Page 12 - AsianOil Week 03
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Woodside’s 2019 production, revenue slide
PERFORMANCE
AUSTRALIAN developer Woodside Petro- leum announced last week that both its pro- duction and revenue for 2019 had declined year on year.
Production fell from 91.42mn barrels of oil equivalent in 2018 to 89.56mn boe in 2019, while revenue slid to $4.95bn from $5.24bn, the company said in a quarterly performance report published on January 16. At the same time, the company trimmed its capital expenditure from $1.72bn in 2018 to 1.19bn in 2019.
Woodside’s share of liquefied natural gas (LNG) production at the North West Shelf (NWS) project declined from 2.7mn tonnes in 2018 to 2.51mn tonnes in 2019, while conden- sate production slipped from 4.76mn barrels to 4.7mn barrels. At Pluto LNG, the company’s share of LNG production shrank from 4.52mn tonnes in 2018 to 3.84mn tonnes in 2019, while condensate slipped from 3.05mn bar- rels to 2.61mn barrels. The company’s share of LNG production from the Wheatstone project climbed from 866,000 tonnes to 1.25mn tonnes in 2019.
The company has forecast that production in 2020 will reach 97mn-103mn boe, driven
by an anticipated jump in LNG production. The company produced 67.7mn boe worth of LNG in 2019, and forecasts that this will rise to 74mn-77mn boe.
Woodside CEO Peter Coleman said: “We are targeting increased production in 2020 follow- ing the successful execution of our near-term growth projects.”
One of these projects is the Browse LNG project in Western Australia. Woodside said it was ready to enter the front-end engineering and design (FEED) stage of the project subject to finalising a gas processing agreement. The company had been aiming to secure an agree- ment with NWS partner Chevron in 2019 that would pave the way for Browse gas to be pro- cessed at the NWS project’s LNG plant in Kar- ratha. Woodside operates both the Browse and NWS projects, while Chevron only has a stake in the latter.
Woodside said it had reached an agreement with BHP Billiton in November on the tolling price for processing gas from the Scarborough project via PlutoLNG. Woodside said in its quarterly report that it was aiming to finalise the agreement by the end of this quarter.
Vintage hits gas at Queensland well
PROJECTS & COMPANIES
AUSTRALIAN independent Vintage Energy has announced the discovery of natural gas at its first well on ATP 2021 in Queensland.
The Vali-1 ST1 well discovered gas in the primary Patchawarra Formation target, Vin- tage said on January 16. It added that the well was being cased and suspended for poten- tial stimulation, flow testing and future pro- duction. Vintage said the joint venture was considering whether to stimulate the well to increase permeability and flow rates in the Patchawarra sandstones.
Vintage operates the licence with a 50% stake, while Metgasco and Bridgeport each own 25% interests. ATP 2021 covers 370 square km of the southern flank of the Nap- pamerri Trough.
The company said it had begun an evalua- tion programme of the well – including wireline logging, gathering of formation pressure data and sampling of formation fluid – once it had reached a total measured depth of 3,217 metres.
Vintage said: “Analysis of the data gathered indicated the discovery of over 35 metres of interpreted log net gas pay (porosity cut-off of 9%) over a gross 312- metre interval in the Patchawarra Forma- tion target.”
The independent noted that in addition to recovering gas via MDT sampling, gas had also been recovered from the Nappa Merri Forma- tion. The secondary discovery, the company said, added “weight to the potential indicated by goodgasshowsthroughthisinterval”.
Vintage managing director Neil Gibbins said: “This discovery at Vali-1 ST1 has laid the foun- dation for bigger things to come. We identified the ATP 2021 permit as highly prospective with an excellent ‘address’ close to infrastructure and other significant discoveries.”
He added: “The permit contains abun- dant follow-up potential in addition to future commercialisation of gas from Vali. With the oil shows identified in the shallower Jurassic and Triassic age reservoirs, we will now com- mence a review of structural closures in the area to identify the potential for oil pools like those discovered on the Western Flank of the Cooper Basin.”
Vintage agreed to acquire a 50% interest in ATP 2021fromMetgascolastyearinreturnforcovering 65% of Vali-1’s cost, up to a gross cost of AUD5.3mn ($3.6mn), as well as paying for 65% of past explora- tion costs amounting to AUD527,800 ($362,500) and funding up to AUD70,000 ($48,000) of 2D and 3D reprocessing.
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w w w. N E W S B A S E . c o m Week 03 22•January•2020
