Gross 2P reserves
bopd gross production in 2017
The Taq Taq licence area is located 60 km northeast of the Kirkuk oil field and the adjacent city of Kirkuk, 85 km southeast of the city of Erbil and 120 km northwest of the city of Sulaimaniah. The gross area of the Taq Taq licence area is approximately 951 square km.
The Taq Taq field has been producing since 2006. As of 31 December 2017 the field had produced over 210 mmbbls, generating over $12 billion in sales.
The overriding strategy for the Taq Taq field is to generate free cash flow flow – and $32 million in free cash flow was generated in the first half of 2017 – and maximise gross ultimate recovery.
Taq Taq gross 2P reserves are estimated at 54.7 MMbbls, compared to 59.1 MMbbls as of 28 February 2017, with the difference being production in the intervening period, partly offset by a small reserves increase, a result of stabilising production and the integration of the TT-29w well into the field model.
The TT-29w well, reached target depth of 3,100 metres in early September 2017, and encountered good quality oil bearing Cretaceous Shiranish and Kometan reservoirs. Six zones were subsequently tested over a 20 day period, with test rates of up to 6,400 bpd (40/64 inch choke) of 48° API oil delivered from individual zones. Four of the five tests in the Shiranish produced dry oil, with one test tight. The Kometan reservoir test produced oil with a 40-50% water cut, confirming the oil water contact within the Kometan reservoir at this location in the field.
Production in 2017 averaged 18,050 bopd, with production stabilising in the second half of the year, with Q4 2017 averaging 14,035 bopd, in line with Q3 2017 of 14,080 bopd. The implementation of a proactive well intervention and production optimisation programme helped slow the rate of production decline in the first half of 2017. The successful TT-29w well then led to a small increase in production, and average production in December 2017 of 15,068 bopd was the highest monthly average in H2.
The TT-29w well encountered a deeper free water level and more extensive oil bearing cretaceous reservoirs on the northern flank of the field than previously forecast. The results of the well are still being analysed, and will drive the 2018 drilling programme. The well intervention programme, focused on the provision of artificial lift and water shut off in existing wells, will continue throughout 2018. Drilling activity is set to resume in the second half of the year, with two wells scheduled targeting the flanks of the field.
As stated in the full year 2016 results, Genel announced monthly production for Taq Taq in 2017. Following the stabilisation of production in H2 2017, Genel has reverted back to standard financial calendar disclosure.
- December 2017 - 15,068 bopd
- November 2017 - 13,680 bopd
- October 2017 - 13,351 bopd
- September 2017 - 13,475 bopd
- August 2017 - 14,043 bopd
- July 2017 - 14,705 bopd
- June 2017 - 15,939 bopd
- May 2017 - 16,917 bopd
- April 2017 - 18,011 bopd