[1] It is the first naturally fractured basement oilfield in the United Kingdom Continental Shelf to reach production.
It discovered light oil in naturally fractured Precambrian age granitic basement but was plugged and abandoned.
Both figures were constrained by surface equipment capabilities and it was reported that the well could deliver 20,000 barrels (3,180 m3) per day with a modest 120psi drawdown under production conditions.
[1][5] In 2016, Hurricane committed to an Early Production System ("EPS") using the Aoka Mizu[6] Floating production storage and offloading vessel ("FPSO"), chartered from Bluewater Energy Services, for an initial six-year period with an option to extend to ten years.
The results of the initial testing will inform decisions regarding potential full field development.
[1] The Competent Persons Report ("CPR") published by RPS Energy on May 8, 2017, provided the following estimates of reserves, contingent resources and initially in place volumes;[8] These estimates will be re-assessed during 2020 and 2021 taking account of the findings from the Early Production System.
In July 2020, Hurricane announced that the prospective resources might be materially downgraded as a result of experience with the Early Production System.
Hurricane is considering options to relocate the production interval of the 7Z well away from the zone of perched water but any such scheme, which would require a drilling rig, is unlikely to take place during 2020.
Hurricane Energy is continuing to test and analyse the reservoir properties and expects to update its assessment of the Lancaster Field during 2020.
The Oil and Gas Authority required that Hurricane Energy spuds at least one additional sub vertical well before 22 December 2021 in order to further establish the size of the Lancaster Field.
Design work to link the Aoka Mizu FPSO to the West of Shetland Pipeline ("WOSP") is ongoing.
This will enable surplus natural gas to be transported to Sullom Voe Terminal in the Shetland Isles of Scotland for processing rather than being flared.
Some of this capacity is currently intended to be used for the adjacent Lincoln oilfield, in which Hurricane Energy has a 50% stake, pending full field development of that asset.