Transcript Session 2 - Item 3 - Gadalla - Malta conference 10-11

NOC - Libya
Energy Conference Malta 2014
Libya Gas Overview
By: G H Gadalla,
NOC Board Member
Presentation Outline:
• Libyan Gas review
• Gas Utilization & Sales
• Shale Oil & Shale Gas
• New Gas Dev. Projects
• Distribution of Exported Libyan products 2013
• EU Oil & Gas companies working in Libya
• Conclusion
Libya Gas Review




Current Gas Reserves Status
Libya, with its discovered estimated natural gas
reserves of more than 55 TCF, is one of the
large gas potential countries.
So far, country’s actual gas reserves have been
largely unexploited and unexplored.
it is believed that the remaining prospecting gas
resources exceed 100 TCF.
Estimated Gas Reserves

Libya is the 4th largest gas potential
country in Africa
Energy Conference 2014, St Julians – Malta, 10 – 11 July 2014
Libyan Gas Review
Libyan discovered proven gas reserves (*)
Total gas reserves : 54.6 TCF
18.4 TCF, 34%
36.2 TCF, 66%
(*) Above reserves do not include latest discovered offshore and onshore gas reserves
estimated between 5-10 TCF.
National Oil Corporation, Libya
Large Area (˜50%) of the country remains unexplored.
Pelagian
Basin
Offshore
Sirte Basin
Cyrenaica
Platform
Ghadames
Basin
Sirte
Basin
Murzuq
Basin
Kufra
Basin
Energy Conference 2014, St Julians – Malta, 10 – 11 July 2014
Libyan Gas Review
Prolific basins and gas locations
 The most prolific discovered gas reserves are located in Sirt, Ghadames, Murzuq Basins,
North Western offshore blocks and North Sirt basin offshore.
26°
22°
18°
14°
10°
Offshore
Tripoli
32°
Benghazi
Cyrenaica /
Botnan
Sirt
Ghadames
28°
Sirt
Sebha
Murzuq
Kufra
24°
Kufra
0
200
400 km
20°
Note :Boundaries borders are not formal
National Oil Corporation, Libya
Discovered (not-developed) Western Onshore Gas
Fields (*). So far only Wafa Gas Field has been
developed
Offshore Gas Fields
North West offshore fields, in
Concessions , 35, 41 & 137. Estimated
reserves ˜15 TCF
New offshore discovery (2009), Arus
El Bahr, by HESS in Gulf of Sirte,
Area 54. Estimated reserves 5.0 TCF
North-West Offshore Gas Fields Gas Reserves:
14.9TCF
Bahr Esselam is the only
developed gas field:
Current production
capacity is 950 MMSCF/D.
Feasibility studies on
other offshore gas field
developments is in
progress. Expected
additional gas rate is
600 MMSCF/D in 2018.
National Energy Strategy

Until recently, crude oil was the major target of hydrocarbon
resource for exploration and exploitation;

Due to increasing demand for gas by domestic and international
consumers, NOC has adapted a National Energy Strategy to;
 Explore new resources,
 Develop discovered gas fields,
 Utilize associated gas from oil fields (zero gas
flaring)
 Expand and upgrade gas production infrastructure
and capacity of the country and expand domestic
gas utilization (i.e. power, distillation, industries,
petrochemicals and city gas)
Current Developed Free Gas reservoirs
Current gas production is realized from
 Free (Non Associated) Gas Reservoirs, and
 Associated gas from oil reservoirs
Millitah , Bahr
Essalam Field
950 MMCF/D
Millitah,
Wafa
Field, 620
MMCF/D
Developed Free Gas
Reservoirs:
First Free Gas Producer was in 1978 by Sirte Oil Company
1978,
Hatiba,
200
MMCF/D
2005
Attahadi,
350
MMCF/D
1989,
Assumood,
80 MMCF/D1990,
Sahl,
70
MMCF/D
Energy Conference 2014, St Julians – Malta, 10 – 11 July 2014
Libyan Gas Review
Gas Prod Rate, MMCSF/D
Free Gas (Non Associated Gas Producers)
- Mellitah & Sirte Oil are the major free gas producers
Sirte Oil: 456 MMCF/D
Mellitah: 1193 MMCF/D
Mellitah
Sirte Oil
National Oil Corporation, Libya
Gas Utilization & Sales
Flaring,
12%
Oil
operation,
21%
Italy, 29%
Electricity &
Industries,
38%
Current gas pipelines and Export line to Europe
To Italy
G1
Bouri
D1
E1
Zuara
ia
nis
Tu
Mellita
Oil:
Gas:
6,000 Km of pipelines
7 Export Terminals
28 MMbbls:
MMbbls: Storage Capacity
3,200 Km of pipelines
19 Compression stations
1 LNG plant + 5 NGL
Tripoli
Zawia
Khoms
Misratah
Oued Chebbi
Benghazi
Tobruk
Bir Tlacsin
Zueitina
Sirt
Hamada el Hamra
Gozeil
Emgayet
Farad/Hofra
Ras Lanuf
Marsa el Brega
Mabruk
Bahi
Dahra
Algeria
Dor Marada/Lehib
Hateiba
Raguba
Ed Dib
El Meheiriga
Zella
Bualwan
Kotla/Ora
Naser
Jebel
Zaggut
Aswad
Sabah
Balat/Samah
Oued Tahara
Egypt
Sidra
Almas
Raleh
Katib/Rimal
Intisar
Waha
Khalifa
Ain Jerbi/Meghil/Sorra
Amal / As-Sarah
Augila/Nafoora
Gialo
Bu-Attifel
Sarir N.
Bel Hedan
Magid/Messla
Wafa
Sarir
Defa
Sebha
Atshan
Sharara
LEGEND
LEGEND
Oil Fields
Elephant
O
il & Gas
Gas Fields
Oil
&
Transportation System
Gas or Gas/Condensate Fields
Oil Pipeline
Oil Pipeline Planned/Proposed
Gas Pipeline
Gas Pipeline Planned/Proposed
Gas Processing Plant
Oil Refinery
LNG Export Plant
Tanker Terminal
Energy Conference 2014, St Julians – Malta, 10 – 11 July 2014
Libyan Gas Review
West Libyan Gas Pipeline Project
Jointly with ENI Company;
 West Libyan Gas Pipeline Project was
completed in 2004 and first gas export thru the
32” pipe line, along the Mediterranean Sea to
Europe, was commenced in the same year.
 The gas export capacity of this pipeline has
been supplied from onshore Wafa Field and
offshore Bahr Esselam Fields at around 1050
million SCF/D. Development of the other
discovered offshore blocks in the Concession
41 is under planning stage to further back up this
pipeline.
National Oil Corporation, Libya
Main Coastal Gas Pipeline and Gas Utilization, MMCF/D
Free Gas (Non Assoc.) & Associated Gas
production forecast (2012-2021)
4500
4000
3500
3000
2500
2000
1500
1000
500
0
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Associated gas
free gas
Estimated Unrisked Shale GIIP Resources (Year 2010)
547 TCF
After Petrenel
Shale Oil & Shale Gas In Place (Risked)
500.0
457
Total = 614 BBO
Billion Barrels
450.0
400.0
350.0
300.0
250.0
200.0
150.0
130
100.0
27
50.0
0.0
Ghadames
700.0
Sirt
Murzuq
648
Total = 943 TCF
600.0
TCF
500.0
400.0
300.0
276
200.0
100.0
19
0.0
Ghadames
Sirt
Murzuq
After EIA/ARI JUNE 2013
Gas utilization

Until 2004, Sirte Oil Company was only gas producer
from Sirte Basin gas fields, Attahadi, Hatiba, Sahl
and Assumud. Production was utilized for petrochemical products and LNG Plant in Marsa El Brega
refinery and for local industry consumers

Now Libya wants to extend use of natural gas for;
 country’s power generation
 manufacturing,
 supply gas for the international market.

Feasibilities of new gas field development and gas utilization
projects are underway
New Gas Field Development Projects








Gas & Condensate Fields In NC-5, 7 & 8
(Under study: potential up to 400 MMSCFD)
Fariegh Field
Potential up to 180 MMSCFD, (under commissioning).
NC-98 & NORTH GIALO 6J
(gas will be recycled to reservoir to maximize recovery;
condensate production up 100,000 bbls/day from each field)
Offshore Fields (NC-41)
(Discovered structures have potential to produce 600
MMSCFD)
Projects to Enhance Gas Utilization









Upgrade gas shipping capacity of coastal line
Al Jurf gas utilization / re-injection
Hatieba gas plant upgrade
Jebel gas lift upgrade
Nasser gas lift upgrade
Bouri gas utilization (off shore)
Sarir Messla gas utilization
Nafoora gas utilization
Amal & Ghani gas utilization
Downstream features of master plan projects
Refining
Azawia Refinery expansion and development Project:
New Capacity 220 - 300 kbbl/d
Units: CDU, RFCC, Alkylation, Treatment, etc
South Refinery:
New small (30 kbbl/d) hydro skimming refinery
Toboruk Refinery:
New grass root refinery, processing capacity of 220- 300 kbbl/d
Petrochemicals
Mellita Complex Project :
Feed : Naphtha derived from Azawia refinery and condensate
from Mellita gas plant ethane from deep extraction unit
Units : Ethane extraction, Reforming, Steam cracking, Aromatic
plant, many other units,
Main products: Several grads of polyethylene, other ethylene derivatives, propylene and
its derivatives, benzene and p- zylene and their derivates, butadiene, etc
Downstream features of master plan projects
Petrochemicals
West Benghazi Petrochemical Complex:
Feed: Naphtha derived from Toboruk refinery and
condensate from Brega and Zwitena gas plants,
ethane from extraction unit
Units : Ethane deep extraction, Reforming, Steam cracking,
Aromatic plant, many other units
Main Products: integrated with Mellita Complex
Raslanuf petrochemical plant development:
ethane extraction unit, steam cracker new, ethylene – propylene
co- polymerization unit , other available products will be integrated
with west Benghazi petrochemical complex
TOTAL EXPORTED PRODUCTS 2013
Exported Products
Crud oil
MB
Quantity
250
Oil Products
KTM
1,286
Neutral Gas
MPTU
171
LNG + Condensate
KTM
1,881
Petrochemicals
KTM
409
Distribution of Exported Libyan Crud oil 2013
Others
10%
Spain
4%
Turkey
2%
Italy
33%
Holland
1%
Germany
12%
Ireland
8%
Portugal
0%
Greece
5%
Holland
6%
France
19%
Distribution of Exported Libyan Oil products
and petrochemicals 2013
Petrochemicals
Oil Products
Turkey
10%
Italy
13%
Italy
27%
Others
32%
Others
46%
Spain
7%
Spain
4%
Germany
6%
Netherland
24%
Netherland
31%
EU Oil & Gas companies working in Libya
Conclusions

Libya is one of the large gas potential countries with its discovered gas reserves
estimated at 55 TCF with an estimated prospecting remaining resources of about
100 TCF

The large offshore gas discovery by HESS in 2009 in block 54 offshore Sirte Basin
has opened a new exploration potential in this area.

Construction of West Libyan Gas Pipe in 2004 from Millitah to Italy has opened an
outlet for Libyan gas to the European Markets. Daily gas export rate to Italy is
around 800-900 million SCF/day.

As per foreseen substantial gas demand from local and international markets, NOC
has set steps towards utilization of the entire produced associated gas.

As a part of development the country’s gas infrastructures, the coastal pipeline
system, feeding the various industries in the country, has been extended to the
west to meet the local demands and integrate with the international export outlets.

Additionally, NOC plans to build a complete gas pipeline network along the country’s gas
resources to utilize all associated (Zero flaring) and non associated gas.

Major gas development and gas utilization projects are underway in Sirte and Ghademes
Basins.

EU must play an important role for setback the stability of Libya.

Libya one of the best Energy source for EU because Libya considered a very close and
save source of energy.

The Libyan Conventional and unconventional reserves is able to support the EU energy
requirements for long period of time.

The new Libya is open for the new investment ides to exploiting the deferent resource of
energy ( oil & gas, Wind, Sun solar….. ).

Libya has the youth have the ability to learn, work and participate in the development of
the country.