Seismic option waived to speed up Beehive well planning

Melbana Energy, Total, and Santos have agreed to modify a commercial agreement to speed up preparations for potential drilling of the Beehive-1 prospect offshore northwest Australia.

Beehive prospect offshore northwest Australia
Beehive prospect offshore northwest Australia

Offshore staff

MELBOURNE, Australia – Melbana Energy, Total, and Santos have agreed to modify a commercial agreement to speed up preparations for potential drilling of the Beehive-1 prospect offshore northwest Australia.

Total and Santos have an option to acquire an 80% share of the surroundingWA-488-P permit by continuing to fully fund all activities until completion of the first well.

The agreement allows for preliminary well planning activities between February and July 2019 to ensure spudding of the well during 3Q 2020, including drafting of an environment plan, well concept identification, and starting the rig selection process.

However, the requirement for further seismic processing has been lifted as it would have delayed readiness for drilling.

Currently, processed seismic data over the concession is expected to come through early next year.

McDaniel & Associates estimates best case resources from Beehive at 388 MMboe.

12/04/2018

More in Geosciences