Irish Licence Location Map
Old Head of Kinsale
Exploration Licence 4/05 - Part-blocks 49/17, 49/22 & 49/23
Exploration Licence 4/05 immediately to the southeast of the Kinsale field. The licence area includes the Old Head of Kinsale and East Kinsale structures.
Old Head of Kinsale was discovered in 2006 by exploration well, 49/23-1. The well, which spudded on 12 July 2006, was drilled to its planned total depth of 4,133 feet in just 16 days and successfully encountered a Lower Cretaceous reservoir sequence with a gross 100 foot gas column.
The gas discovery is located only 25 km from Marathon's production facilities at the Kinsale Field. The well was suspended as a potential gas producer pending pre-development drilling this year. Fugro Robertson, in a 2007 independent assessment, has estimated that on a P50 basis, the Old Head of Kinsale field has gross gas in place of 78 bcf; field gross gas recoverable of 55 bcf and net contingent resources of 9.2 MMboe.
In May 2007, Island Oil & Gas drilled an appraisal well, 49/23-2, the results of which indicated that the well encountered gas bearing sands and a gas water contact consistent with the results of the original 49/23-1 discovery well three kilometres to the North East. In June 2007, a short sidetrack hole was drilled (49/23-2z) from the existing 49/23-2 well bore in an attempt to encounter the reservoir sands at a more crestal elevation within the structure.
The 49/23-2z sidetrack well successfully tested dry gas at a rate in excess of 18 million standard cubic feet per day through a 56/64" restricted choke size. The gas was produced from the same Upper Wealden reservoir horizons in the Lower Cretaceous at a measured depth of 4,450 feet below the rotatry table, that were encountered approximately 2.5 kilometres to the NE in the original 49/23-1 discovery well drilled in 2006. The well is being suspended as a potential gas producer alongside well 49/23-1.
In December 2009, given the uncertainty surrounding the operator, Island Oil & Gas, and the future development plans for Old Head of Kinsale, EnCore entered into a collaboration agreement with Valhalla Oil & Gas, another joint venture partner on Old Head of Kinsale to ensure that the maximum value is extracted for EnCore shareholders.
The Schull Prospect
Exploration Licence 5/05 - Block 57/2 and Part-blocks 57/1, 48/26 & 48/27
This licence lies to the southwest of the Seven Heads gas field, and close to infrastructure linking Seven Heads and Kinsale Head.
The Schull gas field was first discovered by the Total operated well 57/7-2 in 1987. It lies approximately 43 km to the southwest of the Seven Heads gas field and the associated infrastructure linking Seven Heads to the Kinsale Alpha platform. The area contains two more potential gas structures, the Schull Central and the Schull North prospects.
In its 2007 independent assessment, Fugro Robertson evaluated the Schull 57/2-2 discovery well and two adjacent gas prospects. They estimated that on a P50 basis, Schull Field gas in place is 28 bcf; gross gas recoverable reserves are 18.2 bcf and net contingent resources are 1.7 MMboe. For the two adjacent gas prospects, the unrisked total prospective resources are 74.1 bcf (net risked prospective resources 1.7 MMboe).
In July 2007, EnCore announced that the Schull gas appraisal well on Exploration Licence 5/05 located in the Celtic Sea, offshore Ireland, successfully encountered gas-bearing reservoir sands. The reservoir horizons in the Upper Wealden were encountered at a measured depth of 2,332 feet below rotary table. Preliminary interpretation of the well results indicated a gross gas bearing reservoir interval of approximately 294 feet and a net gas bearing interval of approximately 73 feet. Well 57/2-3, which was spudded on 14 July 2007, was drilled to its planned total depth of 2,989 feet true vertical depth below rotary table in ten days, ahead of schedule and under budget.
In August 2007, EnCore announced that the Schull gas appraisal well on Exploration Licence 5/05 located in the Celtic Sea, offshore Ireland, successfully tested dry gas at a rate of 21 million standard cubic feet per day through a 72/64” choke. The gas was produced from the Upper Wealdenreservoirs encountered between 2,332 feet and 2,599 feet measured depth below rotary table.
Well 57/2-3 encountered a gross gas column of 292 feet, significantly greater than that prognosed prior to drilling. The reservoir was encountered 84 feet high to prognosis. These positive drilling and testing results upgrade the Schull gas field to a potential standalone development as well as enhancing the prospectivity of additional undrilled structures within the Schull licence area. The well is being suspended as a potential gas producer.
The Schull well is planned with a view to developing the gas potential of the area through the Seven Heads/Kinsale infrastructure.
Island Oil & Gas awarded a contract to Pegasus International UK Ltd, for front-end engineering work ahead of the joint development of the Old Head of Kinsale and Schull gas fields. The studies focused on field development options, including subsea tiebacks.
In December 2009, given the uncertainty surrounding the operator, Island Oil & Gas, and the future development plans for Schull, EnCore entered into a collaboration agreement with Valhalla Oil & Gas, another joint venture partner on Schull to ensure that the maximum value is extracted for EnCore shareholders.
EnCore news releases on Irish licences:
21 December 2009 - Activity Update
20 September 2007 - Old Head of Kinsale and Schull Discoveries Front End Engineering Contract Awarded
8 August 2007 - EnCore Announces Successful Testing on Schull Gas Discovery
27 July 2007 - Schull Gas Appraisal Well Reaches Target Depth and Encounters Gas-Bearing Sands
16 July 2007 - Commencement of Drilling Operations on Schull Gas Appraisal Well
2 July 2007 - Drilling Operations Update on the Old Head of Kinsale Appraisal Well
31 May 2007 - Drilling Operations Update on Old Head of Kinsale
17 May 2007 - Commencement of Drilling on Old Head of Kinsale
25 April 2007 - EnCore Acquires Interests in Existing Discoveries Offshore Ireland and the Netherlands from Island Oil & Gas
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