Jadestone signs gas agreement for Nam Du/U Minh fields offshore Vietnam
Jadestone Energy has signed a gas sales and purchase agreement (GSPA) covering production from the shallow-water Nam Du / U Minh gas discoveries offshore Vietnam.
CEO T. Mitch Little said all main commercial and technical approvals are now in place for the development.
“We are now focused on rapidly progressing towards the project execution phase," he said. “Our near-term priorities are to conclude the bid evaluation for the FPSO and field infrastructure, and award their respective contracts during the second half of this year.”
Jadestone aim to start production in late 2028, in line with the recently approved field development plan. The gas will be supplied to Petrovietnam subsidiary PV Gas.
The GSPA calls for a daily contract quantity of 80 MMcf/d, or ~13,000 boe/d, with the wellhead gas price said to be comparable to historical Vietnam gas imports and subject to fixed annual escalation.
Nam Du/U Minh hold independently audited 2P reserves of 32 MMboe, and Jadestone also estimates up to 1.5 Tcf in place from seismically supported, mostly nearby prospects within the existing licenses.
If developed, this could extend and/or raise plateau production from the initial development.
About the Author
Jeremy Beckman
Editor, Europe
Jeremy Beckman has been Editor Europe, Offshore since 1992. Prior to joining Offshore he was a freelance journalist for eight years, working for a variety of electronics, computing and scientific journals in the UK. He regularly writes news columns on trends and events both in the NW Europe offshore region and globally. He also writes features on developments and technology in exploration and production.