Sterling Resources Update on Southern North Sea Production

Calgary-based operators Sterling Resources Ltd gave an update on their operations in the Breagh field in the Southern North sea this week. They say that the field is producing better than predicted.

Sterling state that since the beginning of 2015 Breagh production has averaged 126 million cubic feet of gas per day (MMscf/d) at an operating cost of around $8.6/boe. This is an this is an increase from 4.1 mmboe/d Net Sterling in 2014 to 5.7mmboe/d Net Stirling in 2015.

Two of the most recent wells, A07 and A08, have given 45% of total production which is greater than predicted and Sterling say that there is more potential to come.

Spectrum holds 3,736 km of close-spaced long-offset 2D Multi-Client seismic over nearby Quadrants 36, 37, 42 and 43 in the northern UK Gas Basin. The survey follows the same play type as the Sterling exploration but extends out to open acreage. The seismic was designed specifically to define the early Carboniferous prospectivity within the Scremerston Coal Formation play fairway.

Phase 2 of Breagh production will now potentially be on-stream in Q3 of 2017. The profile assumes that there will be 7 wells from a second platform.

Reservoir effectiveness was initially a key concern for the field development and exploration of the Early Carboniferous reservoir. This recent positive results de-risk reservoir in the adjacent poorly explored blocks covered by Spectrum’s 2013 Multi-Client seismic data.