Copyright 2004 SIEP B.V. Shell Exploration & Production Morocco Offshore Potential and Promises John Crowle
Copyright 2004 SIEP B.V. P04148_001 Contents 1.Morocco – the background to deepwater exploration 2.The ingredients for exploration success Commercial Technology Geology 3.What happens next?
Copyright 2004 SIEP B.V. P04148_001 Morocco - the background to deepwater exploration History of offshore exploration without commercial development Unexplored deepwater acreage Growing industry success in deepwater developments elsewhere Improved risk reduction tools based on 3D seismic
Copyright 2004 SIEP B.V. P04148_001 Morocco SHELL INTEREST BLOCKS (OPERATOR) MOROCCO NON SHELL BLOCKS AGADIR RABAT RECONNAISANCE LICENCES SPAIN SHELL INTEREST BLOCKS ( NON OPERATOR) Rimella Cap Draa Shell EP in Morocco Rimella and Cap Draa
Copyright 2004 SIEP B.V. P04148_001 Ingredients for success - Commercial Straightforward tax/royalty regime 10-year ‘tax holiday’ Clearly defined work programme Informed, professional and challenging local partnership
Copyright 2004 SIEP B.V. P04148_001 Ingredients for success - Technology Exploration risk reduction An understanding of the environmental sensitivities Environmentally sensitive, safe drilling operations Deepwater development skills
Copyright 2004 SIEP B.V. P04148_ AmplitudemeasurementsAmplitudemeasurements Technology – seismic attributes
Copyright 2004 SIEP B.V. P04148_ m 800 m 1000 m 1200 m 1400 m 1600 m 1800 m 2000 m 2200 m 2400 m Cognac 1978 Bullwinkle 1988 Conoco (Julliet) 1989 Petrobas (Marlim) 1989 Na Kika 2003 Petrobras (Roncador) 1999 Mensa 1997 Petrobras (Marlim Sul) 1997 Ursa 1999 Ram-Powell 1997 Mars 1996 Auger 1993 Technology - deepwater milestones
Copyright 2004 SIEP B.V. P04148_001 Technology - Na Kika development concept Gulf of Mexico
Copyright 2004 SIEP B.V. P04148_001 Ingredients for success - Geology A thick sediment pile – up to 10 kilometres Potential for Jurassic and Cretaceous source rocks Cretaceous and Tertiary reservoir rocks Structural development to create traps – salt movement
Copyright 2004 SIEP B.V. P04148_001 shallow marine deposits Channelised fans (West Africa, West of Shetlands) Unconfined fans (North Sea, Brazil) deep marine sands deep marine shales salt Confined fans (Gulf of Mexico) Geology – reservoir rocks
Copyright 2004 SIEP B.V. P04148_001 5 km Salt Ridges & Mini- Basins 2 sec 6 sec 4 sec Inverted Structures Inner Diapir Trend West East Geology – traps Agadir - Tarfaya Basin Play Domains
Copyright 2004 SIEP B.V. P04148_001 Geology - Agadir–Tarfaya Basin play domains Diapirs Inversion structures Salt ridges Toe-Thrust Unconfined By-Pass Slope Platform / shelf Agadir km 3D SEISMIC
Copyright 2004 SIEP B.V. P04148_001 Geology - play segments Salt Ridge Play Middle Miocene Top Base Miocene Base Tertiary Top Albian Top Jurassic ? Salt Sub - Salt Truncation ? Sub - Salt Truncation ? ? Salt Sub - Salt Truncation ? NW SE Sub - Salt Truncation ? Salt 2 km Base Tertiary Top Jurassic Base Tertiary Top Jurassic Top Basement Salt 2 km NW SE Toe Thrust Play Salt Base Tertiary Top Jurassic 2 km NW SE Inverted Structures Play Base Tertiary Top Jurassic Salt 2 km NW SE Salt Diapir Play
Copyright 2004 SIEP B.V. P04148_001 Drill potential hub class prospect DRY Evaluate remaining exploration potential and decide whether or not another hub class prospect will be drilled. HUB SIZE Appraise and Develop Re-evaluate remaining exploration strategy Evaluate remaining exploration potential and select most promising prospect that is either a hub on it’s own or can help in justifying a cluster development TOO SMALL FOR HUB Exploration and Development Strategy
Copyright 2004 SIEP B.V. P04148_001 Morocco – offshore potential and promises The political will is there The commercial terms are there The geology has the right elements The seismic has been shot and interpreted Time to drill