Bond Offering Memorandum 23 July 2014 - page 290

Kuwait Energy
EL-12-211107
27
The first discovery occurred in November, 2006 with well Shahd-1, and this well began
commercial oil production in December, 2007. A string of further oil discoveries followed,
the two most significant being Shahd SE and Al Zahraa.
Shahd SE (Figure 1.6) was discovered by well Shahd SE-1 which began production in
July, 2008 at a rate of 2,400 bopd. Two further wells, Shahd SE-2 and Shahd SE-3,
came on stream early in 2009 but the full extent of the field was not realised until the
drilling of Shahd-2 in 2011 led to a reinterpretation of the structure and the discovery of a
large extension to the original field. In March, 2014, production averaged 18,320 bopd
from 8 wells at a water cut of 17%, and Shahd SE-8 came on production in May at
approximately 3,800 bopd.
FIGURE 1.6
LOWER BAHARIYA DEPTH MAP, SHAHD AND SHAHD SE FIELDS
Al Zahraa field was discovered in March, 2009 with well Al Zahraa-1, which began
commercial production in June, 2009 at a rate of about 2,500 bopd. A second well,
Al Zahraa-2, came on stream in December, 2009 at a rate of about 1,000 bopd, and a
third, Al Zahraa-3, in August, 2010 at over 2,000 bopd. Production in early 2014 was
reduced due to problems with the ESPs in two of the wells, but by May these had been
fixed and production restored to approximately 1,500 bopd at a water cut of 70%.
The remaining fields (Ghard, Rana, Rana SE, Diaa, Shebl and Shebl SE) each have one
or two production wells. Initial rates varied from 120 to 1,400 bopd but generally declined
fairly rapidly as the water cut increased. Artificial lift (SRP or ESP) has been installed in
several of the wells. Hydraulic fracturing has also been tried, with variable results.
Total ERQ production at the end of May, 2013 was approximately 23,750 bopd at a water
cut of 32%.
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