NL: Solo Oil marks its presence in the NetherlandsOperated and Non-operated assets in the SNS (NL&UK). Source: ONE-Dyas

NL: Solo Oil marks its presence in the Netherlands

Scirocco (Netherlands) Energy has entered into a binding sale and purchase agreement with ONE-Dyas to acquire a package of non-operated interests in 14 natural gas fields in the Dutch sector of the North Sea.

The consideration for the proposed transaction comprises an upfront payment of €30.1 million, plus a future deferred payment of €2.0 million upon first production from future development of the hydrocarbons currently designated as 2C resources contained within one of the fields to be acquired.

Key Highlights

  • Three core areas with 14 gas fields, producing c. 99% gas/1% condensate
  • Mid-life assets, with relatively low abandonment expenditure
  • ONE-Dyas retaining an interest in certain of the assets and remaining as operator
  • Net average production in H1 2019 from the ONE-Dyas Assets was approximately 1,750 boepd expected to increase to approximately 2,125 boepd in 2020
  • Incremental 2C resources of 7.5 MMboe at 1 January 2019
  • Near field resources and proximity to existing infrastructure
  • Well defined work programme to convert 2C to producing 2P reserves
  • Potential for production increase to over 3,300 boepd by 2022
  • Company intends to raise approximately £20 million in equity to fund the balance of the upfront consideration 

Working interests of the ONE-Dyas Assets being acquired. Source: Solo Oil Plc

L08-D & L11c Gillian Fields

The L08-D and L11c-Gillian fields are both tilted fault block structures which have the mid-Permian, Rotliegend Group, Slochteren Formation (“ROSL”) as the reservoir.

This reservoir is divided into an Upper Slochteren Member (“ROSLU”) and a Lower Slochteren Member (“ROSLL”), with the ROSLU further sub-divided for reservoir management purposes. The ROSLU is the more important of these two reservoir intervals which are separated by shales of the Silverpit Formation, Ameland Member.

These clastic reservoirs were deposited under continental, desert and semi-desert conditions in depositional environments including alluvial fan, aeolian dunes, fluvial and sabkha deposits. The reservoir intervals have variable Net/Gross ratios (average range of 45-80%) and average zonal porosities in the range 10-13%.

M07-A & M07-B Fields

For the M07-A field, the reservoir is the Lower Triassic, Volpriehausen Formation, whilst for the M07-B field the reservoir is the Upper Jurassic, Scruff Formation (specifically, the Schill Grund and Spiculite members).

The Triassic Volpriehausen Formation was deposited under semi-arid to arid conditions and comprised a clastic reservoir of fluvial, aeolian, lacustrine and lagoonal deposits. Average petrophysical properties for the Volpriehausen reservoir are 55-100% Net/Gross and 15-20% porosity, although quality is variable due to depositional facies variations and diagenetic overprints.

K09/L10-M/K-12-G Cluster

The gas fields of the K09/L12-M/K12-G Cluster all share the same clastic reservoir interval, that being the mid-Permian, Rotliegend Group, Slochteren Formation (“ROSL”). The reservoir intervals generally have high Net/Gross ratios (with an average range of 60-90%), and average zonal porosities are in the range of 10-14%.

Press release