Operations


Trinidad

Range entered Trinidad in 2011 through the acquisition of three producing onshore licenses, gaining 100% working interest in Morne Diablo, South Quarry and Beach Marcelle licenses. The Company holds additional exciting exploration acreage on Guayaguayare license (farm in) and newly awarded St Mary’s license. Range is currently the largest private onshore acreage holder in Trinidad and has an extensive network of partners across the country’s oil & gas industry.

 

Range’s asset locations 

 

Range has strong strategic partnership with LandOcean Energy Services

  • In June 2014, Range entered into an Integrated Master Services Agreement with LandOcean
  • LandOcean is one of the largest oil and gas services companies in China. It is headquartered in Beijing with c. 2,000 employees and listed in Shenzhen with market cap c.US$ 1.4 billion. LandOcean provides a wide variety of services across the upstream development cycle, from frontier geological studies through to engineering and procurement for development and production projects
  • In December 2014, Range has entered into the second purchase order, for the provision of technical services by LandOcean to implement waterflooding plans in Trinidad, including reservoir geology, reservoir engineering, drilling engineering, production engineering, surface facilities engineering and economic evaluation
  • Strategic partnership provides access to sophisticated oilfield services as well as additional financial backing Range is very pleased to have LandOcean as a highly capable and technically sophisticated preferred services provider
  • Funding for the waterflood projects has been arranged through credit facility arranged by LandOcean.

Production growth in Trinidad driven by three projects:

1. Secondary recovery – waterflood

  • Range and its strategic partner LandOcean are finalising proposed plans for extended waterflooding of Range’s Trinidad Beach Marcelle, South Quarry, Morne Diablo licences with subsurface studies successfully completed
  • Majority of production growth to come from waterflood programme centred on Beach Marcelle
  • 73% (14 mmbo) of Range’s 1P Reserve base is found in Beach Marcelle
  • Waterflood is a common and technically proven secondary oil recovery technique
  • Existing wells and infrastructure will be utilised where possible
  • The Company will also implement the Morne Diablo  Shallow Forest waterflood – successful pilot programme already completed

2. Development drilling

  • Shallow drilling in well known reservoirs with quick development from spud to production
  • Majority of current production comes from infill drilling, with multiple development wells programme planned over the next years
  • The Company benefits further from full access to sizeable drilling fleet and personnel

3. Large prospective exploration acreage

  • Exploration of the deeper potential of the existing licences
  • Exciting exploration activity on Guayaguayare and newly awarded St Mary's licences

 

Trinidad Net Oil Reserves (mmbbls)

 

1P

2P

3P

Operator

19.0

22.1

28.2

Range

 

Waterflood technology

  • Waterflooding is a low cost secondary production solution to increase the amount of oil that can be recovered from an oilfield. The process involves converting some oil production wells into water injection wells by injecting (sea) water into the reservoir to encourage oil production from the remaining producers
  • Most fields in Trinidad have been traditionally produced by “primary recovery”, which uses the solution gas dissolved in the oil to provide the driving force to produce the oil to surface
  • This is a cost effective way to produce initial oil, but recovers only about 15% of the oil-in-place – 85% of the oil remains in the reservoir
  • Waterflooding can recover at least a further 15% of the oil-in-place
  • Texaco used this technique successfully in parts of the Beach Marcelle field in the 1950s/1960s
  • The technique has been used in many onshore fields in regions with a long history of oil production, such as USA, Middle East, China, Latin America

 

Illustration of a typical waterflood