Total initiates operations in offshore gas blocks-17, 18

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FE Report
The French oil giant Total has initiated its Bangladesh operations in hydrocarbon exploration in its designated offshore gas blocks in the Bay of Bengal.
"The company has now been conducting a bathymetric survey in the gas blocks-17 and 18 in the Bay for the last two weeks as part of its oil and gas exploration activities," a senior Petrobangla official told the FE.
He said after completing the bathymetric survey Total has planned to initiate a seismic survey in these blocks in January next.
Total earlier had submitted its work plan including the budget to Petrobangla regarding expenses to conduct the exploratory work in the blocks-17 and 18.
After scrutiny Petrobangla endorsed Total's working plan and budget and asked the French company to complete exploration work within the shortest possible time.
As per its work plan Total will conduct oil and gas explorations in the offshore gas fields of Bangladesh in the coming winter.
Before commencement of Bangladesh operations, Total acquired in March last the Irish company Tullow's stake in the offshore blocks-17 and 18 and got government approval extending the exploration period under the production sharing contract (PSC) by three years until May 5, 2009.
The acquisition has left Tullow with 32 per cent stake, the US-based Okland 8.0 per cent and Total with the remaining 60 per cent stake in the offshore blocks that cover 13,724 sq km and lie south of the Sangu gas field near Cox's Bazar sea resort town.
Total has also been given the operational responsibility of these two gas blocks by Tullow.
Before initiating hydrocarbon exploration Total will review the existing geological data relating to the contract area and conduct three-dimension (3D) seismic surveys up to 1,000 square kilometers that include data acquisition, processing and interpretation.
Total will carry out and process 200 kilometres of 2D multifold seismic coverage and 50 kilometres of 3D multifold seismic coverage.
The company will drill one exploratory well to a depth of at least 3,000 metres into the Bay to find new gas reserves in the structure, if any.
The previous operator for blocks-17 and 18 - Tullow - has so far conducted a seismic survey in the blocks and invested $7.0 million, company sources said.
It also attained clearance from the Department of Environment for carrying out the seismic survey near the ecologically-sensitive St Martin's Island under the block areas.
Sources said there is a prospect of gas reserve to the tune of several trillion cubic feet (TCF), as the neighbouring Myanmar's gas blocks are located along the same blocks-17 and 18.
Myanmar discovered around 6.0 TCF of gas reserves in the adjacent offshore gas blocks explored by several international oil and gas companies (IOCs).
Total is already present in the refining and marketing sectors in Bangladesh, with activities relating to lubricants and liquefied petroleum gas.