Offshore staff

ADELAIDE, Australia – Santos is targeting higher production this year in the range of 100-110 MMboe, mainly due to its merger with Oil Search.

But the company’s share of production from the Bayu-Undan complex in the Timor Sea will be around 10 MMboe lower, following its 25% sell-down to SK E&S last year.

Other factors in the decrease are the fact that the field is approaching the end of its life, and a lower net entitlement under the production sharing contract due to higher forecast LNG prices.

As for growth projects, Santos anticipates capex of $1.15-1.3 billion in 2022, and a contingent sum of up to $400 million could be added should the Dorado project (offshore Western Australia, $2 billion capex) and Pikka (onshore Alaska) take final investment decisions.

02/16/2022