Oil and gas can be found in small quantities in several distinct basins in Poland and its vicinity. The Permian Basin which covers parts of Poland, Germany, Denmark, the North Sea, the Baltic Sea, and the Netherlands is the country’s biggest oil-producing basin. That is also where a new oil discovery, touted as the biggest in 20 years, was recently found in the Lubuskie region of Western Poland, near the German border. The first chart below shows the oil and gas resources of Poland. The maps below show the basins, oil and gas fields, and the Zechstein Sea area as it appeared in the Upper Permian. The stratigraphic column shows the rocks in that sequence and the productive Rotleigand Sandstone sequence below.
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Oil and gas
production began in Poland in 1853 with the Bobrka field which produced oil. The
first refinery was built in 1854. By 1900 Poland was the third most productive
region in the world. This was well before the world’s big oil fields were
discovered. The Permian Basin in Western Poland, the Baltic Sea, and small
older fields in the Carpathian Mountains in the south of the country were the
producing regions.
The B3 oil
field off the northern coast of Poland in the Baltic Sea was discovered in
1981, began producing in earnest in 1992, peaked in 2003, and was producing 1.9
million Bbls per annum in 2006, about 5200 Bbls/day. By 2022, production was
about 2000 Bbls/day, and today it is closer to 1100 Bbls/day. The field is produced from a Middle Cambrian-aged sandstone about 1000-1450 meters (about 3000-4000 ft)
deep. That sandstone is now considered to be a decent candidate for offshore CO2
sequestration.
The Barnówko-Mostno-Buszewo
onshore oil field in far Western Poland’s Permian Basin was discovered in 1993
and is one of the biggest in the country with reserves of 90 million barrels
and 350 BCF of gas. The Lubiatów-Międzychód-Grotów oil field was discovered in
1994 in the same region with reserves of 38 million Bbls of oil and 160BCF of
gas. These areas make up Poland’s biggest oil reserves. The natural gas fields
in Poland are generally small with reserves of 70-700 BCF. FX Energy was
drilling Western Poland in the mid-2010s, targeting the Rotliegend sandstone at
about 2460 meters (8070 ft).
The
intracontinental Southern Permian Basin is part of Europe’s largest sedimentary
basin, the Central European Basin, and is well-studied. The Zechstein Dolomite reservoirs,
the largest onshore oil reservoirs in Poland are heterogeneous and the carbonate
and evaporite sequences contain some source rocks of sufficient TOC.
The Upper Permian in Poland also hosts many evaporites and salt structures as shown below. These can enhance hydrocarbon trapping in some cases.
Poland Imports Most of Its Oil & Gas
Currently, Poland
imports up to 95% of the oil it consumes. Thus, finding domestic oil is very
significant. Poland has worked hard to wean itself off of Russian oil and gas. Poland
consumes about 580,000 barrels of oil daily, of which it imports approximately
540,000 barrels. In 2023 about 45% of Poland’s oil was imported from Saudi
Arabia. For a country very dependent on imports, even small oil finds are significant.
Russia was of course opposed to the development of Polish shale gas when it was
being pursued since it would compete with Russian gas. Poland’s electricity
grid is powered mainly by carbon-intensive, air pollution-intensive lignite
coal. A bigger domestic natural gas industry could alleviate that pollution and
CO2 emissions by burning natural gas instead. However, at low production rates
it would require lots of wells and increase land use, landowner, and
environmental issues as well.
New Oil Discovery in Lubuskie Region in Western Poland’s
Permian Basin is Significant
The discovery was
made by Orlen, a very large integrated company that bought Polish national gas
company PGNiG in 2020. The new discovery is in the onshore Permian Basin region
in far Western Poland at a depth of 2750 meters (about 9000 feet). Based on the
depth, I am guessing that the production is from the Rotliegand Sandstone based on the depth but it could be from the Zechstein which produces the most oil. The Zechstein
Dolomite above the Rotleigand is the biggest producer in the region. The Zechstein Limestone
just below the Dolomite is also a big producer as is the Rotliegand Sandstone
below.
The newly discovered
field is expected to yield about 16,500 tonnes annually (about 120,000 Bbls or
just 330 Bbls per day) with a total of about 100,000 tonnes (730,000 Bbls) but
Orlen thinks that similar geologic structures in the area could make the total
yield about 500,000 tonnes, or 3.65 million barrels.
The following graphics and maps are from The Orlen Group's 2023 Integrated Report.
Revisiting Polish Shale Gas (Currently Not on the
Table): The Llandovery–Wenlock Silurian Shale Belt in the Baltic, Podlasie, and
Lublin Basins: Current Incentives, Challenges, and Opportunities
Clearly,
Poland could benefit by developing some of their shale gas resources. Replacing
Russian gas and reducing the need to import LNG is one incentive. The high
price of natural gas in Europe and the likelihood it will continue in the years
ahead is another incentive. Early tests of Polish shale gas resources around
2012-2014 were conducted at a time when public opposition was high and natural
gas prices were low. Reserves and some parameters of the shale were not as
suitable as hoped but exploitable reserves are still there and may be able to
be tapped profitably at favorable market conditions.
Back in 2012
Poland was gearing up for new shale gas drilling. I remember attending the AAPG
U.S. national conference in Pittsburgh in 2013 and talking with a poster presenter
there from the Polish Geological Survey equivalent and discussing shale hopes.
In 2012 111 concessions for exploratory drilling were issued. The Polish
national gas company PGNiG was involved as a beneficiary alongside foreign companies.
By mid-2013 ConocoPhillips was producing shale gas in Poland and things looked
hopeful. ConocoPhillips invested $220 million in Poland and ended up drilling 7
wells in the Baltic Basin. However, by mid-2015 they pulled out of Poland and by
mid-2017 most companies were leaving due to unsatisfactory well results. There
were only 20 concessions left, and exploration had ceased. Previously, Chevron,
ExxonMobil, Total, and Marathon Oil had pulled out. Shale gas exploration wells
were drilled in Poland between 2010 and 2016, after which the major companies
pulled out of the country due to poor well results. No commercial production
was established, despite high hopes. Thus far, there are 72 bore holes
penetrating the shales. It is unclear how many of those are horizontal wells. Beyond
the necessity of favorable geology, the keys to successfully producing shale
gas in Poland are high enough gas prices, the cost and environmental/climate benefits
of producing domestically vs. imported LNG, low drilling, completion, and
infrastructure costs, technology improvements that improve economics, and the
ability to find the most productive areas. Many think that 72 boreholes are
inadequate for a complete assessment of the three basins. However, at this
point producing Polish shale gas should probably be considered a ’longshot’.
The need for domestic
oil and gas in a country dependent on imports makes it more valuable at lower
finding and development costs since imported oil and gas is more expensive.
That could make shale gas in Poland viable at some point if better results were
to be obtained.
The Energy
Information Administration estimated in 2013 that 146 trillion cubic feet (TCF)
of shale gas and 1.8 billion barrels (BBbls) to be tapped in Poland. However,
after poor results due to low permeability of the rocks and several areas with
complex faulting, the Polish Geological Institute predicted just 24.8 TCF in shale
gas reserves. That is still a lot of gas for a country dependent on imports, but
investment never returned to explore more for shale gas and tight oil. The maps and graphics below are from a 2013 paper.
Map of
Geological Structures and Silurian Sedimentary Basins in Poland with Thick
Organic Shale Sequences. Source: Silurian shales of the East European Platform
in Poland – some exploration problems. Szczepan J. Porêbski, Wiesaw Prugar,
Jarosaw Zacharski. Przegl¹d Geologiczny, vol. 61, no. 11/1, 2013. 28138-43318-1-SM.pdf
A 2020 paper explored
the petrophysical characteristics of shales in Poland and noted that “two
formations in the Baltic Basin: Ordovician Sasino Formation (Sa Fm) and Jantar Member
(Ja Mb) of the Silurian Pasłęk Formation as potential resources of
unconventional hydrocarbons. The discussed formations are composed of
black, dark gray, and gray greenish
bituminous shales. Average TOC values of Sa Fm and Ja Mb are 3.1 and 3.0 wt.%, respectively.
Depth of occurrence is between 2800-3200m.” The study was based on well log
analysis and concluded that there was great heterogeneity in the mudstones
(shales) being pursued.
A 2021 study
considered the possibility of Polish shale gas development and modeled it after
the Barnett Shale in Texas. The study noted the average total organic content
(TOC) of 3–12% with the highest TOC occurring in Upper Ordovician shales in
central-western parts of the Baltic Basin. However, that is the area that ConocoPhillips
ended up abandoning due to unsatisfactory production results. The study modeled and forecasted gas shale gas production potential as shown below.
An August 2017
study published by Intech presented a detailed geological and petrophysical analysis
of shale gas potential in Poland, particularly in the Baltic Basin. Some graphics
from the paper are shown below. The paper concluded:
"Presented results show that Polish shale formations of
the Silurian and Ordovician age are different as regards mineral composition,
reservoir properties and elastic parameters. In each formation internal
heterogeneity was found. Diversity was also observed within the same formations
in different wells. Two selected formations were recognized as potential sweet
spots, i.e. Ja Mb and Sa Fm. They are relatively rich in organic matter.
Results of the analyses indicate distinctly visible differences between them
and surrounding formations (Pe Fm, Pa Fm and Pr Fm).”
“Research based on the laboratory results, well logs and the outcomes of the comprehensive interpretation of well logging confirmed great diversification of formations in the study but also revealed some regularities.”
References:
EU Country Announces Largest Oil Field Discovery in 20 Years.
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(msn.com)
A "large" oil field
discovered in an EU country: "The largest crude oil find in 20 years".
El Economista. September 2024. A "large" oil field discovered in an EU country:
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Silurian shales of the East European
Platform in Poland – some exploration problems. Szczepan J. Porêbski, Wiesaw
Prugar, Jarosaw Zacharski. Przegl¹d Geologiczny, vol. 61, no. 11/1, 2013. 28138-43318-1-SM.pdf
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