Santos and its partners Carnarvon Energy and OPIC Australia continue to study ways of improving the economics of the Dorado oil project in the sub-Bedout Basin offshore Western Australia.
According to Carnarvon’s latest update, measures under review include optimizing the production rate to enable reductions to the size of the FPSO, wellhead platform and other facilities, and phasing the timing of the wells. The aim is to reduce overall capex for the Phase 1 liquids development.
Phasing and reducing the number of wells prior to first oil would also limit upfront capex, with any remaining wells drilled during production so they could be funded through project cashflow.
These activities should also cut the time to first oil, Carnarvon added.
The partners are assessing redeployment of an FPSO vessel alongside conversions of existing hulls.
Resumption of the FEED should start later this year once the joint venture has secured the best-option vessel or hull, with any design changes within the scope of the approved offshore project proposal.
Work continues for the project’s environment plans for the drilling and completion, wellhead platform and subsea systems installation.
Carnarvon estimates that capex to first oil will be below its previous guidance of ~US$2 billion, with the company fully funded for its share of the development costs.
