Friday, 28 March 2014

Big Players Likely To Shift To Development Of Marginal Oil Fields

The development of marginal oil fields is expected to gain attention from industry players soon as the number of bigger fields available begin to decline.

An oil and gas (O&G) expert said the prospects were there and Petronas has set up a special unit to focus on marginal fields.

"The unit will focus on the marginal fields and will adopt specific criteria to ensure that the ventures are beneficial," he told Bernama here today.

The expert, who declined to be named, said this on the sidelines of the Offshore Technology Conference Asia (OTC Asia) 2014 here today.

He said there were still challenges in the venture like the need to study the subsurface information to see where the fields were depleted or still in good condition.

"The depleted fields are expensive to develop as they will face problems when drilling starts," he said.

The expert said the output was not much compare with other fields, only between 30-50 million barrels.

"The likelihood of making big profits is slim," he said.

He said the current high oil price was expected to be one of the key reasons that would make the development of marginal fields attractive.

The four-day OTC Asia 2014, which started on March 25, 2014, attracted some 15,000 delegates and trade visitors from 72 countries. -- BERNAMA