exploration and production - centrica · as centrica energy’s sole asset at the time of the...

Asset Book 2014

Exploration and Production

ContentsIntroduction 3Our story so far 5Our business outlook 7Regional overview 9 UK & the Netherlands 11 Norway 25 Canada 33 Trinidad and Tobago 41Glossary 46

Safety

High performance

Pioneering spirit

Our E&P story started in the East Irish Sea with the discovery of the Morecambe Bay gas field in 1974 by John Bains. As Centrica Energy’s sole asset at the time of the company’s birth in 1997, the Morecambe operation was the springboard for our growth into what is now an E&P business producing 230mboe/d across five countries on both sides of the Atlantic. Over 1,700 of my colleagues work every day with the united purpose to make our business aspirations a reality, delivering energy not just for today but well into the future. We are united by a common desire to create a culture across Centrica Energy (CE) which can be summed up in five words; safety, high performance and pioneering spirit. We call this the CE Way and it guides everything we do, ensuring that we do our jobs safely, or not at all, we demand the best from one another and we look for better ways to achieve our goals. The E&P world is one where you can ill afford to stand still if you want to maintain production, never mind grow it. We are working in a challenging environment where, across the globe, industry players see increasing costs from the supply chain, lower productivity in maturing basins and less than adequate capital project performance. Our strategy is focused on three regional businesses, which positions us well to compete against this backdrop. In Norway, we are building on proven exploration per-formance; in the UK and Netherlands we are focused on operational excellence and efficiency to maximise recovery from existing hubs; and in Canada, with our partner Qatar Petroleum International, we are exploiting the full potential of the acreage we have acquired. We recognise that choices have to be made to prioritise where we spend our capital, which over the next three years will be in the region of £2.7 billion. Continued financial discipline will ensure investment continues to be targeted to the best opportunities. Our Asset Book provides key data on our operations. As well as serving as a useful reference document, we hope it conveys the strength and diversity of the portfo-lio that Centrica Energy has built.

Sarwjit Sambhi Managing Director, Centrica Energy Exploration & Production

3Centrica Energy

4Centrica Energy Asset book 2014 Asset book 2014 IntroductionIntroduction

Our story so far

In the last three years, Centrica Energy has delivered on an ambitious growth agenda, increasing oil and gas production by 50%. Our total production in 2013 was 77.3million barrels of oil equivalent.

At the same time we’ve secured our position as a top gas producer on the UK Continental Shelf. Across the UK and the Netherlands we operate 42 fields, of which 23 are producing. We have a non-operated position in a further 33 fields, of which 22 are in production.

We have an established business with operated assets on the Norwegian Continental Shelf, where we have had an excellent exploration success rate. One of our six operated fields is already in production, and we have a non-operated position in 13 fields.

In Canada, we completed the C$1billion acquisition of Suncor’s conventional natural gas assets in 2013 along-side our partners Qatar Petroleum International. The deal means we are now a top ten gas producer in the Western Canadian Sedimentary Basin, operating around 7,000 wells.

In Trinidad & Tobago we have completed an extensive seismic programme and are reviewing the results of two appraisal wells.

5Centrica Energy Our story so far

6Centrica Energy Our story so farAsset book 2014 Asset book 2014

Our Business Outlook

Through 2013 we added 155mmboe in total to our 2P reserves, organically and through acquisition. We also have a number of attractive investment options, particularly in Norway and Canada, having increased our 2C resource base by 28% to 771mmboe over the year. However, with rising costs, in the UK in particular, we are targeting savings to keep unit lifting and other cash production costs flat over the next three years.

Against this backdrop, we are being increasingly selective in our investment, concentrating on the most attrac-tive opportunities. An increasing proportion is expected to be directed towards North America. Taking account of forward UK gas prices and higher costs, we are targeting organic investment in gas and oil projects of approximately £900million on average over the next three years. We expect near-term production to be in the range of 80-85mmboe per annum (220-233mboe/d). Our current level of committed capital expenditure in the short to medium term gives us flexibility to consider acquisition opportunities, if the economics are attractive and the assets provide a good fit with our existing portfolio, while potentially divesting non-core assets for value.

Our recent exploration performance has been strong, particularly in Norway with five successes in the last nine wells. Going forward we have a strong portfolio of prospects at all stages of the development hopper. In the UK and the Netherlands we operate or have an interest in 190 licences, and in Norway we have over 90. Across Canada and Trinidad and Tobago we have over 500mmboe of contingent resources. In Canada we own over one million acres of undeveloped leasehold, and in Trinidad and Tobago we are currently participating in four offshore licences.

Our Buisiness Outlook

* All information correct as of 12 May, 2014.

AMERICAS

NORWAY

UK & NL

TOTAL

20090

20

40

60

80

100

2010 2011 2012 2013 2014e 2015/ 16e

80 mmboe – 85 mmboe range

GLOBAL GAS & OIL PRODUCTION OUTLOOK (MMBOE/A)

7Centrica Energy

8Centrica Energy Asset book 2014 Our Buisiness OutlookAsset book 2014

Regional OverviewCentrica Energy has three core regions in UK & the Netherlands, Norway and Canada, as well as assets in Trinidad & Tobago. Each one has a portfolio of producing assets, developments and exploration potential.

9Centrica Energy

10Centrica Energy Asset book 2014 Asset book 2014Regional Overview Regional Overview

UK and the Netherlands Centrica Energy is one of the top gas producers on the UK Continental Shelf,

and the North Sea will continue to be a key part of our portfolio. We want to maximise value from our existing asset hubs, and we will continue to invest in the North Sea to help it reach its potential.

Our assets in the UK/NL range from Chestnut in the Central North Sea to Markham in the Netherlands and the hugely important Morecambe field in the East Irish Sea. We also have a number of significant developments in progress, including Cygnus and the continued expansion of the York area in the Southern North Sea, and we are building on our Markham hub through the Grove development. Our success in recent licensing rounds is also yielding exciting exploration prospects across the whole region, aimed at building on our existing production hubs or core areas to create value.

2013 PRODUCTION:

99.5(mboe/d) GAS %

83 0.1512.23(£/boe)

2013 DD&A RATE

11.55(£/boe)

2013 UNIT LIFTING AND OTHER CASH

PRODUCTION COSTS

TOTAL RECORDABLE INCIDENT FREQUENCY

UK & the Netherlands

12Centrica Energy

11Centrica Energy UK & the NetherlandsAsset book 2014Asset book 2014

NORTH CENTRAL NORTH SEA Centrica Energy has created considerable value from its operated assets in the Central Northern Sea and they continue to be material contributors to our portfolio. Our key hubs in the region are Trees, Chestnut and Armada, while we also have interests in the Alba, Brae and Beryl assets.

KEY HUBS

TreesThe Trees area comprises the Birch, Larch, Sycamore Central and Sycamore South fields, in which Centrica Energy has a 100% operated interest. Birch, Larch and Sycamore Central, 200km north east of Aberdeen, are subsea developments tied back to the Marathon-operated Brae platform. Sycamore South has been developed using an extended reach well from the CNR-operated Tiffany platform. Further development of Sycamore South, Larch and other potential prospects are currently under evaluation.

Status: Producing oil.

Production*: 1.3mboe/d

ChestnutChestnut was discovered in 1986 by Premier Oil. In 2003, Centrica Energy acquired a 70% interest in the field 200km north east of Aberdeen and became operator. It was brought on-stream in 2008 using the Hummingbird Spirit, the innovative Sevan Marine 300 floating production vessel. A further production

well was drilled in 2009, increasing production and reserves for the field. A side-track of the exist-ing water injection well was drilled in late 2011 to increase injectivity and reservoir pressure and has proven to be very successful. The contract for the Hummingbird Spirit has been extended until 2016, and studies are now underway to evaluate options to optimise production from the field.


Production: 3.1mboe/d

ArmadaArmada comprises three producing fields: Drake, Fleming, and Hawkins. These have been developed from a single platform, from which producing satellite fields Seymour and Maria have also been developed. Centrica Energy purchased an additional non-oper-ated interest in these assets from Total in 2012 – this increased the company’s interest in Armada from 11% to 23.6%, in Seymour from 18% to 43% and in Maria from 35% to 64%.

Status: Producing – Armada: gas/condensate, Seymour: oil and gas/condensate, Maria – oil and gas

Production: 3.1mboe/d net

OTHER ASSETS

AlbaThe producing facilities consist of the Alba North platform, 210km north east of Aberdeen. There are also two subsea tie-back well manifolds. The field is subject to Petroleum Revenue Tax.

Oil export is by tanker via an associated floating storage unit and Centrica Energy has a non-operated interest of 12.7% in the field, acquired in 2012.



BraeThe Brae complex 200km north east of Aberdeen comprises a number of fields developed using a combination of fixed platform and subsea tie-backs. Gas is exported through the SAGE (Scottish Area Gas Evacuation) system to the SAGE gas plant at St Fergus in Aberdeenshire. Centrica Energy has non-operated interests ranging from 5% to 8% in the fields in the area, and 4% in the SAGE pipeline. The field is subject to Petroleum Revenue Tax.

Status: Producing oil and gas.


BerylThe Skene and Buckland fields are subsea develop-ments 230km north east of Aberdeen, tied back to the Apache-operated Beryl complex. Skene is a gas condensate field, while Buckland is an oil producing field. Centrica Energy has a 33.33% non-operated share in both fields and the surrounding acreage.



.Aberdeen

026027 028

029

020

021022

013

014015

019

007008

006

012

009

005

016

025

0016

018

203

003002

0007

001

023

206

034

207

035

0030205

036033

Centrica Non-Operated Fields

Centrica Operated Fields

Centrica Licence Interest

Other Fields

0 10 20 30 405Miles

¯

Goldeneye

Armada

Appleton

Halley

Brae

Trees

Skene

North Central North Sea

* Unless stated otherwise, all production figures are 2014 estimates.

13Centrica Energy

14Centrica Energy UK & the NetherlandsAsset book 2014UK & the NetherlandsAsset book 2014

SOUTHERN NORTH SEAThe Southern North Sea plays a key role in Centrica Energy’s portfolio. Three significant developments have achieved first gas in the past three years: Ensign (2012), Seven Seas (2012) and York (2013), while first gas at Cygnus – the largest gas discovery in the Southern North Sea in 25 years – is targeted for the end of 2015.

Our key hubs in the Southern North Sea are Greater York, the A Fields and Cygnus, while our other assets in the region include the Western Area, Amethyst, Galleon and Ravenspurn North.

KEY HUBS

Greater YorkThe York gas field (York East, South and South East) is operated and 100% owned by Centrica Energy and utilises existing Centrica Storage Limited (CSL) infrastructure at the Easington Terminal. First gas was achieved in March 2013, and the hub, which is north of the Rough gas storage field, is an important part of our growing footprint in the region. The project involved building and installing a 2,750-tonne unmanned platform, fabricating and laying a 20-mile pipeline, and installing more than 50 pieces of major equipment at the Easington terminal.

There is additional upside potential in the surround-ing exploration acreage that was applied for and awarded in the 26th UK Licensing Round. York West has been added to the prospects inventory. The York platform has been constructed so it can receive gas from adjacent fields, creating a regional Centrica Energy-controlled hub and increasing throughput with further infill, exploration and third party projects to maximise value.

Status: Producing gas


A FieldsThe area comprises five operated fields for Centrica Energy – Ensign, Ann, Audrey, Alison and Annabel – and lies approximately 100km north east of the Norfolk coast. Audrey is the main gas processing and export hub for the operated fields, with gas exported via the LOGGS (Lincolnshire Offshore Gas Gathering System) pipeline. Ensign, a tight gas reservoir which had remained undeveloped due to its complex nature, was brought on stream in 2012. Potential infill opportunities around Audrey and Annabel are currently being worked on, and further opportunities around Ensign, Ann and Alison have also been identified.

The area also comprises four non-operated produc-ing gas fields - Victor, Saturn, Mimas and Galleon - in which Centrica Energy has an interest of 30%, 22%, 15% and 8.4% respectively. The Victor and Galleon fields are subject to Petroleum Revenue Tax.

Status: Producing gas fields


CygnusThe Cygnus field development, 160km north east of the North Norfolk coast, is a non-operated project (Centrica Energy equity 48.75%), which was sanc-tioned in August 2012. It is a core asset for Centrica Energy and we are actively engaged with operator GDF Suez on the project.

The Cygnus hub is made up of two drilling centres, Cygnus Alpha and Cygnus Bravo, for which 10-12 development wells are planned with drilling due to start in 2014. Gas will be exported to the Bacton Terminal for further processing via a new pipeline tied into the existing Eagles Transmission System.

There is significant upside potential in Cygnus and the surrounding acreage, and the development will serve as a hub for the wider area.

Centrica Energy and its partners plan to drill two wells yearly to explore and appraise the area, starting in 2014.

Status: Development project – production targeted late 2015

OTHER ASSETS

Western AreaThis area comprises three operated producing fields developed as subsea tie backs; Seven Seas, Eris and Ceres.

The Seven Seas gas field came online in October 2012. Gas from the field, 60km off the East Yorkshire coast, flows via Perenco’s West Sole Alpha platform before being processed onshore at the company’s Dimlington Terminal at Easington. Planning has started on a second well at the field.

Eris and Ceres, located north west of Dimlington, both came on stream in 2010.



AmethystCentrica Energy has a 9% non-operated interest in Amethyst, located north west of the Dimlington Terminal. Future well intervention and brownfield opportunities are currently being reviewed. The field is subject to Petroleum Revenue Tax.



Ravenspurn NorthRavenspurn North, where Centrica Energy has a 17.8% interest, is located north west of the Dimlington Terminal. The field is subject to Petroleum Revenue Tax.



Southern North Sea

048

042 043

049

E044

047

038037036

K

053

035

041

A

D

P052

039

J

054

050

046



Other Fields


0 10 20 30 405Miles

¯

Ravenspurn

Cygnus

Markham

A Fields

York

Amethyst

Western Area

Galleon

15Centrica Energy

16Centrica Energy Asset book 2014 Asset book 2014 UK & the NetherlandsUK & the Netherlands

M

M

M

MM

M

M

M

M

M

M

M

M

M

MM

M

M

M

M

IGAS

KEY IGASML018

EXL189 (Lingfield)

KEY

CUADRILLA

PEDL014

ALKANEEXL253

PEDL057

PL220

See Inset for details of this area

PICKERING

PL234CAYTHORPEVIKING

DL005

WADDOCKS CROSS

LOMER

HERRIARD

BALCOMBE ASHDOWN

BOLNEY

HEATHFIELD

CLEVELAND HILLS

RALPH CROSS

KIRKLEATHAM

CLOUGHTON

EGDONPEDL068

PEDL162REACH

PEDL163DART

PEDL161DART

PEDL177VIKING

PEDL165BOWLAND

PEDL193IGASPEDL191

ALKANE

PEDL184IGAS PEDL190

IGAS

PEDL189DART

PEDL187DART

PEDL188DART

PEDL186DART

PEDL185DART

PEDL185DART PEDL196

DARTPEDL198

DART

PEDL197CELTIQUE

PEDL195DART

PEDL199LOW

PEDL255ALKANE/NEWTON

PEDL208NEWTON


PEDL204NEWTON

PEDL201EGDON

PEDL211DART

PEDL212ADAMO

PEDL214UK METHANE

PEDL215UK METHANE

PEDL218ADAMO

PEDL216COASTAL PEDL217

COASTALPEDL219COASTAL

PEDL224SONOREX

PEDL226UK METHANE

PEDL228UK METHANE

PEDL227UK METHANE

PEDL225FAIRFAX

PEDL238NWE

PEDL237EGDON

PEDL232CELTIQUE

PEDL240NORTHERN

PEDL239NWE

PEDL239NWE

PEDL231CELTIQUE

PEDL234CELTIQUE

PEDL243CELTIQUE

PEDL236FAIRFAX

PEDL245NORTHDOWN

PEDL248MIDMAR

PEDL246MAGELLAN

PEDL247WEALD

PEDL247CUADRILLA

PEDL244CUADRILLA

PEDL235IGAS

PEDL233IGAS

PEDL251COASTALPEDL249

COASTAL

PEDL250COASTAL

PEDL252COASTAL

PEDL220COASTAL

NORTHERNPEDL256

DOE GREEN

POTTERIES

Parkside Vent

NOOKS FARM

PEDL147DART

PEDL148UK METHANE

PEDL149UK METHANE

Pontycymmer

WYTCH FARM

STOCKBRIDGE

SINGLETON

HUMBLY GROVE

ALBURY

STORRINGTON

WAREHAM

AIRTH

HORNDEAN

MALTON

PALMERS WOOD

GOODWORTH

ELSWICK

BLETCHINGLEY

MARISHES

REMPSTONE

KIRBY MISPERTON

BROCKHAM

ARNSFARM

LIDSEY

BELVOIR

COWDEN

ESKDALE

LOCKTON

LONG CLAWSON

CAYTHORPE

LINGFIELD

AVINGTON

KINOULTON

BARGEDDIE

KIMMERIDGE

GODLEY BRIDGE

BAXTERS COPSE

CROPWELL BUTLER

MILTON OF BALGONIE

PERENCO

CAITHNESS

EGDON

MOORLAND

ADAMO

NORTHERN

DART

DART

DART

HUMBLY GROVEGAS STORAGE

IGAS

EGDON

DART

SEVENSEA

VIKING

EUROPA

IGAS

VIKING

MAGELLAN

IGAS

IGAS

SONOREX

IGAS

NORTHERN

PERENCO

IGAS

GREENPARK

IGAS

VIKING

PERENCO

VIKING

IGAS

IGAS

CUADRILLA

IGAS

IGAS

IGAS

BIOGAS

IGAS

BIOGAS

IGAS

VIKING

CUADRILLA

IGAS

VIKING

ALKANE

CUADRILLA

IGAS

ALKANE IGAS

DL002

ALKANE

IGAS

IGAS

UK GAS

UK GAS

ALKANE

PEDL068

PEDL133

PL089

PEDL158

PEDL120

PL090

PEDL159

PEDL126

PEDL146

AL010

PEDL100

PL081

PL116

PL079

PEDL070

PEDL141

PEDL137

PEDL143

PL080

PEDL078

PEDL078

PEDL157

EXL273

PEDL155

PL233

PL182

PL077

PEDL145

PEDL021

PL211

PL240

PEDL040

ML005

AL006

PL205

PEDL116

PEDL056

ML021

EXL276

EXL203

PL249

EXL269

EXL189 (Cowden)

PEDL107

PL080

DL004

EXL269

PL259

PEDL056

PEDL040

PL235

PL220

PL241

EXL253

PEDL014

TL

SJ

SK

SP

SE

ST

NS

SU

NY

NN

SO

TQ

NG

NT

NH

NM

TF

NJ

SN

NR

NO

NC

NX

NB

NZ

SX

SH

TM

ND

TR

TG

SY

SW

SZ

NU

NW

NK

TA

TV

SS

Llay Vent

Old BostonVent

HIGHLAND

DEVON

CUMBRIA

POWYS

KENT

NORFOLK

ESSEX

SUFFOLK

NORTH YORKSHIRE

ABERDEENSHIRE

HAMPSHIRE

FIFE

CORNWALL

MORAY

DORSET

ANGUS

SOMERSET

WILTSHIRE

DURHAM

NORTHUMBERLAND

ARGYLL AND BUTE

STIRLING

DUMFRIES AND GALLOWAY

SHROPSHIRE

SCOTTISH BORDERS

LANCASHIRE

DERBYSHIRE

CHESHIRE

PERTHSHIRE AND KINROSS

SURREY

OXFORDSHIRE

CAMBRIDGESHIRE

STAFFORDSHIRE

WEST SUSSEX

GLOUCESTERSHIRE

HEREFORDSHIRE

EAST SUSSEX

LEICESTERSHIRE

WARWICKSHIRE

CARMARTHENSHIRE

NORTHAMPTONSHIRE

CARDIGANSHIRE

NORTH AYRSHIRE

HERTFORDSHIRE

PEMBROKESHIRE

WORCESTERSHIRE

GREATER LONDON

LEEDS

EAST AYRSHIRE

SOUTH LANARKSHIRE

BUCKINGHAMSHIRE

BEDFORDSHIRE

SOUTH AYRSHIRE

CAERNFONSHIRE AND MERIONETHSHIRE

DENBIGHSHIRE

WREXHAM

MONMOUTHSHIRE

EAST LOTHIAN

ARGYLL AND BUTE

ISLE OF MAN

KIRKLEES

ABERCONWY AND COLWYN

RUTLAND

FLINTSHIRE

WEST BERKSHIRE

FALKIRK

ISLE OF ANGLESEY

SWANSEA

SHEFFIELD

BRADFORD

BARNSLEY

MIDLOTHIAN

WIRRAL

WEST LOTHIAN

ISLE OF WIGHT

SWINDONBRIDGEND

CAERPHILLY

NORTH LANARKSHIRE

BIRMINGHAM

WESTERN ISLANDS COUNCIL

NORTH SOMERSET

ARGYLL AND BUTE

SEFTON

SOLIHULL

NEATH AND PORT TALBOT

MILTON KEYNES

SOUTH GLOUCESTERSHIRE

NEWPORT

ARGYLL AND BUTE

DARLINGTON

CARDIFF

INVERCLYDE

ARGYLL AND BUTE

MEDWAYMEDWAY

THURROCK

RENFREWSHIRE

WOKINGHAM

DUDLEY

TORBAY

WARRINGTON

TORFAEN

WALSALL

TELFORD AND WREKIN

CITY OF EDINBURGH

CITY OF PETERBOROUGH

THE VALE OF GLAMORGAN

ST HELENS

GATESHEAD

POOLE

LIVERPOOL

CITY OF ABERDEEN

SUNDERLAND

COVENTRY

BATH AND NORTH-EAST SOMERSET

TAMESIDE

STOCKTON-ON-TEES

SALFORD

REDCAR AND CLEVELAND

STOCKPORT

CITY OF GLASGOW

TRAFFORD

MEDWAYMEDWAY

CLACKMANNANSHIRE

SANDWELL

LUTON

HARTLEPOOL

CITY OF DERBY

READING

CITY OF DUNDEE

SLOUGH

LINCOLNSHIRENOTTINGHAMSHIRE

EAST RIDING OF YORKSHIRE

YORK

WAKEFIELD

RHONDDA, CYNON, TAFF

CITY OF BRISTOL

EAST RENFREWSHIRE

MANCHESTER

KNOWSLEY

WINDSOR AND MAIDENHEAD

DUMBARTON AND CLYDEBANK

MERTHYR TYDFIL

EAST DUMBARTONSHIRE

BLAENAU GWENT

HALTON

BRACKNELL FOREST

NEWCASTLE UPON TYNE

HALTON

NORTH TYNESIDE

CITY OF PLYMOUTH

BRIGHTON AND HOVE

WOLVERHAMPTON

CITY OF LEICESTER

CITY OF STOKE-ON-TRENT

SOUTH TYNESIDE

CITY OF NOTTINGHAM

BOURNEMOTH

BLACKPOOL

MIDDLESBROUGH

CITY OF PORTSMOUTH

WESTERN ISLANDS COUNCIL

CITY OF SOUTHHAMPTON

SOUTHEND-ON-SEA

ISLE OF ANGLESEY

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20000 20000

30000 30000

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100000 100000

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960000 960000

970000 970000

Petroleum Act 1998

Areas currently under Licence

SCALE 1:900,000

For further details on the UK onshore, contact either:Toni Harvey tel: 0300 068 6037, email: [email protected] Hawkins tel: 0300 068 6038, email: [email protected]

Index to National Grid numbers09

08

07

06

05

04

03

02

01

00

19

18

17

16

15

14

13

12

11

10

29

28

27

26

25

24

23

22

21

20

39

38

37

36

35

34

33

32

31

30

49

48

46

47

45

44

43

42

41

40

59

58

57

56

55

54

53

52

51

50

69

68

67

66

65

64

63

62

61

60

79

78

77

76

75

74

73

72

71

70

89

88

87

86

85

84

83

82

81

80

99

98

97

96

95

94

93

92

91

90

Gas Field

Oil Field Oil Discovery

Gas Discovery

Mines Gas Developments (active)

0 10 20 30 40 50 60 70 80 90 100 110 Kms

0 10 20 30 40 50 60 70 Miles

M

M

MM

M

MM

M

M

M

M

MM

M

M

M

CAUNTON

PEDL005

PEDL005

EGDON

EGDON

DART

EXL288

DART

EXL288

(Area 1 Fenwick)(Area 1 Rest)

(Area 1 Rest)(Area 2)

(Area 2)

PEDL176DART

PEDL176DART PEDL183

RATHLIN

PEDL179DART

PEDL174DART

PEDL178DART PEDL182

EGDON

PEDL173DART

PEDL180EUROPA PEDL241

EGDON

PEDL181EUROPA

PEDL253EGDON

PEDL169ALKANE

PEDL200DART

PEDL207DART

PEDL210DART PEDL210

DART

PEDL210DART

PEDL210DART

PEDL206EGDON

PEDL208NEWTON


PEDL202ALKANE

PEDL203EGDON

PEDL199LOW

PEDL209BLACKLAND

ALKANEPEDL011

ALKANEPEDL011

ALKANEPEDL011

ALKANEPEDL011

ALKANEPEDL011

COURAGEEXL141

SE TA

SK TF

Bilsthorpe Vent

Newmarket Vent

CIRQUEEXL294

Prince of Wales Vent

Cadeby Vent

PEDL001ALKANE

ALKANEPEDL001

ALKANE

EXL288(Area 1 Trumfleet)

Askern Vent

EUROPA

IGAS

IGAS

EGDON

DART

ALKANE

DART

SCOTTISH

DART

IGAS

DART

COURAGE

WINGAS

DART

ALKANE

C.E.

IGAS

COURAGE

DART

IGAS

SCOTTISH

IGAS

DART

COURAGE

COURAGE

EGDON

IGAS

ALTAQUEST

IGAS

IGAS

ALKANE

IGAS

DART

ONSHORE IGAS

EUROPA

ALKANE

IGAS

IGAS

BLACKLAND PA

DART

ALKANE

ALKANE

ALKANE

ALKANE

ALKANE

ALKANE

ALKANE

ALKANE

ALKANE

ALKANE

ALKANE

ALKANE

HARWORTH

ALKANE

ALKANE

ALKANE

ALKANE

ALKANE

EUROPA OIL & GAS (WEST FIRSBY) LTD

ALKANE

BLACKLAND PA

PEDL011

PEDL150

PEDL140

PL162

PL179

PEDL146

PEDL139

PEDL130

PEDL006

EXL288

PEDL043

EXL294

PL162

PL161

EXL290

ML004

ML003

PEDL006

PEDL090

PEDL012

PEDL005ML004

EXL141

PEDL090

PL161

EXL141

ML007

ML006

ML004

DL001

AL009

PEDL118

EXL288

PL215

PL213

DL003

PL199

PL199

PL179

PL178

EXL288

EXL250

PEDL001

PEDL001

PEDL001

PEDL001

PEDL037

PEDL037

PEDL037

PEDL001

PEDL037

PEDL037

PEDL037

PEDL037

PEDL001

PEDL001

PEDL001

PEDL001

PEDL037

PL215

PEDL037

Markham Vent

Whitwell Vent

Wheldale Vent

Kilnhurst Vent

Hickleton Vent

MonkBrettonVent

Old Mill Lane Vent

Shirebrook Vent

Bevercotes Vent

Annersley Bentinck Vent

BECKINGHAM

WELTON

HATFIELD

KEDDINGTON

EGMANTON

SALTFLEETBY

WHISBY

HATFIELD

COLD HANWORTH

TRUMFLEET

EAKRING

CALOW

GLENTWORTH

BRIGG

CORRINGHAM

STAINTON

EVERTON

TORKSEY

REEPHAM

BROUGHTON

SCAMPTON

KELHAM HILLS

NETTLEHAM

BECKERING

FISKERTON AIRFIELDNEWTON-ON-TRENT

CROSBY WARREN

WEST FIRSBY

IRONVILLE

SCAMPTON NORTH

FARLEYS WOOD

EAST GLENTWORTH

BOTHAMSALL

HEMSWELL

SOUTH LEVERTON

KIRKLINGTON

LINCOLNSHIRE

NOTTINGHAMSHIRE

EAST RIDING OF YORKSHIRE

DONCASTER

NORTH LINCOLNSHIRE

DERBYSHIRE

NORTH YORKSHIRE

YORK

LEEDS

ROTHERHAM

WAKEFIELD

BARNSLEY

SHEFFIELD

NORTH-EAST LINCOLNSHIRE

KINGSTON-UPON-HULL

440000

440000

445000

445000

450000

450000

455000

455000

460000

460000

465000

465000

470000

470000

475000

475000

480000

480000

485000

485000

490000

490000

495000

495000

500000

500000

505000

505000

510000

510000

515000

515000

520000

520000

525000

525000

530000

530000

535000

535000

540000

540000

545000

545000

550000

550000

350000 350000

355000 355000

360000 360000

365000 365000

370000 370000

375000 375000

380000 380000

385000 385000

390000 390000

395000 395000

400000 400000

405000 405000

410000 410000

415000 415000

420000 420000

425000 425000

430000 430000

435000 435000

440000 440000

445000 445000

450000 450000

0 5 10 15 20 25 30 35 40 Kms

0 5 10 15 20 25 Mls

SCALE 1:250,000

M

Onshore Licensing1 March 2014

Coal Bed Methane Field

Gas Storage Location

County and Unitary Authority Boundaries

© Crown copyright 2014.Contains Ordnance Survey data © Crown Copyright and database right 2014.You may re-use this information (not including logos)free of charge in anyformat or medium, under the terms of the Open Government Licence.To view this licence, visit www.nationalarchives. gov.uk/doc/open-government-licence/or write to the Information Policy Team, The National Archives, Kew, LondonTW9 4DU, or email: [email protected] enquiries regarding this publication should be sent to us [email protected] document is also available from our website athttps://www.gov.uk/oil-and-gas-onshore-maps-and-gis-shapefiles

110

113

109

112




Other Fields0 4 8 12 162

Miles

¯

Rhyl

South Morecambe

North Morecambe

Knox

Lowry

Bains

! Barrow Terminals

Bowland ShaleMorecambe Bay

MORECAMBE BAY The combined fields of Morecambe Bay remain a cornerstone asset for Centrica Energy, offering unique flexibility, and the area continues to provide a significant portion of the UK’s gas supply. Since 2009, Centrica Energy has embarked on an explo-ration and appraisal programme in Morecambe Bay to establish the remaining potential of the area. Five exploration and appraisal wells have been drilled and the first 3D seismic survey over the South Morecambe field in over 30 years has been com-pleted. In March 2013, the Rhyl field was brought into production, further maximising the use of the existing infrastructure, while we have development options at Knox and Lowry. We also operate the Bains field, named after the late John Bains in recognition of his work to discover the huge gas reserves in Morecambe Bay. The hub is now focused on deliv-ering three one-well subsea tie-back developments by 2016, and exploring the remaining exploration potential underneath the South Morecambe field.

South MorecambeThe field was originally discovered in 1974, with first production in 1985. South Morecambe, 39km west of Barrow-in-Furness, is entirely owned and operated by Centrica Energy.

The field has been developed using seven fixed jacket platforms and over 35 development wells. Gas is exported via a 36” dedicated pipeline to the Barrow Gas Terminals, which are also operated by Centrica Energy.

South Morecambe was the company’s first pro-ducing field, and ongoing processing and interpre-tation of seismic surveys will support decisions on

extending its life further with potential infill drilling. Work on a well intervention programme is also underway to maximise near-term production. The field is subject to Petroleum Revenue Tax.

Status: Producing gas.


North MorecambeNorth Morecambe was discovered in 1976, with first gas in 1994. It is entirely owned and operated by Centrica Energy.

The field, which is adjacent to the South Morecambe field, also acts as the main transportation hub for the area. The Rivers, Millom and Dalton fields, operated by ConocoPhillips, are tied back to the normally-un-manned North Morecambe platform.

There is potential for further satellite developments to produce through this complex and a well interven-tion programme is ongoing to maximise near-term production from the field.

Status: Producing gas field and transportation/pro-cessing hub.


RhylRhyl was discovered in 2009 by Centrica Energy and brought into production in March 2013. Rhyl, which is north of the North Morecambe field, has been devel-oped as a two-well subsea tie-back to the North Morecambe platform.

In 2013 Centrica Energy successfully drilled the Whitehaven appraisal well, discovering further gas reserves 3km to the south of the Rhyl field. The Whitehaven well is currently awaiting a final invest-ment decision for development.



OTHER ASSETSBowland ShaleIn June 2013, Centrica Energy signed an agreement with Cuadrilla Resources to acquire 25% of its PEDL 165 exploration licence and 22.75% of its EXL 269 licence for the Bowland shale area in Lancashire, North West England. The licence itself covers an area in the region of 1,200km2 near Blackpool on the Fylde coast. EXL 269 is contained with PEDL 165 and covers the Elswick gas field, a conventional gas field which came on stream in 1997 and is currently not producing.

Further drilling will be required to better understand the commercial viability of the discovery, but initial data suggests that there could be up to 200 trillion cubic feet of gas within the licence area.

Status: Exploration project.


18Centrica Energy Our story so farAsset book 2014 Asset book 2014 UK & the NetherlandsUK & the Netherlands

.

. Hoofddorp

Den Helder

F

L

E

K

P

G

M

A

Q

049

G

044

C

053

B038

B

D

054

5505

J

039 D

H

050

O




Other Fields

0 10 20 30 405Miles

¯

Markham

F3-FANETHERLANDS Centrica Energy operates two key hubs in the Dutch North Sea, the Greater Markham Area (GMA) and F3-FA, from its Hoofddorp office in the Netherlands.

Greater Markham Area (GMA)The GMA hub comprises of the Markham, Chiswick, Grove and Kew fields. Centrica Energy also has non-operated interests in the Windermere and J3C fields within the GMA. The Markham J6-A platform serves as the processing hub for the GMA fields.

Markham was discovered in 1987 by Ultramar and production began in 1992. Centrica Energy acquired 37.5% equity in the unitised field through the Venture transaction in 2009. All production is transported via the Westgastransport (WGT) pipeline system to the Den Helder gas processing plant.

Chiswick was discovered in 1984, with Centrica Energy acquiring 100% equity in the field through the Venture transaction. The field was developed using hydraulic fracturing of long horizontal wells and came on stream in 2007. There are now four operational wells.

Grove was discovered in 1971, with Centrica Energy becoming the operator when it acquired an 85% stake through the acquisition of Newfield Petroleum in 2007. The company acquired a further 7.5% from Sojitz in 2008. The field was brought on stream in 2007.

Kew was discovered in 1988 by Ultramar and Centrica Energy acquired 100% equity in the field in 2006. An appraisal well was drilled in 2009, with a further development well drilled in 2013. The subsea well is tied back to the Chiswick platform and pro-duction commenced in January 2014.



F3-FAThe F3-FA field was originally discovered in 1971 by NAM, but not developed due to its geological com-plexity and challenging economics. Centrica Energy acquired operatorship through the Venture trans-action and the company now holds a 58% working interest in the field. The F3-FA field came on stream in January 2011 via the largest self-installing platform in the North Sea, and current production from the field comes via a single development well. Gas from the field is transported via the Northern Offshore Gas Transport (NOGAT) pipeline to the Den Helder gas processing plant. F3-FA has been named the richest well in the Dutch offshore sector for two consecutive years.



Netherlands

19Centrica Energy

20Centrica Energy Asset book 2014 Asset book 2014 UK & the NetherlandsUK & the Netherlands

ASSET CE E&P %

OPERATOR STATUS PRODUCTION(actual 2013, mboe net)

RESERVES(end 2013, net mboe)

NORTH CENTRAL NORTH SEA

Greater Kittiwake Area 899 3,759 2P

- Kittiwake 0.00 CE E&P Sold 28/02/14 61

- Goosander 0.00 CE E&P Sold 28/02/14 341

- Grouse 0.00 CE E&P Sold 28/02/14 313

- Mallard 0.00 CE E&P Sold 28/02/14 183

Trees Area 325 1,750 2P

- Birch 100.00 CE E&P Producing 161

- Larch 100.00 CE E&P Producing 14

- Sycamore 100.00 CE E&P Producing 150

Chestnut Area 1,661 3,330 2P

- Chestnut 69.88 CE E&P Producing 1,661

MORECAMBE BAY

South Morecambe Area

10,979 50,963 2P

- South Morecambe 100.00 CE E&P Producing 10,979

- Bains 86.80 CE E&P Currently shut in 0

North Morecambe Area

1,814 24,501 2P

- North Morecambe 100.00 CE E&P Producing 1,233

- Rhyl 100.00 CE E&P Producing 581

SOUTHERN NORTH SEA

A Fields Area 1,523 10,008 2P

- Annabel 100.00 CE E&P Producing 637

- Audrey 100.00 CE E&P Producing 33

- Ann/Alison 100.00 CE E&P Currently shut in 0

- Ensign 100.00 CE E&P Producing 854

ASSET CE E&P %



Western Area 4,198 22,230 2P

- Eris 54.00 CE E&P Producing 282

- Ceres 90.00 CE E&P Producing 754

- Seven Seas 90.00 CE E&P Producing 808

- York 100.00 CE E&P Producing 2,355

NETHERLANDS

Greater Markham Area 7,010 48,311 2P

- Markham 37.53 CE E&P Producing 159

- Chiswick 100.00 CE E&P Producing 5,170

- Grove 92.50 CE E&P Producing 1,681

- Kew 100.00 CE E&P Producing (Jan 2014)

0

Nothern Fields 2,011 4,850 2P

- F3-FA 58.00 CE E&P Producing 2,011

UK/NL OPERATED ASSETSPRODUCING ASSETS PRODUCING ASSETS



ASSET CE E&P %



NORTH CENTRAL NORTH SEA

Armada Area 2,037 1,871 2P

- Armada 23.58 BG Producing 890

- Maria 64.00 BG Producing 605

- Seymour 43.00 BG Producing 542

Beryl Area 594 1,927 2P

- Skene 33.33 ExxonMobil Producing 452

- Buckland 33.33 ExxonMobil Producing 142

Brae Area 754 3,607 2P

- Brae West 8.00 Marathon Producing 219

- Brae NSC 8.00 Marathon Producing 189

- Brae East 7.32 Marathon Producing 280

- Brae Beinn 8.00 Marathon Producing 19

- Braemar 5.00 Marathon Producing 47

- SAGE 4.00 Mobil Pipeline & Terminal

NA

Other Areas 784 5,703 2P

- Alba 12.65 Chevron Producing 751

- Halley 40.00 Talisman Producing 33

SOUTHERN NORTH SEA

A Fields Area 1,023 4,567 2P

- Saturn 22.00 ConocoPhillips Producing 532

- Victor 30.00 ConocoPhillips Producing 280

- Galleon 8.40 Shell Producing 174

- Mimas 15.00 ConocoPhillips Producing 37

Western Area 654 1,905 2P

- Ravenspurn North 17.75 BP Producing 363

- Babbage 0.00 Eon-Rhurgas Sold 09/09/13 158

- Amethyst E&W 8.95 BP Producing 133

ASSET CE E&P %



Southern Area 23 41 2P

- Davy East 40.00 Perenco Producing 14

- Thames 10.00 Perenco Shut in 9

NETHERLANDS

Greater Markham Area 41 181 2P

- Windermere 20.00 RWE Dea Producing 16

- J3aC 4.03 Total Producing 24

ASSET CE E&P %

OPERATOR STATUS KEY MILESTONES

(anticipated year)

2C RESOURCES(net mboe)

SOUTHERN NORTH SEA

- Cygnus 48.75 GDF Current Project First Prod 2015 61,862 (inc. 52,662 2P)

- Olympus 100.00 CE E&P Development Option 5,321 2P

- Annabel Infill 100.00 CE E&P Development Option First Prod 2015 9,000

- York 100.00 CE E&P Appraisal 12,600

-Ravenspurn North 17.75 BP Development 4,700

- Pegasus 55.00 CE E&P Discovery 5,900

- Humphrey 40.00 GDF 1,200

CENTRAL AND NORTHERN NORTH SEA

- Chestnut Infill 69.88 CE E&P Development Option 10 800

MORECAMBE BAY

- Lowry 100.00 CE E&P 2,900

- Knox 100.00 CE E&P 4,600

NETHERLANDS

- Grove infill 92.50 CE E&P Development Option 8,988

- Grove NE 92.50 CE E&P Development Option 9,512

PRODUCING ASSETS PRODUCING ASSETS

DEVELOPMENT ASSETS

UK/NL NON-OPERATED ASSETS



NorwaySince entering Norway in 2006, Centrica Energy has built an established business on the Norwegian Continental Shelf. We have had several years of successful growth through acquisitions, discoveries and a high number of licence awards and now have a portfolio of operated and non-operated assets.

Centrica Energy has non-operated interests in major Norwegian fields such as Statfjord and Kvitebjørn, and also operates the Vale field with 50% equity. We have an interest in more than 60 licences, and we are currently participating in a seven-well drilling programme, of which three are operated by Centrica Energy.

Phot

o: O

yvin

d H

agen

, Sta

toil

13.95(£/boe)

2013 DD&A RATE65.5 (mboe/d) GAS %

54 14.30(£/boe)


PRODUCTION COSTS

2013 PRODUCTION:

1.11TOTAL RECORDABLE

INCIDENT FREQUENCY

Norway

25Centrica Energy

26Centrica Energy Asset book 2014 Asset book 2014 Norway

PRODUCING ASSETS

Vale The Vale field is the first producing field operated by Centrica Energy on the Norwegian Continental Shelf. The operatorship was transferred to Centrica Energy in 2012.

Vale, around 80km west of Stavanger, is a gas/con-densate field developed via a single subsea well tied back by a 16km pipeline to the Heimdal Gas Centre. Production of Vale commenced in 2002, and the initial life of the field was anticipated to be 10 years. The authorities have recently given consent for a lifetime extension for Vale to June 2021.

In 2013 Centrica Energy divested 25.80% of its interest to LOTOS, and now holds 50% equity in the Vale field.

Status: Producing gas/condensate


Heimdal Heimdal was discovered in 1972 and production started in 1986. The Heimdal field and facilities, around 80km west of Stavanger, are currently oper-ated by Statoil. In 2000, the facilities were converted to enable processing of third party gas and now all production comes from third party fields. The Heimdal facilities consist of two platforms, a riser platform and the Heimdal Gas Centre. The Heimdal Gas Centre is an integral part of the Gassled gas export system and is connected to landing points both in the UK (St. Fergus) and Europe. Condensate is exported to Brae and on to Cruden Bay in the UK via the Forties Pipeline System.

Centrica Energy acquired Marathon’s equity in Heimdal, Skirne and Peik in 2008 and further increased its equity in 2012 through its acquisition from Statoil. After the divestment to LOTOS in 2013,

Centrica Energy’s Heimdal share was reduced from 33.8% to 28.8%. From late 2014, the Heimdal facili-ties will also process rich gas from the Valemon field.

Status: All Heimdal production wells were shut in November 2011. The satellite fields are all producing.

Statfjord Statfjord, 180km west of Sognefjord in Norway, was discovered by Mobil in 1974 and has been producing since 1979. By the end of 2013, the field had pro-duced in excess of 5billion barrels of oil equivalent.

The field is operated by Statoil and Centrica Energy currently owns a 34.3% interest in the field as well as interests in the Statfjord Nord, Statfjord Øst and Sygna satellite fields. The lifetime of Statfjord A has been extended to 2020 from 2017. The field straddles the UK and Norwegian sectors of the North Sea, and the UK area of the field is subject to Petroleum Revenue Tax.

Status: Producing oil & gas


Kvitebjørn The Kvitebjørn field is a high pressure, high temper-ature field that was discovered by Statoil in 1994, with production commencing in 2004. It is located in the Viking Graben, east of the Gullfaks fields, and Centrica Energy acquired a 19% non-operated inter-est from Statoil in 2012.

Kvitebjørn has been developed with a combined processing, drilling and living quarters platform. Condensate is exported via a dedicated 16” pipeline to the Troll oil pipeline and then on to the Mongstad Terminal. Rich gas is exported via a dedicated 26” pipeline to Kollsnes for gas and NGL processing and is exported from Kollsnes to the UK and Europe. Additional infill drilling is ongoing and will include one well at the Kvitebjørn East reservoir segment. The outcome of the well may trigger further development of the Kvitebjørn East structure.

Status: Producing gas and condensate.


Stavanger

022

003

009

00180017

0016

00260025

0027

00310030

0010

0009

0008

016

0007

0019

0032

0035

0034

211

002

0011

008

210

015

0015

0036

021

0024

0020

0028

Centrica Non-Operated fields


Other Fields


0 10 20 30 405Miles

¯

Valemon

Peik

Frigg

Heimdal

Vale

Kvitebjørn

Statfjord

Norway

27Centrica Energy

28Centrica Energy Asset book 2014 Asset book 2014 NorwayNorway

DEVELOPMENTSValemon Valemon is a high pressure, high temperature development operated by Statoil. Centrica Energy acquired a 13% non-operated interest from Statoil in 2012. The development concept is a fixed steel production platform with a simplified separation process, with the platform remotely controlled from the nearby Kvitebjørn field or from shore.

Condensate will be exported to Kvitebjørn, while rich gas will be exported via the Huldra/Heimdal system and processed at Heimdal.

The Valemon North exploration well was spudded in September 2013, with results expected in 2014.

Status: Development project - first production planned for early 2015.

Maria The Maria field was discovered by Wintershall in 2010. The exploration well in Maria South encoun-tered light oil, and the Maria North structure was subsequently successfully appraised in 2012. Maria, southeast of the Åsgard field in the Norwegian Sea, is operated by Wintershall (50%), while Centrica Energy is a partner with 20%.

The field development plan and final investment deci-sion are both scheduled for late 2014.

Status: Development project – first production expected in 2018 subject to final investment decision.

Butch Centrica Energy is the operator of the Butch licence with a 40% interest. An exploration well at Butch, located 220km off the Norwegian coast, was drilled in the second half of 2011.

Further drilling is currently ongoing to prove up addi-tional volumes on the Butch structure, and concept select is planned for late 2014.

Status: Development project - first production expected in 2018 subject to final investment decision.

Frigg Gamma Delta (FGD) Centrica Energy acquired 40% of PL442 from Statoil in 2012 and the block contains two undeveloped dis-coveries, Gamma and Delta, collectively called Frigg Gamma Delta (FGD). The FGD field is predominantly an oil discovery that is located north east of Heimdal.

Further studies of the FGD development in 2013 increased the expected recoverable volumes and reduced the projected capital expenditure, making a standalone development of the FGD field a poten-tially attractive option.

Located in an area with several smaller oil and gas discoveries, Centrica Energy is also exploring the potential upsides of a coordinated development of one or more of the additional discoveries alongside FGD. Concept selection is planned for 2015, followed by a field development plan and final investment decision in 2016.

In 2013 Centrica Energy divested 10% of its interest in FGD to LOTOS, but remains operator of the field.

Status: Development project

Fogelberg Fogelberg was Centrica Energy’s first operated exploration well in Norway. It was drilled in 2010 and discovered high pressure, high temperature gas condensate. Centrica Energy has a 40% interest in Fogelberg, located 18km north of Åsgard and 30 km south of Heidrun. A concept select decision is expected mid-2014.

Status: Development project - first production expected in 2019 subject to final investment decision.

29Centrica Energy Asset book 2014 Norway

NORWAY ASSETS

ASSET CE E&P % OPERATOR STATUS PRODUCTION(actual 2013, mboe net)


STATFJORD AREA 10,014 79,141 2P

- Statfjord UK 100.00 CE E&P Producing 3,991

- Statfjord Norway 23.12 Statoil Producing 5,396

- Statfjord Øst 11.56 Statoil Producing 311

- Statfjord Nord 23.12 Statoil Producing 266

- Sygna 12.71 Statoil Producing 49

HEIMDAL AREA 2,858 6,476 2P

- Heimdal 28.80 Statoil Sold 30/12/13 0

- Vale 50.00 CE E&P+ (Statoil)

Producing 1,599

- Skirne 0.00 Total Sold 30/12/13 1,049

- Atla 0.00 Total Sold 30/12/13 211

KVITEBJØRN 11,039 75,468 2P

- Kvitebjørn 19.00 Statoil Producing 11,039

ASSET CE E&P %

OPERATOR STATUS KEY MILESTONES(anticipated year)

2C RESOURCES

(net mboe)

KVITEBJØRN AREA 49,709 (inc. 21,408 2P)

- Valemon 13.00 Statoil Current Project First prod 2015 21,408 2P

- Kvitebjørn Øst 19.00 Statoil Current Project First prod 2015 14,300

- Kvitebjørn second stage compression

19.00 Statoil Development Option

6,800

- Nokken 19.00 Statoil Discovery 7,200

OTHER AREAS 111,320

(inc. 49,220 2P)

- Maria 20.00 Wintershall Development Option

FID 2014 28,680 2P

- Butch 40.00 CE E&P Recent Discovery Discovered 2011 20,538 2P

- Frigg Gamma Delta 30.00 CE E&P Development Option

29,800

- Fogelberg 28.00 CE E&P Development Option

FID 2017 23,800

- Rind 30.00 Total Development Option

8,500

PRODUCING ASSETS DEVELOPMENTS

31Centrica Energy

32Centrica Energy Asset book 2014 Asset book 2014 NorwayNorway

Canada is Centrica Energy’s newest region and is experiencing significant growth after the transformational acquisition of Suncor Energy’s Canadian onshore conventional assets. Centrica Energy entered into a partnership with Qatar Petroleum International (QPI) to acquire the assets with Centrica Energy holding a 60% interest, making us a top ten gas producer in the Western Canadian Sedimentary Basin.

Over the last three years, our Canadian business has grown from a predominantly shallow gas producer to having a broad portfolio of assets which reside within five large, mainly operated regions; South, North, Hanlan-Robb, Foothills and Peace River Arch.

In May 2014, Centrica agreed to sell 40% of its wholly owned Canadian natural gas business to QPI, fully aligning the partners’ interests in the region.

6.20(£/boe)


90 11.29(£/boe)


PRODUCTION COSTS

2013 PRODUCTION:

0.14TOTAL RECORDABLE

INCIDENT FREQUENCY

34Centrica Energy Asset book 2014 Canada

33Centrica Energy Asset book 2014

Canada

Canada

South Region The South region consists primarily of mature, shallow gas producing assets in south east Alberta and south west Saskatchewan. Centrica Energy operates all of these assets, located 250km south east of Calgary and consisting of over 5,000 pro-ducing shallow gas wells. The main fields include Alderson, Medicine Hat and SW Saskatchewan.

The gas is produced at sales quality and requires only compression, with no further processing. The region has been developed over several decades through densely drilled vertical wells.

Centrica Energy’s initial focus is on the Alderson field, which realises higher initial production rates for new wells compared with other fields in the area. Further development through infill drilling in the other fields will take place in the future.


Production: 13mboe/d

North RegionThe North region consists of a wide variety of fields, including the gas-dominated areas of Carrot Creek, Gilby and Shallow Gas/Coal Bed Methane (CBM), and the oil-dominated areas of Ferrier and Cym Pem.

The majority of this region in Central Alberta - cov-ering a 160,000km2 area - is operated by Centrica Energy. The infrastructure in the area includes gas processing facilities at Ferrier, Gilby, Carrot Creek, Watelet and Wood River, as well as oil facilities at Ferrier.

The North region is expected to be the most active for near- and medium-term development, including projects in the Gilby and Carrot Creek areas.

Status: Producing oil, gas and gas liquids


Hanlan-Robb RegionThe Hanlan-Robb region 180km south west of Edmonton consists exclusively of newly-acquired Suncor assets, mostly operated by Centrica Energy. Production is primarily sour gas from the deep carboniferous Turner Valley formation, with addi-tional gas production from multiple Jurassic and Cretaceous aged formations.

Centrica Energy also operates large gas processing facilities in the Hanlan area, and has both sour and sweet gas processing capability.

Plans are underway to expand the sweet gas pro-cessing capability at the Hanlan-Robb plant due to the significant industrial activity in the region, and Centrica Energy is currently assessing its level of participation in the expansion.



Foothills RegionThe Foothills region in south west Alberta includes four major areas – Wildcat Hills, Burnt Timber, Panther and Crossfield. All production is operated, with the exception of some minor assets in the Panther field. The majority of the gas production is from the deep carboniferous Turner Valley forma-tion, with additional liquids-rich gas from shallower Cretaceous zones. Centrica Energy wholly owns and operates the Wildcat Hills gas plant (125 mmcf/d capacity).

Centrica Energy’s near-term focus will be on devel-oping significant upside potential in the Turner Valley formation in both the Wildcat Hills and Panther fields.



Peace River Arch RegionOther than a few minor assets, this vast, 480km region parallel to the Alberta-British Columbia pro-vincial boundary consists of newly-acquired assets from Suncor. There are eight major producing areas in the region, predominantly operated by Centrica Energy, with one residing in Alberta (Glacier) and the remainder in British Columbia – Grizzly, Boundary Lake, Parkland, Laprise, Bougie, Clarke Lake and Yoyo. Following the Suncor transaction, Centrica Energy now owns and operates four gas plants in the Progress, Parkland and Boundary Lake areas. The Glacier, Boundary and Parkland fields have significant development opportunities in the Doig and Montney formations, which are being success-fully developed through horizontal well, multi-stage fracturing techniques. This area has the potential for development over several years.


Production: 11mboe/d

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36Centrica Energy Asset book 2014 Asset book 2014 CanadaCanada

Carrot Creek

Wood River

Medicine Hat

Ferrier/GilbyHanlan-Robb

Alderson

GlacierBoundary Lake

Clarke Lake

Grizzly

Laprise

Wildcat HillsCalgary

WCSB

Centrica acreage

Canada

37Centrica Energy Asset book 2014 Canada

CANADA ASSETSPRODUCING ASSETS PRODUCING ASSETS

ASSET CE E&P % OPERATOR STATUS PRODUCTION (Anticipated 2014,

gross mboe)

2P RESERVES(End 2013 net mboe)

SOUTH REGION 72.6 4,751 55,241

Medicine Hat 76.9 CE Producing 3,278

Alderson 71.6 CE Producing 1,274

SW Saskatchewan 36.8 CE Producing 195

Other South Areas 9.8 CE Producing 4

NORTH REGION 64.1 5,356 55,986

Ferrier 94.0 CE Producing 1,296

Shallow Gas/CBM 56.2 CE Producing 1,286

Carrot Creek 69.8 CE Producing 991

Gilby 49.7 CE Producing 734

Craigmyle 79.6 CE Producing 316

Cyn Pem 58.3 CE/Vermillion Producing 228

Other North Areas 37.4 CE/Others Producing 505

HANLAN-ROBB REGION

48.5 4,475 55,986

Stolberg 54.0 CE Producing 2,555

Hanlan 51.7 CE Producing 1,901

Other Hanlan Areas 16.7 CE/Others Producing 19

FOOTHILLS REGION 63.2 5,689 55,986

Wildcat Hills 94.3 CE Producing 3,479

Panther 51.3 CE/Shell Producing 1,042

Burnt Timber 62.9 CE Producing 794

Crossfield 58.5 CE Producing 243

Other Foothills Areas 42.1 CE/Others Producing 131

ASSET CE E&P % OPERATOR STATUS PRODUCTION (Anticipated 2014,

gross mboe)

2P RESERVES(End 2013 net mboe)

PEACE RIVER ARCH REGION

69.2 4,085 39,838

Glacier 77.5 CE Producing 741

Grizzly 46.2 CE/Others Producing 710

Boundary 71.9 CE/Others Producing 583

Parkland 35.5 CE/Others Producing 163

Laprise 100.0 CE Producing 1,126

Bougie 100.0 CE Shut-in 0

Clarke Lake 71.7 CE/Others Producing 684

Yoyo 78.2 CE/Others Shut-in 0

Other PRA Areas 52.8 CE/Others Producing 78

TOTAL REGION (Including QPI share)

263,035

TOTAL REGION (Excluding QPI share) *

210,153

* In May 2014, CE agreed to sell 40% of its wholly owned Canadian natural gas business to QPI.

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40Centrica Energy Asset book 2014 Asset book 2014 CanadaCanada

Trinidad and Tobago Centrica Energy has built a sizeable business in Trinidad & Tobago (T&T) since 2009,

when its first production sharing contract (PSC) was signed. The T&T portfolio includes non-operated production at NCMA-1 (North Coast Marine Block), as well as operated exploration and development positions in Block 22, NCMA-4 and Blocks 1a and 1b. In 2013, Centrica Energy carried out a two-well appraisal drilling programme in Block 22 and NCMA-4, and the results from these wells are currently being evaluated.

5.86(£/boe)


100 4.37(£/boe)


PRODUCTION COSTS

2013 PRODUCTION:

0TOTAL RECORDABLE

INCIDENT FREQUENCY

Trinidad & Tobago

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42Centrica Energy Asset book 2014 Asset book 2014 Trinidad & Tobago

PRODUCING ASSETSNCMA-1NCMA-1 is located 60km north of Trinidad andcontains six gas fields. They were discovered inthe late 1970s and early 1980s, and were broughton stream in 2002. Centrica Energy has a 17.3%interest in NCMA-1. The NCMA fields have been developed through two platforms, and a 107km pipeline runs from the fields to Atlantic LNG at Point Fortin. Status: Producing gas


DEVELOPMENTSBlock 22Centrica Energy holds a 90% interest in Block 22, located 25km north of Tobago. The block holds two gas discoveries, Cassra and Sancoche, as well as significant further exploration potential. Resource estimates are currently being finalised following appraisal drilling in 2013.


NCMA-4NCMA-4, 80% owned by Centrica Energy, lies 50km west of Tobago and holds two gas discoveries, Orchid and Iris. The development also has significant exploration potential in the Jasmine prospect. The Iris field was appraised in 2013 and new discoveries were made in Iris deep sands. Fields and prospects in NCMA-4 will be developed jointly with Block 22, with a sharing of export infrastructure to the destina-tion market.


Blocks 1a and 1bBlocks 1a and 1b are located 20km west of Trinidad in the Gulf of Paria. Block 1a contains three gas discoveries, while Block 1b holds an exploration prospect. The fields are close to existing onshore infrastructure and negotiations are ongoing with local gas buyers to commercialise the resources on these PSC blocks.


Trinidad & Tobago

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44Centrica Energy Asset book 2014 Asset book 2014Trinidad & Tobago Trinidad & Tobago

TRINIDAD & TOBAGO ASSETSPRODUCING ASSETS GLOSSARY

2C Resources: Already discovered P50 contingent resource

2P Reserves: Proven and probable reserves

boe: Barrel of oil equivalent

CE E&P: Centrica Energy Exploration & Production

DD&A: Depreciation, depletion & amortisation

FEED: Front End Engineering & Design

FID: Final Investment Decision

GMA: Greater Markham Area

Lifting cost: Field operating costs, including tariff

LNG: Liquefied Natural Gas

mboe: Thousands of barrels of oil equivalent

mmboe: Millions of barrels of oil equivalent

mmscf/d: millions of standard cubic feet of gas per day

Net: Centrica equity share

NCMA: North Coast Marine Area licence blocks in Trinidad and Tobago

NOGAT: Northern Offshore Gas Transport

NUI: Normally Unmanned Installation

P50 Resources: Best estimated remaining life of field production from a development/opportunity.

PRT: Petroleum Revenue Tax

Prospective resources: Estimated undiscovered resources from exploration

PSC: Production Sharing Contract

Remaining recoverable resources: The total estimated volumes to be produced

T&T: Trinidad and Tobago

Total Recordable Incident Frequency (TRIF): Total recordable injury cases per 100,000 hours worked.

WGT: West Gas Transport system in the Netherlands

WCSB: Western Canadian Sedimentary Basin

ASSET CE E&P %

OPERATOR STATUS PRODUCTION(Actual 2013, mboe net)


NORTH COAST MARINE AREA - NCMA 1 17.31 BG Producing 3,982 21,355 2P

DEVELOPMENT ASSETS

ASSET CE E&P %

OPERATOR STATUS KEY MILESTONES(anticipated year)

2C RESOURCES(net mboe)

- Block 22 (Cassra, Sancoche & Iris)

90.00 CE E&P Development Option

139,600

- Block 1a & 1b (Anole, Iguana, E&W Zandolie)


30,000

- NCMA 4 (Orchid & Iris)


24,400

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46Centrica Energy Asset book 2014 GlossaryAsset book 2014 Trinidad & Tobago

Centrica Energy iQ Building

15 Justice Mill Lane Aberdeen AB11 6EQ

Main switchboard Tel: +44 (0)1224 415000

Centrica Energy corporate affairs Tel: +44 (0)1753 494086

Centrica plc investor relations Tel: +44 (0)1753 494900

www.centricaenergy.com/upstream

exploration and production - centrica · as centrica energy’s sole asset at the time of the...

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