Noble Energy Inc. (NBL) entered into a joint venture to expand its operation in West Africa through exploration of the AGC Profond block. The block spreads across more than two million gross acres, offshore Senegal and Guinea-Bissau.
The first drilling well, Kora-1 is planned in the northern side of the block, with a total drilling depth of 15,200 feet, including the water depth of 8,600 feet. Noble expects 20% success in this prospect. The Kora prospect has a Cretaceous oil target with gross resources estimated at 450 million barrels of oil equivalent.
The semi-submersible rig Maersk Deliverer will be utilized for drilling. Drilling is expected to begin from end June and the results were expected by the end of August 2011.
The Kora-1 exploration well is jointly operated by numerous players and Noble Energy has 30% working interest in the block. Noble acquired 30% interest in the Kora-1 from Ophir (17.5%) and Rocksource (12.5%).
The other operators are Ophir Energy Plc with 36.7% working interest, Rocksource AGC Profond AS with 12.5%, FAR Ltd. with 8.8% stake and the remaining 12% held by L’Entreprise.
Noble’s targeted net daily production from its West African exposure in 2011 is about 59 thousand barrels of oil equivalent (MBoe). Noble’s net proved reserves in West Africa at the end of 2010 were 257 million barrels of oil equivalent (MMBoe). Through this joint venture Noble Energy will add to its existing West African operations in Equatorial Guinea and Cameroon.
Recently, Noble Energy successfully drilled in the deep water Gulf of Mexico through its Santiago exploration prospect.Santiagois the third successful finding for the company in its Galapagos project, following prior successes at Santa Cruz and Isabela.
Noble Energy currently retains a Zacks #3 Rank (short-term Hold rating). The company competes with Anadarko Petroleum Corporation (APC).
Based in Houston, Texas, Noble Energy operates internationally and engages in the acquisition, exploration, development, production, and marketing of crude oil, natural gas and natural gas liquids.
