(Source: Datamonitor)
Spain-based integrated oil and gas company Repsol has made two new offshore oil discoveries in the Spanish Mediterranean waters. The Montanazo D-5 and Lubina-1 wells are located 45km from the coast of Tarragona, where the company is developing similar satellite fields.
Repsol, with a 75% stake, is the operator of the first of these discoveries, in a consortium with Gas Natural with 17.7% interest and Cepsa with 7.3% interest. In the second discovery, Repsol is the sole holder.
Preliminary estimates show that the Montanazo and Lubina wells could produce oil for between five and seven years, extending the productive lives of the area.
In the last three years, the company has invested about E135 million to drill and prepare these wells. The development of the fields will require a further E55 million to E60 million over the next two years.
The first of these discoveries took place within the Montanazo-D concession. The Montanazo D-5 well is in 736m of water, and reached a total depth of 2,354m. Initial tests indicate oil production flows of 3,800 barrels per day of crude oil.
Repsol's second discovery in the area is in the Lubina II concession. The Lubina-1 well, in 663m of water and 4km to the north of Montanazo D-5, has a total depth of 2,439m. Tests indicate a production of 3,700 barrels per day of crude oil.
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