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TOTAL EXPLORATION IN PAPUA NEW GUINEA EXPLORATION OPTIMIZATION THROUGH TECHNOLOGY AND INNOVATION 03 RD APRIL 2019, SINGAPORE DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION

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Page 1: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL EXPLORATION IN PAPUA NEW GUINEAEXPLORATION OPTIMIZATION THROUGH TECHNOLOGY AND INNOVATION

03RD APRIL 2019, SINGAPORE

DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION

Page 2: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

● PRESENCE IN PNG AND FOOTHILLS EXPERIENCE

● PRL15 EXPLORATION POTENTIAL

● PRL15 RECENT EXPLORATION HIGHLIGHTS

● OPTIMISATION & DERISKING IN THE FOOTHILLS

● TOTAL TECHNOLOGY IMPLICATION

● R&D FOR NEAR-TERM APPLICATION

AGENDA

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 2

TOPICS ADDRESSED:

(1) Total position in PNG

(2) Leverage of global technical, operational experience and innovation

(3) Recent exploration efforts and near term focus

Page 3: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL PRESENCE IN PNGEXPLORATION POSITION

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3

● Committed to long term sustainable E&P presence & optimal future development of resources in PNG’s unique environment

● Growing presence in PNG onshore & offshore full E&P cycle : 31,200 km2 (Op.) and 4,165 km2 (Non-Op.)

● PRL 15 Operatorship since August 2015- Total 40% - OilSearch 23% - ExxonMobil 37%

- Elk-Antelope appraisal program completed

● Leveraging global experience, onshore to ultra deep offshore:- Technological innovation & expertise

- Development & project execution capability

● Continued active exploration & maturation program:- Airborne GraviMag in transition zone

- Onshore 2D and MT

- 3D surveys planned in near future in the offshore

PRL15 PPL339

PPL589

PPL576

Page 4: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL FOOTHILLS EXPERIENCEEXPERTISE & TECHNOLOGY

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 4

● Committed Partnerships

- Forging committed Joint Ventures

- Collaboration with all stake holders

● Actively unlocking the significant resource potential of the foothills via an optimized exploration program

- Data capture and integration

- Technical Excellence & Technological implication

- Optimizing technological experience and expertise

Total Operated Incahuasi CPF – Bolivian Foothills

● Significant foothills, onshore and complex imaging experience

- Bolivia

• 26 wells over 4 structures (3 discoveries).

• 1300km 2D, 500 km2 3D & MT: ~1800km2

• Current Production : 220kBbls/D (100%)

- Columbia

• Historic position on Cusiana / Cupiagua (disc. 1990-91). 3 Discoveries, 3D Dev & development wells

• Tangara : Sparse 3D (~500km2) & 1 well

• Iskana : 1 well

• Niscota : 2D 400km 4 wells leading to Huron discovery with production start-up due in 2017.

Page 5: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

PRL15 EXPLORATION POTENTIALREGIONAL CONTEXT

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 5

● Located in a structurally unique syntax domain. Transition between Papuan and Aure Fold Belts.

- Influence of NE-SW Aure regional inherited structural trend (Australian Craton, previous transform zones)

- Structural complexity requires integration of all available data sources to ensure optimal prospect de-risking

A

A’

A

Imbricated Fold BeltFrontal Fold BeltForeland Basin

PRL15

A A’

0 10 20

Page 6: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

PRL15 EXPLORATION POTENTIALTHE IMPORTANCE OF DERISKING

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 6

AGG

Mag

Geol

Wellreports

Outcrops

Seismic

Geodynamics

Cumulative Seismic coverage

Fold

1963 2017Elk-1

Data coverage

Data Integration

2007 Acquisition TBI processing 2014

2004/2005 Acquisition Processing KELMAN 2005

S NS N

Data quality

● Aure Fold Belt has a high historical technical success rate but carbonate reservoir quality predictability remains complex

● Main play risks & uncertainties:

- Reservoir quality/productivity

• associated with depositional environment

- Prospect imagery and geometric definition

● Past exploration only based on surface geology and sparse seismic data of limited quality (fold and offset)

● New technologies and data coverage will enable more successful and cost-effective exploration

Page 7: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL EXPLORATION ONSHORE PNGPRL15 2D SEISMIC & MT PROGRAM

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 7

Oxbow Wetland complex

Pie River Catchment

Environmental challenges

Crater Mountain WildlifeManagement Area

34 MT stations34 MT stations

121 km 2D seismic121 km 2D seismic

Operational and Safety challengesDrilling

Bridging

Line cutting

Helipad

CampRecording

● Acquisition completed in Oct. 2018, without accident (delegated to OilSearch)

● Operational and HSE challenges:- Located in Papuan Thrust and Fold Belt, dense tropical rainforest with significant

topographic relief (5m to 450m)

- Taking benefit from acquisition synergy & historic operators experience

● Pushing further acquisition parameters onshore PNG, with smallest source interval ever acquired on PRL15 on production basis

Page 8: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL EXPLORATION ONSHORE PNGPRL15 2D SEISMIC ACQUISITION TEST

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 8

PRL15 acquisition parameters

B

60 m

2014 BigHorn / 2015 Raptor acquisition parameters50 m

120 m

2005

30m

1.5kg20m

1.5kg20m

1kg3m

1.5kg25m

2kg6m

C 2018 Test parameters

RI1kg3m

15m

120 m

15m

12.5m

RI

2005

2007

2009

2014

2018

Source

Receiver

3D METIS PROTOTYPE

2021

Production Tested

Source pattern

Dep

th

Type A

Type B

Type C

● Very large increase in seismic coverage and seismic fold leading to improved imaging

● 2018 acquisition as an opportunity to test line parameters for future acquisition optimization:- Multiple sources to determine optimum shooting design: half source interval &

smaller/shallower explosive loads

- Expected enhancement of S/N: less ground-roll vs. Higher energy

- Overburden characterization improvement in area of complex static correction

Page 9: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL EXPLORATION ONSHORE PNGNON SEISMIC METHODS

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 9

2 km

2 km

0.5 ohm.m

6 ohm.m

Unconstrained MT inversion

2D

3D

Lateral extension

Vertical estimation

From FALCON® AGG data for petroleum exploration – CGG Technical Presentation, 2018

Conventional gravity / Falcon gD

Falcon gDD (AGG)

0 8km 16km

PRL15

PRL15PRL15PRL15

2012 Gravimetry Merge 2015 AGG2005 Gravimetry

AGG coverage and resolution improvement

● Non-seismic methods constantly used as additional information to seismic- Onshore acreage fully covered by AGG data

- 34 new MT stations acquired along with 2018 seismic acquisition, leading to improved coverage over PRL15

● From 2D & 3D unconstrained inversion towards 3D joint constrained inversion focused on prospectivity derisking

Page 10: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL EXPLORATION ONSHORE PNGSURFACE DATA AND MODELLING

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 10

● Additional surface data acquisition over the recent years- Field work & surface geology to better constraint our structural models

- LIDAR surveys as a support for operation planning

● Reduce risk & uncertainties in our geological models through structural modeling, 3D restoration (Move3D) to displacement estimates and paleo-bathymetry reconstruction

Paleo-Bathymetry reconstruction

2D Forward modeling

Structure model hypothesis

Surface and sub-surface data

Constraints

Mechanical modeling

Page 11: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL TECHNOLOGY IMPLICATIONINTEGRATION & EXPERTISE

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 11

● >> Ongoing Onshore PNG Exploration Effort through use of experience and technology for optimal and cost effective de-risking

● Continuous operations and new data acquisition- Regional AGG

- LIDAR survey

- PRL15 2D seismic & MT acquisition

● Constant integration using advanced techniques- Field work and surface geology, 3D restoration and Structural modeling

- From seismic to Shot based Interpretative imaging

- Passive seismic

● R&D focus on near term industrial application- Developing & testing new imagery technology (PSDM, FWI…)

- METIS (Multiphysics Exploration Technologies Integrated System) project

● Dedicated facilities & in-house expertise- Technological center and laboratories

- Pangea High performance computation center

LIDAR

Interpretative imaging

3D structural modeling

Pau High performance computational center

New imagery techniques

Total Geoscience & ReservoirIntegrated Platform

After

Before

Seismic Reprocessing

Page 12: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL TECHNOLOGY IMPLICATIONPRL15 FWI FOR MODEL VELOCITY

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 12

TOTAL PSDM 2015

TOTAL FWI 2017

TBI PSTM 2014

● Use of latest's techniques such as Full Waveform Inversion (FWI) to improve resolution of velocity model

● FWI tested as an automatic tool to discriminate between different structural models and derisk carbonate facies and extension

FWI for carbonate geometry and interval velocities derisking

Platform edge?

Platform edge

2 km

2 km

Page 13: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

TOTAL R&D FOR NEAR-TERM APPLICATIONMETIS (MULTIPHYSICS EXPLORATION TECHNOLOGIES INTEGRATED SYSTEM) INDUSTRIAL PILOT

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 13

● Four technical cornerstones:

- Optimizing survey design

- Automating operations from the air

- Real-Time Processing & Interpretation

- Eco-Friendly materials

● Phase I pilot in Papua New Guinea – Q4 2017

- Early de-risking of the project’s fundamentals

- Successful and paving the way for an accelerated project’s development

● Objectives:

- Acquiring 3D High Density seismic data in hard-to-access onshore areas…

- … while ensuring high quality image, low HSE & environmental footprint, at acceptable cost

>> Towards Phase II pilot in 2019… and targeting industrial pilot in 2021 with 100 km2 3D

Page 14: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

PRL15 EXPLORATION PROGRAMRESOURCES CAPTURE AND OPTIMAL DERISKING

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 14

● Total position Onshore PNG:

- Continue progressing with Papua LNG project : Near term FEED, followed by FID

- Advancing exploration for additional resources capture and gas aggregation

- Optimal derisking with current integration of newly acquired 2D seismic and MT program for additional prospect maturation on PRL15

● In offshore PNG, advancing and optimizing our exploration program in an attractive exploration position

PRL15 PPL339

PPL589

PPL576

PRL15 Environment

Page 15: 03 DAMIEN DEVEAUX – TOTAL, PNG ONSHORE EXPLORATION · 2019-04-24 · TOTAL PRESENCE IN PNG EXPLORATION POSITION SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 3 Committed

DISCLAIMER and COPYRIGHT RESERVATION

The TOTAL GROUP is defined as TOTAL S.A. and its affiliates and shall include the person and the entity makingthe presentation.

Disclaimer

This presentation may include forward-looking statements within the meaning of the Private Securities LitigationReform Act of 1995 with respect to the financial condition, results of operations, business, strategy and plans ofTOTAL GROUP that are subject to risk factors and uncertainties caused by changes in, without limitation,technological development and innovation, supply sources, legal framework, market conditions, political oreconomic events.

TOTAL GROUP does not assume any obligation to update publicly any forward-looking statement, whether as aresult of new information, future events or otherwise. Further information on factors which could affect thecompany’s financial results is provided in documents filed by TOTAL GROUP with the French Autorité desMarchés Financiers and the US Securities and Exchange Commission.

Accordingly, no reliance may be placed on the accuracy or correctness of any such statements.

Copyright

All rights are reserved and all material in this presentation may not be reproduced without the express written permission of the TOTAL GROUP.

SEAPEX EXPLORATION CONFERENCE 2019 (SEC19) - PNG - 03/04/2019 15