Block Ba covers an area of approximately 67,000 sq. km, equivalent to some 328 UK North Sea blocks or 11 UK North Sea quadrants, includes parts of the productive Muglad and Melut Basins. Southern Sudan is an established world class petroleum producing area containing a large part of the continent-wide Cretaceous rift basin system that has proved petroliferous in Chad and Niger as well as Sudan.
Block Summary - Block Ba
In 2005 oil production in Sudan was 500,000 bopd and this is expected to increase as more oilfield discoveries are made to circa 600,000 bopd for 2006. Current proven reserves are 1.2 billion bbls and original oil-in-place is estimated at over 10 billion bbls in the explored part of the Muglad Basin. The main productive trend is that of the Muglad Basin where the biggest oilfields so far have been discovered. Thar Jath, Mala, Heglig and Unity oilfields are based in the Muglad Basin northwest of White Nile’s Block Ba. Unity, Heglig and Thar Jath oilfields have estimated oil in place figures of circa 600 million, 550 million and one billion barrels respectively.
It can be demonstrated that the production fairway of the Muglad Basin extends into western Block Ba. This fairway has been mapped by geophysical methods extending south-eastwards from the Heglig-Unity area through Block 5A, where the Thar Jath discovery was made by Lundin in 1999 and the Mala discovery made by Petronas in 2003, and through the highly prospective Block 5B. The area of the main part of the Muglad Basin i.e. the most prospective part, in Block Ba could be at least 6,000 sq. km (i.e. the area of a UK North Sea quadrant). The eastern part of Block Ba also contains the southerly extension of the Melut Basin, which is also productive in Block 3 to the north. In addition, geophysics have delineated other prospective basinal areas in Block Ba.
The Company’s consultants believe that the area is highly prospective and can be expected to have the same level of reserves as the productive parts of the Muglad Basin to the northwest. In global terms, Block Ba can be geologically categorised as low risk/high reward.
To coordinate activities and provide logistical assistance White Nile has a head office in Nairobi and an office in Juba. A camp has been established at Padak, 2 km from the airstrip in the western section of Block Ba north of Bor, where the seismic is focusing initially on the extension of the Muglad Basin. Additionally a forward camp has been established at Panyong north of Padak for drilling activities.
Padak camp during siesmic operations
Over 500 km of high-density, 2D seismic data has been interpreted from the prospective Jonglei sub-basin of the Muglad Basin in the western part of Block Ba in South Sudan. Several prospects have been identified in the 1800 sq km project area, including one large structure of over 50 sq. km, which has been high-graded as an immediate drilling target.
A seismic line in Block Ba where a number of drill targets have been identified
The seismic data from the first phase of the exploration programme has been processed and interpreted to provide a new understanding of the prospectivity of the Jonglei sub-basin of the Muglad Basin. It clearly shows a sedimentary section of up to 7 km in thickness and rift structures suitable for forming hydrocarbon traps analogous to the producing South Sudanese Thar Jath, Mala, Heglig and Unity oilfields of the Muglad Basin to the northwest of Block Ba. In this way the geological conditions pertaining to the formation of oilfields in the Muglad Basin (Blocks 1, 2, 4 and 5A) have been extrapolated into the Jonglei sub-basin in Block Ba. Blocks 1, 2 & 5A host the known Unity, Heglig and Thar Jath oilfields that have estimated oil in place figures of circa 600 million, 550 million and one billion barrels respectively.
A drilling rig is now being procured and the first exploration well is planned to spud in the first half of 2007. White Nile’s exploration and development programme for Block Ba includes three exploration wells in 2007 and further 2D seismic acquisition. Additionally 3D seismic acquisition will be considered over any discoveries. A new 2D seismic acquisition programme in the Pibor Post Basin, part of the productive Melut Basin, in the eastern part of Block Ba will also commence in early 2007. The Melut Basin to the north of Block Ba includes the Great Palogue oilfield, which has estimated oil in place of circa 2.9 billion barrels and the Adar-Yale oilfield, which has estimated oil in place of circa 276 million barrels.
Block Ba Location Map
An Environmental and Social Impact Assessment (‘ESIA’) study is being commissioned to determine whether it would be environmentally, socially, technically and economically feasible to develop the oil deposits in the concession area and to construct drill pads, access roads, accommodation camps and eventually an oil processing plant. The current estimated life of the proposed project is 150 years. The oil will initially be for local consumption and later for export to international markets.