DEVELOPMENT JOHNSON GAS CONDENSATE DEVELOPMENT PLANNING SEPTEMBER 2011 164
Slide 43: Johnson Gas Condensate Scoping Phase Overview
DEVELOPMENT JOHNSON GAS CONDENSATE SCOPING PHASE OVERVIEW Johnson is a Gas Condensate field of unknown quanIty and fluid properIes in 500m of water. Scoping and pre concept screening work has been carried out to aaempt to qualify a development. •Examine feasibility of potenIal development scenarios •F
Slide 44: Johnson Scoping Phase Assumptions
DEVELOPMENT JOHNSON SCOPING PHASE ASSUMPTIONS •GAS VOLUMES Trillion Cubic Feet (TCF) – Range from 3 TCF – 30 TCF – Use of 5 TCF and 10 TCF in the scoping studies •CONDENSATE VOLUMES Million Barrels (MMBBL) – During the drilling of the Shell 14/5-‐1 well significant high end C2 – C6 gas shows were re
Slide 45: Johnson Field Development Scenario – Offshore Floating LNG
DEVELOPMENT JOHNSON FIELD DEVELOPMENT SCENARIO – OFFSHORE FLOATING LNG AUGUST 2012 167
Slide 46: Johnson Field Development Scenario – Onshore LNG
DEVELOPMENT JOHNSON FIELD DEVELOPMENT SCENARIO – ONSHORE LNG 500 m Water Depth • Semisub FPU (or TLP) • TEG DehydraIon • 125 barg export compression 250 km x 30” Pipeline to Falklands >70 barg arrival pressure AUGUST 2012 168
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