Energy

September 10, 2013

DPR tasks vendors on adequate seismic data

By KUNLE KALEJAYE

The Department of Petroleum Resources, DPR, the regulator of Nigeria’s petroleum industry has tasked Multi-Client vendors to deploy state of the art technology in the design, acquisition and processing of data.

This is with a view to promoting regional studies and minimizing the need for postage-stamp proprietary seismic data coverage.

The Director, DPR, Mr. George Osahon, gave the hint in a keynote address titled: Maximising the Benefit of Multi-Client Data Libraries in Nigeria,” at the 2013 DPR Multi-Client Workshop in Lagos.

He noted that as Multi-Client data services gain prominence in Nigeria, there is the need for proper definition of roles and setting of ground rules for broader coverage and inclusion of new players.

Osahon explained that Multi-Client surveys and studies have played a leading role in the discovery of hydrocarbon and resources/reserves addition in Nigeria.

DPR also stressed the need for MC data service providers and their clients to ensure ethical use of data within the industry. It added that licensees and licensors should abide by their respective terms of agreements, while service providers should ensure the protection of their intellectual property rights in the third party license agreements.

The regulatory body also advice that operators and end users, especially indigenous operators, to patronize genuine sources of data, while taking time to understand the provisions of the agreements prior to signing. It added that data trade should only be done with DPR approved partners; otherwise it is likely to be illegal.

According to him, the advent of MC surveys in Nigeria with Mabon’s 1991 vintage 2D seismic data coverage of parts of the deepwater, opened up this frontier and led to the discovery of world-class fields.

He added that similar services from new providers played key roles in the licensing rounds of 2000, 2005 and 2007, stating that the interests generated in the blocks with quality seismic data on offer was overwhelming, just as the signature bonuses posted were competitive.

For service providers, Osahon explained that MC data provides ample opportunity for profitable returns on investment given the nature of the agreements on such projects.

To the operating companies, DPR boss said the licensing of relatively inexpensive seismic data set provides a fast track to meeting a substantial part of their respective work program obligations.

Benefits of MC data

Explaining the benefits of MC data, Osahon said: “This shortens the time for prospect evaluation and initial exploration and ultimately reducing the time to first oil. For the Government, it stimulates investors’ interest in the sedimentary basins and promotes successful licensing rounds.

“In order to actualize our aspirations for reserves addition, future MC data coverage would target two broad exploration areas: Deep plays onshore and offshore Niger Delta, and Inland basins including Benin, Benue, Bida, Chad and Sokoto, among others.

“This can only be done with good quality data and gaining a proper understanding of the regional geology and trends which would cut across concession boundaries. Operators need subsurface information far beyond their concession boundaries to build robust regional geological models for effective exploration. To this end, the role of MC data comes to fore.

“There is a need to replicate the success of deepwater Multi-Client data in the aforementioned areas. Service providers are enjoined to live up to the provisions of their agreements by commencing the project within a reasonable time in order to build confidence with the DPR and end users.

“It is also expected that MC vendors will deploy state of the art technology in the design, acquisition and processing of data with a view to promoting regional studies and minimizing the need for postage-stamp proprietary seismic data coverage.”