First condensate production from the Sanha field

ChevronTexaco's Angolan subsidiary, Cabinda Gulf Oil Co. Ltd. (CABGOC), has achieved first condensate production from the Sanha field in the block 0 concession, offshore Malongo, Cabinda province.

ChevronTexaco's Angolan subsidiary, Cabinda Gulf Oil Co. Ltd. (CABGOC), has achieved first condensate production from the Sanha field in the block 0 concession, offshore Malongo, Cabinda province.

The Sanha condensate complex, 23 mi (37 kilometers) offshore and directly above the Sanha field, serves as the hub for processing natural gas from the surrounding production facilities. Wells pre-drilled in early 2004 into the Sanha field, along with those from neighboring fields, are now producing approximately 6,000 b/d of condensate into the Sanha complex. In addition, dry gas is being re-injected into the subsurface to help maintain reservoir pressure and for storage ahead of eventual delivery to the proposed Angola liquefied natural gas facility.

Combined production from the Sanha project, which includes crude oil from the nearby Bomboco field, is expected to reach its average yearly peak of 100,000 b/d of oil, condensate, and liquefied petroleum gas (LPG) by 2007.

ChevronTexaco Overseas Petroleum President John Watson said: "First condensate from Sanha, coupled with Bomboco first oil, represents a major step toward our goals of bringing the Sanha project fully online and helping us to achieve our production growth targets for Africa." Watson added that with the start of re-injection, the company also was moving forward with its plan to significantly reduce the routine flaring of natural gas in block 0.

The Sanha complex is capable of re-injecting 500 MMcf/d of produced gas. LPG production will start early in 2Q 2005 when a 32,000 b/d LPG FPSO is fully operational.

ChevronTexaco's managing director of the Southern Africa strategic business unit, Jim Blackwell, stated: "We continue to achieve operational milestones safely, on schedule, and on budget. This has been a daunting challenge with the complexities of components being fabricated in Angola, Korea, Japan, and the US. This is a tremendous achievement for our business unit, and I am proud of the project team's efforts."

Cabinda Gulf Oil Co. Ltd., with 39.2%, is operator of the block 0 concession on behalf of its partners Sociedade Nacional de Combustiveis de Angola (Sonangol) 41%, Total 10%, and Eni Angola Exploration B.V. 9.8%.

03-02-05

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