Overview
The Etinde Permit lies in shallow water adjacent to the coast. A number of hydrocarbon discoveries including oil, condensate and gas have been made. The Group’s net P50 contingent resource volumes are 58 mmboe*. In addition, considerable exploration/appraisal upside remains throughout the Permit.
On 16 March 2015 the Etinde farm-out transaction with LUKOIL and NewAge completed. Prior to this, Bowleven had a 75% interest in Etinde (before SNH back-in). NewAge acquired an additional 12.5% interest taking their interest total to 37.5% and LUKOIL acquired 37.5% interest. Following completion of the farm-out Bowleven retained a 25% interest in Etinde and operatorship of Etinde transferred to NewAge.
Key Facts
- Acreage: Offshore, shallow water, 461km2
- Bowleven Equity: 25% (LUKOIL 37.5 %, NewAge 37.5%)
- Operator: NewAge
Etinde
Offshore Cameroon is divided into two distinct hydrocarbon provinces, the Rio Del Rey Basin and the Douala Basin. The basins formed following rifting between Africa and South America. The Etinde Permit (formerly block MLHP-7) sits within the Rio Del Rey Basin.
The Etinde Permit previously comprised of former blocks MLHP-5,6&7. In July 2014, an Exploitation Authorisation (EA) was awarded over block MLHP-7, granting title to the EA area for a minimum of 20 years with the option to renew for up to a further 10 years, on the proviso that the infrastructure to produce oil be completed by early 2021.
Etinde Permit Details
Appraisal Drilling
The drilling of the first of the two appraisal wells, IM-6, commenced on 21 May 2018. The primary aim of this well was to delineate the size of the Intra Isongo aged 410 channel sand package – the Awl prospect to the south of the IM-5rz discovery. The location was tweaked to enable the stratigraphically higher 510 channel sand package and lower 310 sand packages to be tagged as secondary targets.
Given the IM-6 results, the IE-4 location was agreed by the partners and drilling of the appraisal well commenced in August 2018. The object of this well was to appraise two Intra-Isongo aged 410 sand packages in two fault bounded structures. The discovery of volatile rich light oil in the IE-4 well reveals potential of the Etinde field and further evaluation is ongoing. The programme was completed in October 2018 with post-drilling data analysis and evaluation continuing throughout 2019. The test results have increased the overall likelihood of a commercial development of the IE field area.
NewAge (37.5% operated interest in the Etinde Permit)
NewAge is a privately owned oil and gas company with a portfolio of assets in 7 countries. NewAge has reached FID on 5 development projects with production having recently started on 2 of these projects.
LUKOIL (37.5% non-operated interest in the Etinde Permit)
LUKOIL is one of the world's largest privately owned oil and gas companies by proved oil reserves and accounts for circa 2.1% of global production of crude oil. It has extensive experience in operating multi-tcf gas fields, developing and producing hydrocarbons (including the processing of natural gas liquids) and working with multiple stakeholders.
SNH
SNH (Société Nationale des Hydrocarbures) is the state owned hydrocarbon company of Cameroon. Bowleven/EurOil work in partnership with SNH in the activities the Group undertakes in Cameroon.
SNH has a 20% back-in right to the Etinde development, and if exercised will reduce Bowleven’s interest to 20% and NewAge’s and LUKOIL’s interest to 30% each.