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DEA takes over operation of Ogarrio oil field

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Oilfield Technology,

Deutsche Erdoel Mexico, the affiliate of the German E&P company DEA Deutsche Erdoel AG, Pemex and the Mexican National Hydrocarbons Commission (CNH) have signed a licence contract for the onshore Ogarrio field in Mexico.

Following the signing on 6 March, Deutsche Erdoel Mexico is now the operator of the producing oil field, holding a 50% licence share. The company aims to increase production from the field within a short time.

Maria Moraeus Hanssen, CEO of DEA Deutsche Erdoel AG, said: “Ogarrio is our first operated asset in Mexico. We are very pleased, being also the first international oil and gas company, which will operate a producing onshore field in the country, since Pemex started its farm-outs. Being one of the first is of course challenging. I am very proud of our teams in Mexico and Germany that have demonstrated the operational expertise, competence and agility to manage the complex and comprehensive process towards the takeover of the operatorship right after our country entry and from scratch.”

“Mexico is strategic for us and our commitment to the country is long-term, with the aim of building-up a portfolio of attractive exploration, development and production assets,” Moraeus Hanssen added.

Current gross production from the Ogarrio field is about 10 000 boe/d. “We aim to increase the production from Ogarrio significantly already within the next year,” said Juan Manuel Delgado, President of Deutsche Erdoel Mexico. “To optimise the field performance and boost production short-term, we will carry out an extensive workover campaign for the existing wells. In addition, we plan drilling further development wells from early 2019 on.”

“We cooperate very closely with Pemex to ensure the know-how transfer and keep the operations running smoothly during the transition of operatorship. I thank the entire team of Pemex, our own experts in Mexico and the colleagues at our headquarters in Germany for the impressive work done already,” Delgado added. “Ogarrio offers the opportunity to apply our key competences and technical capabilities and we are looking forward to further strengthening cooperation with Pemex as our joint venture partner."

Ogarrio is located 107 km west of Villahermosa in the state of Tabasco, in the southeast of Mexico. It was discovered in 1957 and since then, 527 wells have been drilled. More than 100 wells are currently active producers. The main reservoirs are located in rocks of the Miocene and Pliocene. DEA Deutsche Erdoel AG acquired the 50% licence share and operatorship of the oilfield in an auction held by CNH in autumn 2017.

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