DRILLING ECONOMICS
1.2 Drilling Costs in Field Development
It is quite common for Drilling costs to make up 25-35% of the total development costs for an offshore oilfield (Table 1). The costs of the development will not be recovered for some time since in most cases production is delayed until the first few platform wells are drilled. These delays can have a serious impact on the economic feasibility of the development and operators are anxious to reduce the lead time to a minimum. the development wells are being drilled.
|
Cost ($ million) |
||
|
Platform structure |
230 |
|
|
Platform equipment |
765 |
|
|
Platform installation |
210 |
|
|
Development drilling |
475 |
|
|
Pipeline |
225 |
|
|
Onshore facilities |
50 |
|
|
Miscellaneous |
120 |
|
|
Total |
2075 |
|
Table 1 Estimated development costs (Brae field) |