Marginal field development in the Philippines, especially onshore oil and gas discoveries are gaining traction due to the confluence of several factors that makes the project cross over from exploration to exploitation.

Investments during the exploration and appraisal phase of the cycle would seem daunting and unjustifiable if the expectation is not properly managed. The direct effect of reluctance to properly test and evaluate the prospect would lead to unresolved issues on productivity and deliverability of the wells. Thin reservoirs in compartmentalized fault blocks make the evaluation complicated. The five appraisal wells in the Alegria Field were completed and drill stem tested to get the optimal flow rate. Several zones were tested using a series of shut-in, flow and build up periods. Pressure on the sand face is maintained by varying the choke size to maintain a manageable pressure decline and to prevent movement of sand. Each well would have specific set parameters in order to maintain reservoir pressure. Maintaining modest production rates for each well, a low cost but safe and efficient operational structure, a ready market for crude sales, a well-organized end to end logistic strategy and an equitable oil price, would be the basis for the sanction.

Keywords: marginal field, Philippines, Alegria