Huge hydrocarbon resource on this acquisition “white flame”3 Jul 2024 15:18
Introduction
The Jameson Land Basin is one of, if not the last, highly prospective, yet completely undrilled basins globally, but with a clear genetic link to the North Sea as well as a scale similar to many of the world's major producing regions. This claim is not without foundation, Bluejay will leverage its acquisition off a comprehensive body of work conducted by US Atlantic Richfield Company (ARCO) between 1970 and 1990 when more than US$100m was invested (1989 US dollars) in detailed exploration and evaluation activities. ARCO's work identified multiple, very large gas and liquid hydrocarbon targets.
ARCO's data reverted to the Geological Survey of Denmark and Greenland (GEUS) upon the US major's withdrawal from Greenland in 1990 with the Danish Government continuing work on the project area until 2014 when White Flame was awarded the licences. ARCO and GEUS concluded that the Jameson Land Basin contains all the essential source, reservoir, seal and trap elements to host multiple very-large-scale natural & industrial gas reservoirs in addition to liquid-rich hydrocarbons, particularly in the central and southern central regions of the basin. This data, in addition to many subsequently commissioned independent detailed assessments and reports, indicate there are multiple multi-billion-barrel-equivalent targets within the basin.
ARCO's liquid hydrocarbon resource estimates
ARCO estimated that the Upper Permian source rocks in the Jameson Land Basin generated over 40 billion barrels of liquid hydrocarbons and the Upper Jurassic source rocks generated a further 46 billion barrels. Assuming a conservative range of 10%-25% for entrapment efficiency, ARCO calculated that there could be potentially 4.0 - 10 billion barrels of liquid hydrocarbons in place within the Permian aged reservoir rocks and 4.6 - 11.5 billion accumulated within the Jurassic along with associated industrial and natural gases.
The entrapment efficiencies are based on empirical estimates of 20-30% for the East Shetland Basin and approximately 30% for the UK North Sea as estimated by BP in 1984.These estimates have been since supported by Danish governmental work on Jameson post ARCO as well as confirmation by independent specialist consultants and internal white flame management estimates.
To date though, no deep drilling has been undertaken on the project. One diamond drill hole called "Blokelv" (see Figure 4) was drilled by the Danish state survey to determine porosity of surface sediments when it was terminated after an oil filled belemnite was identified in core logging at 104m therefore there are modern independent resource or reserve figures for the project apart from the above internal numbers from ARCO.
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