The Deep Panuke Offshore Gas Development Project produced natural gas from four wells in an offshore field located approximately 250 kilometres southeast of Halifax.
Production began in August 2013.
Produced Gas Equivalent Volume of 147.2 billion cubic feet.
Nova Scotians worked 442,022 hours on this project in 2018.
Permanent Production Shutdown May 2018.
Status: Permanent Production Shutdown
All production wells have been permanently shut-in and decommissioning and abandonment activities have begun.
The Deep Panuke Offshore Gas Development Project is operated by Ovintiv Canada ULC (formerly Encana) . Production began in August 2013, and was permanently shut-in in May 2018. The Deep Panuke Offshore Gas Development Project operated on a seasonal basis from 2015-2018, with production only during the colder winter months, when natural gas prices were higher. The Deep Panuke Offshore Gas Development Plan estimated the most likely volume of natural gas that would be produced, over the expected production life of 13 years, to be 17.8 billion cubic meters or 632 billion cubic feet.
The Deep Panuke Offshore Gas Development Project gas field is located on the Scotian Shelf, approximately 250 kilometres southeast of Halifax. Natural gas was produced from the Abenaki Formation carbonate reservoir by four production wells.
The gas produced and processed offshore was transported via subsea pipeline to shore, and ultimately, to markets in Canada and the United States. The Deep Panuke Offshore Gas Development Project utilized a jack-up type offshore production platform, called the Production Field Centre, which was tied back to the four subsea production wells by subsea flow lines. The Production Field Centre was designed for a peak gas rate of 8.5 million cubic metres per day, or 300 million standard cubic feet per day.
The raw gas produced at The Deep Panuke Offshore Gas Development Project contained approximately 0.18% hydrogen sulphide; therefore, gas sweetening equipment was installed on the Production Field Centre. An amine unit was used to remove hydrogen sulphide along with carbon dioxide, both of which are considered acid gas. After removal, the acid gas was injected into a purpose drilled disposal well.
Decommissioning and Abandonment
Production from the four Deep Panuke Offshore Gas Development Project wells was permanently shut-in in May 2018. Planning for the permanent plugging and abandonment of the wells is underway. The plug and abandonment program will involve the use of a jack-up drilling rig to set a series of cement and mechanical plugs within the wellbore to permanently seal the wells in accordance with the regulations. This is to prevent hydrocarbons from migrating within or out of the well.
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