Majid experience revives prospects for restoring oil output
LIBYA – Oil and gas expert Othman Al-Hadiri has called for a national programme to survey and classify idle oil wells and bring the viable ones back online, arguing that the resumption of production from a well in the Majid Field after more than 22 years offline shows there are opportunities to boost output and revenue by making use of existing oil assets.
Nearly 7,000 barrels a day after a long shutdown
In exclusive remarks to Sputnik, Al-Hadiri said the well had recorded, according to the announced data, output of about 7,000 barrels a day, showing that some wells and fields that had been idle for many years could be restarted using modern technology, maintenance and rehabilitation work.
Rehabilitation as an economic alternative to new exploration
He said the significance of the experience went beyond adding new volumes to production, as it highlighted an economic path that could be as important as new exploration and drilling projects: making use of what already exists, maintaining wells, developing old fields and improving reservoir management, without bearing the full costs and risks of exploration.
Surveying the stock and assessing each well’s viability
Al-Hadiri questioned how many Libyan wells could be returned to production, and to what extent the success at the Majid Field could be turned into a comprehensive programme to restore production capacity.
He stressed the need to assess the economic and technical viability of each well before allocating funding, arguing that the success of such an approach could support exports and public revenue, extend the productive life of fields and maximise the return on past investments.
Service companies’ debts and infrastructure challenges
He said achieving these goals depended on the ability of the National Oil Corporation and its subsidiaries to carry out sustainable maintenance and development plans despite operational and financial difficulties.
He said the debts of some service companies had risen, by his estimates, to around half a billion dollars or more, weakening their ability to provide the necessary equipment and services, alongside the need to upgrade infrastructure and fund drilling, maintenance and field development.
A programme with clear priorities, funding and follow-up
He proposed surveying idle wells, classifying them by technical and economic criteria and setting priorities for reviving them, with specific budgets and follow-up and implementation procedures to ensure money goes to the most viable and productive projects.
He concluded that restarting a well after more than two decades was an important step, but should not remain a one-off event or an occasion for media celebration; rather, it should be the start of a comprehensive approach to restoring production from existing oil assets.
