Newfoundland and Labrador’s 2018 Resource Assessment has identified 11.7 billion barrels of oil and 60.2 trillion cubic feet of gas potential offshore within the area of the Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) 2018 Eastern Newfoundland Call for Bids which closes Nov. 7, 2018.

The independent resource assessments, conducted by Beicip-Franlab, are based on new data covering parcels on offer in the Orphan Basin (NL18-CFB01) and the East Jeanne d’Arc Basin (NL18-CFB01).

The upcoming license round includes a total of 16 parcels, nine new are the focus of the resource assessment which have been broken into two separate land areas - 2018 A and 2018 B. Two assessment reports have been completed and reveal the following potential:

  • 2018 A - 9.3 Billion Barrels of Oil and 40.4 Trillion Cubic Feet of Gas Potential
  • 2018 B - 2.4 Billion Barrels of Oil and 19.8 Trillion Cubic Feet of Gas Potential

For a combined potential of 11.7 Billion Barrels of Oil and 60.2 Trillion Cubic Feet of Gas within both A and B.  Bringing the combined potential in less that 7% of Newfoundland and Labrador’s total offshore to 49.2 Billion Barrels of Oil and 193.8 Trillion Cubic Feet of Gas.

New 3-D seismic data coupled with seabed cores collected by Nalcor and partners, TGS, PGS and Furgo, in the Orphan Basin has provided scientific evidence of active petroleum systems in the bid area.

“We’re seeing the potential for multiple material scale opportunities in this upcoming license round and as a result of our 3D data investments we’ve also uncovered new leads and prospects in an area that was previously offered and is coming back for bidding in this license round,” said Jim Keating, Executive Vice President, Corporate Services and Offshore Development, Nalcor Energy-Oil and Gas. “Our ongoing collection of data is showing significant geological diversity throughout our offshore. Ongoing exploration programs coupled with the province’s continued data acquisition will further build our knowledge surrounding the full resource potential offshore.”

Using the insights from regional Nalcor-Airbus satellite seeps survey and gravity and magnetics data, Nalcor, in partnership with global seismic companies TGS and PGS, is conducting one of the largest seismic programs in the world. By the end of 2017, over 170,000 line kilometres of new 2D and 15,000 square kilometres of multi-client 3D seismic data had been acquired. In addition to new data acquisition, Nalcor is systematically evaluating Newfoundland and Labrador’s  sedimentary basins for their potential to contain new oil and gas discoveries. From biostratigraphy to regional rock physics, these studies are undertaken to address key risks and scientific uncertainties in an effort to enhance industry investment in the province.  All this data and knowledge helps inform the annual resource assessment results.

“Beicip-Franlab has carried out detailed interpretations of past and new well and seismic data in the Orphan/Flemish basins and in the Eastern Jeanne d’Arc basin. These interpretations and Petroleum Systems modeling indicate the existence of significant oil and gas resources.” said Jean Burrus, CEO, Beicip-Franlab.

The independent assessment covers approximately 2% (20,000 square kilometres) of Newfoundland and Labrador’s offshore area. Future license rounds scheduled through 2021 will follow the same process with detailed resource assessments being conducted and released prior to bid closing.

To download a copy of the resource assessment, visit nalcorenergy.com/exploration.