Chevron holds a 26.9 percent non-operated working interest in the Hibernia Field that comprises two key reservoirs, Hibernia and Ben Nevis Avalon. Production decline continues to be mitigated through drilling programs for both reservoirs.
The Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) estimates that recoverable reserves from Hibernia total 1,395 million barrels. Total Hibernia oil production from 1997 to January 31, 2014 was 880 million barrels (source: C-NLOPB).
Hibernia Southern Extension (HSE)
The HSE Unit development, a subsea development with tieback to the Hibernia platform, is expected to increase the economic life of the Hibernia Field. Chevron has a 23.6 percent non-operated working interest in the unitized HSE areas of the Hibernia Field.
During 2011, two producing wells were completed from the Hibernia platform. Fabrication of topside and subsea equipment progressed in 2012. In 2013, subsea equipment was installed in an excavated drill centre approximately seven kilometres southeast of the Hibernia platform.
The scope of the HSE project includes up to five oil producing wells to be drilled from the Hibernia platform and up to six subsea water injectors for pressure support. Production start-up is planned for 2014.
Chevron holds a 1 percent non-operated working interest in the Terra Nova project.
Chevron holds a 26.6 percent non-operated working interest in the Hebron Field development located offshore Newfoundland and Labrador. The development plan includes a concrete, gravity-base (GBS) structure with a production capacity of 150,000 barrels of crude oil per day. FEED activities were completed in 2012, and the final investment decision was made in December 2012. Construction of the GBS is ongoing at Bull Arm, Newfoundland and Labrador. Topsides module fabrication is underway in the province, elsewhere in Canada and at international locations.
This heavy-oil field is estimated to contain total potentially recoverable oil equivalent resources of more than 600 million barrels. The project has an expected economic life of 30 years, and first oil is expected in 2017.
In 2011, Chevron Canada along with Statoil and Repsol were the successful bidders on two land parcels in the Flemish Pass Basin in offshore Newfoundland and Labrador. Statoil is the operator with 50 percent equity interest, Chevron Canada has 40 percent and Repsol 10 percent. Future exploration plans for this acreage are being developed.