Offshore staff
ADELAIDE, Australia – Santos and its partners have committed to the Phase 3C infill drilling program at the Bayu-Undan field in the Timor Sea, offshore Timor-Leste.
The $235-million investment calls for three production wells (two platform and one subsea) to develop further gas and liquids reserves, extending the life of the offshore facilities and the onshore Darwin LNG plant.
Santos became operator of the Bayu-Undan Joint Venture in mid-2020 after completing its acquisition of ConocoPhillips’ northern Australia and Timor-Leste interests.
The jackup Noble Tom Prosser will drill the wells with the campaign due to start in 2Q 2021, followed by production from the first well in 3Q.
Santos Managing Director and CEO Kevin Gallagher said: “This infill drilling program adds over 20 MMboe gross reserves and production at a low of cost of supply and extends the life of Bayu-Undan, reducing the period that Darwin LNG is offline before the Barossa project comes onstream.”
The company’s 68.4% operated interest in Bayu-Undan and Darwin LNG will reduce to 43.4% on completion of a 25% sell down to SK E&S.
Consent for this transaction came through late last year from the other JV partners and the Timor-Leste regulator, and Australian regulatory approvals are progressing.
The sell-down should take effect following a final investment decision on Barossa, Gallagher added.
01/05/2021
