Offshore Staff
Santos Ltd. and its joint venture partners announced the development go-ahead for the Oyong oil and gas field, following approval granted by the Indonesian government.
This is Santos' first operated offshore oil and gas development in Indonesia.
The Oyong field is located in the Sampang Production Sharing Contract area, offshore East Java, Indonesia. The Oyong field was discovered in August 2001 and is estimated to contain in excess of 8 MMbbl recoverable oil and 130 bcf of recoverable gas.
John Ellice-Flint, Santos' managing director, said the joint venture would develop the field in two phases. "Phase 1, an early oil development, will proceed immediately with the planned first oil production from around 8 MMbbl of 2P recoverable reserves, commencing late in 2005," said Ellice-Flint.
"Phase 2 will be a gas development from around 130 bcf of 2P reserves, and we expect first gas production by the end of 2006 or early in 2007," he said. "Santos is pleased to add its first Indonesian operated production to support the Brantas and Kakap production acquired last year.
"Oil production from Oyong comes at a time of high oil prices and adds to the company's improving production. Importantly, Oyong gives Santos another operated development and builds our interests in Indonesia."
Santos' participation is through its wholly-owned subsidiary Santos (Sampang) Pty Ltd., in joint venture with Coastal Indonesia Sampang Ltd. and Cue (Sampang) Pty Ltd.
Interests in the Oyong field are:
Santos (Sampang) Pty Ltd. (operator) 45%
Coastal Indonesia Sampang Ltd. 40%
Cue (Sampang) Pty Ltd. 15%
4/18/05
