Revealed: 80-bn barrels of oil reserves in Khalij Al-Bahrain

Manama : The tight oil reserves discovered in Khalij Al-Bahrain Basin is estimated at 80 billion barrels, Minister of Oil, Shaikh Mohammed bin Khalifa Al Khalifa,  revealed at a press conference here yesterday.

The newly-discovered resources are located in the shallow waters, off the Kingdom’s west coast, close to a fully-operational oil field with ready-to-connect-to facilities, a unique factor that provides the potential for significant cost optimization, it was revealed at the press conference. 

Representatives of international consultants DeGolyer and MacNaughton, Halliburton, and Schlumberger attended the conference. 

A separate discovery of significant gas reserves in two accumulations below Bahrain’s main gas reservoir has also been confirmed.Extensive work has already been carried out to evaluate in-place volumes.  The first well in the drilling programme is planned to produce in August, and over the next two years focus will be given to maximizing production and commercial efficiency.

“DeGolyer and MacNaughton’s and Haliburton’s independent appraisals have confirmed NOGA’s find of highly significant quantities of oil-in-place for the Khalij Al Bahrain, with tight oil reserves at least 80 billion barrels, and deep gas reserves in the region of 10-20 trillion cubic feet,” said Shaikh Mohammed.

“Agreement has been reached with Halliburton to commence drilling two more appraisal wells in 2018, to further evaluate the reservoir potential, optimize completions, and initiate long-term production,” the Minister added.

“Oil in place of 80 billion barrels is based on a P50 resource estimate. The discovery breaks new ground for the Bahrain oil and gas industry using established technologies,” said DeGolyer and MacNaughton Senior Vice president, Dr John Hornbrook.

“The presence of a layer with moderate conventional reservoir properties on top of an organic-rich source rock creates a unique self-sourcing and trapping system, enhancing production and economic viability. The confirmation of this significant resource highlights the vast E&P (exploration and production) potential and opportunities in Bahrain,” Bapco Chief Exploration Geologist in charge of the discovery, Yahya Alansari, said. The newly-discovered resource, which officials expect to be ‘on production’ within five years, is expected to provide significant and long-term positive benefits to the economy – both directly and indirectly.