Sample Geology Paper on Evaluating Bonanza Basin
Any company involved in exploration or dealing with matters concerning land is always on the lookout for any land for lease that can be beneficial to the enterprise. In this particular case, the Bonanza Basin located in Somewhereia is up for lease. The basin is located offshore. The size of the basin is 2400 sq. Any interest in the land, despite its potential, cannot be acted upon unless the management can verify that the land can benefit the company. In this particular case, the company has set up a team of five people, I included, of individuals who can conduct evaluation and assessment of the Bonanza Basin then avail recommendations to the senior management and, if appropriate, a bid strategy to lease the land. This paper will investigate the viability of the Bonanza using a report on its geography the offer recommendations to the senior management.
Evaluating the land to be leased required the formation of a team. The members of my team have specific skills that will help us identify whether the basin is viable for lease or not. Members of the team chosen all have some specific skills which can benefit the team’s evaluation project. Some of the skills per individual include
- Project leader: As the project leader, I am equipped with several which include organization and planning. Vocationally, I am also well-founded with geological knowledge.
- An exploration geologist: The second member, is a geologist who will aid in identify the solid and liquid matter, constituted in the land we are about to assess, and its characters, whether they are beneficial or not.
- A pedologist: The team will also contain a pedologist who will be tasked with studying the soil samples in the region and determine the soil’s characteristics and how it can benefit or not benefit the project. The pedologist will also be tasked with mineral exploration.
- An engineer: Another member of the team who will assist in understanding and developing computer models of the area. Also, the engineer will provide ideas on how the land can be furthered explored by offering ideas on drilling and the like.
- A financial planner: This team member will evaluate the cost of exploring the area and provide financial recommendations for the senior management
In seeking to understand whether the land is worth the investment that the company is willing to put in, some important questions need to be answered. Some of the scientific/technical issues that need to be answered include,
- What is the geology of the land?
- What are the potential mineral constituents of the land?
- What is the structure of the land
Non-scientific/non-technical questions will include,
- What is the cost of exploring the land
- What would be the environmental effects of exploring the land
- The viability of the land
From the first image of the area showing the blocks, the 2D seismic lines and the location of the A-1 well, which is also sparse information, the area has no economic benefits to the company. Although from the information in the company, the nearshore sandstone has the potential to form a high-quality reservoir, this would not provide the returns the company would want from a financial stand point. Source rocks are also existent from the evaluation of the well but with no guarantee that any oil is present. The well information is thus inconclusive. Source rocks are not buried deep enough to guarantee oil or any potential minerals around the well. From the information gathered, it is evident,
- If the source blocks are much deeper, there would be potential for minerals
- They will also be potential financial benefits if the sandstone unit extends more into the basin
- There is good porosity as the sandstone unit extends into the basin
Figure two of the area’s images illustrates a simplified stratigraphy for the A-1 well, based on the information from the scouts. The Image illustrates the depth showing the levels for the marine shale which is a potential seal, the nearshore sandstones which is a potential reservoir and the organic-rich shales-a potential source.
From the images, block 1 holds the most potential. The block has a thinned continental crust which according to geologist and the engineer is comfortable for drilling and reduces the risk for an immature source rock. Also, from the information gathered, block 1 holds the excellent reservoir porosity, making the area excellent for oil generation at the depths of 3400 meters. At these depths, the block would require deeper drilling than the well ensuring the block is much deeper highlighting the potential for minerals. Block 2 which is in line with block 1 shares some of the characteristics of block 1 making it another block with some potential. The other blocks present a financial risk because their probability of getting any minerals is limited as compared to the two blocks, especially block 1. From the information gathered, the company should focus their bidding on block 1 and block 2. They should avoid bidding on the other blocks as the potential for returns is highly limited.