Antrim submit Field Development Plan for North Sea Causeway
Antrim Energy Inc. ("Antrim" or "the Company") (TSX:AEN)(AIM:AEY) today announced that a Field Development Plan (FDP) for Phase I of its Northern North Sea property "Causeway" (Antrim operated, 65.5%) has been submitted to the UK regulatory authority, the Department of Energy and Climate Change (DECC).The FDP, which plans production through a subsea tieback to the Dunlin platform is for the eastern area of the Causeway Field only and is the first phase of what is anticipated to be several phases of development of the field. Phase I is anticipated to initially produce 15,000 bopd, accessing approximately 7.3 million barrels oil (net 4.8 million) from the East Causeway area. Subsequent phases will access additional reserves in the Central and Western areas of the Causeway Field.
Phase I will involve the subsea completion and tie back of one producer and one pressure maintenance well. The production well, 211/23d-17z, previously tested up to 14,500 bopd of light oil (32 degrees API) from two test intervals totaling 230 ft within a 1,177 ft net pay interval (measured depth). This well also penetrated an additional section in an adjacent fault block which tested up to 8,100 bopd from a previously drilled well. Well 211/23d-18 will serve as the pressure maintenance well, with a second production well anticipated one year after first production. The production and injection wells will be tied back 9km subsea to the Dunlin processing facilities to allow crude oil delivery to the Sullom Voe Terminal through the Brent Pipeline System. The design includes provision for expansion for the further development phases.
Approval of the Causeway FDP is anticipated during 2009 at which time, given favourable economic conditions including commodity prices and project funding costs, Antrim expects to start the procurement process and confirm the production start-up date.
Antrim maintains controlling interests in all of its major properties in the UK, allowing the Company control over the pace of development and the rate of expenditure on the properties. As previously reported, Antrim has a strong cash position and no outstanding debt.
In the Central North Sea, Antrim expects to file an FDP for the Fyne Field (Antrim operator, 75%) by mid-2009.
Stephen Greer, President and CEO of Antrim, commented, "By phasing these developments, the Company can minimize the initial capital commitment and can expect to fund subsequent production phases from revenue generated by previous phases. This is a cautious, conservative approach, well suited to today's uncertain economic climate."
