Shell and Deltic Energy have commenced site surveys for the Selene exploration well in the North Sea, marking a significant step forward in their joint venture project.

The initial phase involves conducting a geophysical site survey using a dedicated vessel in the Southern North Sea area. This survey aims to acquire 3D seismic data that will play a crucial role in pinpointing the exact location for the drilling rig.

The Selene exploration well project, which received its investment decision from Shell and Deltic in July of the previous year, is focused on a substantial target. The primary goal is to tap into P50 (best estimate) prospective resources of approximately 318 billion cubic feet of natural gas. The geological chance of success for this endeavor stands at 70%.

As per their 2019 farm-in agreement, Shell has committed to covering 75% of the drilling and testing costs for the well, up to a cap of $25 million. Selene represents a significant opportunity, being categorized as one of the largest undrilled structures within the world-class Permian Leman Sandstone Fairway.

The anticipated timeframe for the drilling of the Selene well is set for mid-2024. According to Deltic's CEO, Graham Swindells, the initiation of the site survey is a notable milestone on the journey toward drilling this high-impact, low-risk prospect located in the Southern North Sea.

Selene is strategically positioned in close proximity to existing infrastructure, enhancing its potential value. While Deltic hasn't disclosed specific tie-back options, the company holds a 50% working interest in this project. As the preparations continue, both Shell and Deltic are committed to advancing the well design and refining their approach in anticipation of the drilling operations scheduled for 2024.