oil production started at the tui , page-12

Upstream economics and the future oil supply
by Dave Cohen
http://www.energybulletin.net/33222.html


"It is instructive to look at a successful recent development, the Tui field in the shallow water off New Zealand.

This field, like most offshore projects, will have a production profile1 similar to the one shown (graphic, above left). The production will ramp up quickly, peak for a short while, and then follow a long decline, with decline rates running 10-15% after the peak. The profile resembles the first derivative of an asymmetric Gompertz aging function, not the bell-shaped curve of the derivative of Hubbert's logistic.

Tui is very small, with recoverable reserves of only 27.9 million barrels. Using a supertanker converted into a Floating Production, Storage and Offloading (FPSO) facility, production will quickly reach 50 thousand b/d before falling off. Nonetheless, at an assumed oil price of $60/barrel, and with Tapia Malaysian crude selling well above $70, Australian Worldwide Exploration Ltd. (AWE) expects its $700 million F&D costs to be paid off within 6 months of the first oil. "