Page 7 - AsianOil Week 37 2021
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production. This will set us up to drill the third The developer said that it still intended to drill
well for the 2021 drilling programme, known as a total of 18 wells over the three-year period, but
‘Kruh 27’, in the fourth quarter. We look forward would drill two fewer than originally anticipated
to continuing to deliver on our development this year. It blamed the delay on Indonesia’s per-
plans and maximise returns on our investments mitting process as well as coronavirus (COVID-
to grow shareholder value.” 19) related delays. In addition to the 258-square km
Kruh 27 will be the company’s last well for producing Kruh block, the company also operates
this year after the company revealed that it had the gas prone Citarum exploration block. IEC is
scaled back its drilling plans for this year from also assessing the oil and gas potential of the Rang-
five wells to three. kas Area, which lies adjacent to Citarum.
Santos signs MoU with
Timor-Leste over CCS project
PROJECTS & AUSTRALIAN independent Santos has signed
COMPANIES a memorandum of understanding (MoU) with
the Timor-Leste energy regulator to imple-
ment carbon capture and storage (CCS) at the
Bayu-Undan project in the Timor Sea.
Santos said on September 14 that the MoU
paved the way for the Bayu-Undan joint ven-
ture to collaborate with Autoridade Nacional do
Petroleo e Minerais (ANPM) to test the viability
of repurposing the existing Bayu-Undan facil-
ities and using the Bayu-Undan reservoir for
CCS.
Santos operates Bayu-Undan with a 43.4%
interest, while SK E&S owns 25%, Inpex holds
11.4%, Eni has 11%, JERA owns 6.1% and Tokyo
Gas has 3.1%.
Santos managing director and CEO Kevin
Gallagher said: “We believe the Bayu-Undan
reservoir and facilities have the potential to be a
world-leading CCS project and we are delighted
to be working together with the ANPM and
the Timor-Leste government to progress this
opportunity.”
Gallagher said CCS at Bayu-Undan could
potentially store around 10mn tonnes per year
(tpy) of CO2 permanently and could build a new
revenue-generating industry for Timor-Leste. part of our future economy. We don’t want to
He added: “This has the potential to be a win- miss this opportunity; and I believe this will
win; good for the environment, good for indus- become one of the largest CCS projects in the
try and opening up an exciting opportunity for Southern Hemisphere.”
the people of Timor-Leste, so we look forward Santos signed off on a $235mn infill drill-
to progressing this MoU in partnership with the ing programme at the field in January, with the
ANPM.” goal of minimising Darwin LNG’s downtime
ANPM president Florentino Soares Ferreira between when Bayu-Undan is forecast to run
said: “Despite Timor-Leste being one of the low- dry and the anticipated start-up of the Barossa
est emission countries in the world, and that the gas project.
Paris Agreement provides waiver or concession The Santos-led consortium developing
to the developing and less developed nations the Barossa field, which lies offshore Austral-
such as Timor-Leste, we understand that carbon ia’s Northern Territory, reached an FID on the
trading or carbon credits market is an integral $3.6bn project in March.
Week 37 16•September•2021 www. NEWSBASE .com P7
