Exploration and New Ventures
Noble Energy has a legacy of exploration success demonstrated by the three core areas created through exploration efforts and 2.7 BBoe of net resources discovered since 2007. New Ventures teams actively evaluate frontier plays with sufficient size and running room to mature into additional core areas. Successful plays would further enhance the Company's significant growth profile. The Company utilizes a stage-gate decision process that analyzes, tests, and exits unsuccessful opportunities with limited capital investment while ensuring the ability to competitively monetize successful discoveries at industry leading cycle times.
In Nevada, the Company is testing a tight oil play on a 350,000 net acre position. Two 3D seismic surveys have been completed and their analysis will drive a phased vertical drilling program in 2013. The play has a P75-P25 gross unrisked resource range of 190 – 1,400 MMBoe with a 55 percent chance of geologic success. With positive drilling results, development drilling and oil production would commence in 2014.
Noble Energy has a 1.8 million acre gross position offshore Nicaragua with multiple oil prospects and leads. The Paraiso prospect is scheduled to be drilled in 2013 and has a P75-P25 gross unrisked resource range of 210 to 1,220 MMBoe with a 25 percent chance of geologic success. Development would likely be via FPSO with initial production targeted for 2018.The Company's largest new venture play is its 35 percent interest in a 10 million gross acre position offshore Falkland Islands that represents a gross unrisked resource potential of 13 BBoe. Acquisition of 3D seismic has begun and will last approximately five months. Results from the recent Scotia exploration well will be integrated with the 3D seismic to determine future locations for a 2014 drill plan. The New Venture program, when combined with the ongoing exploration program, creates both near and long-term value for the Company. By 2014, 25% of the Company's net production is expected to be from discoveries made in the last five years. The current exploration prospect inventory is at the highest level in Company history. During the next two years, exploration wells will test 7 BBoe gross unrisked resources plays.