Page 14 - LatAmOil Week 37 2021

LatAmOil NEWS IN BRIEF LatAmOil

Liza Unity is the second in a series of three FPSOs having a 100% working interest), and improved
for the Stabroek block offshore Guyana char- commercial arrangements with Heritage (most
tered by the consortium of ExxonMobil, China notably a material reduction in overriding roy-
National Offshore Oil Corp. (CNOOC) and alty rates and a more transparent oil pricing for-
Hess. The FPSO, which will be spread moored mula), has created a much enhanced commercial
in water depth of about 1,600 metres, is designed backdrop for this asset. The improved certainty
to produce approximately 220,000 barrels of oil and visibility of Galeota’s value to Trinity and
per day, with associated gas treatment capacity potential funding partners will enable Trinity to
of 400mn cubic feet (11.3mn cubic metres) per progress a farm-down process, with marketing
day and water injection capacity of 250,000 bar- now expected to commence in Q4-2021.
rels per day (bpd). The FPSO will be able to store Corporate: The tragic passing of our founder
approximately 2mn barrels of crude oil. and Executive Chairman, Bruce Dingwall, has
Keppel, September 9 2021 understandably been a great personal and pro-
Built in 2008, the Stena Carron is one of fessional loss to everyone at Trinity, but we are
Royston completes engine six vessels in the Stena Drilling fleet and is a determined to build on his legacy, realising the
sixth-generation harsh environment, mul-
full potential of the strong position which the
overhaul on Stena drillship ti-purpose dynamically positioned drillship, Group is now in. Since Bruce’s passing, Jeremy
capable of drilling to depths up to 10,000 feet Bridglalsingh has stepped up to become Chief
en route to Guyana (3,048 metres). It has managed pressure drilling Executive Officer and Nick Clayton has taken
capabilities, a wireless unit tower and enhanced on the role of Non-Executive Chairman. Jer-
Marine engineering and propulsion specialist drilling fluid storage. emy leads a highly capable, six-strong Executive
Royston has assisted in the overhaul of diesel Royston, September 1 2021 Management Team, having been expanded in
power plant on-board one of Europe’s largest July 2021 with the appointment of Denva Seep-
drilling ships as it sailed while on passage. ersad as Finance Director and Ryan Ramsook
Drawing on its international capabilities and PERFORMANCE as Executive Manager, Sub Surface. The recent
resources, a five-strong team of Royston engi- appointment of Derek Hudson to the Board
neers undertook the 48,000-hour overhaul of Trinity Exploration brings strong industry relationships, strategic
a Wartsila W16V16 diesel generator onboard insight and significant knowledge and under-
the 228-metre-long Stena Carron, as part of a announces interim results standing of the oil and gas business in Trini-
planned maintenance programme. dad. The proposed establishment of a Technical
The job was completed as the ship sailed from Trinity, the independent E&P company focused Committee, chaired by Non-Executive Director,
the Caribbean to a position off the Guyana coast, on Trinidad and Tobago, has announced its James Menzies, will further boost the commer-
where it is currently carrying out drilling oper- unaudited interim results for the six-month cial and technical expertise and support avail-
ations. This saw the replacement of parts where period ended June 30, 2021. Year to Date Strate- able to the Board and Executive Management
necessary as part of a 48,000 hour service. This gic Highlights: H1-2021 saw continued financial Team. Furthermore, the completion of the Cap-
included inspection and refurbishment work on and operating resilience, but more importantly ital Reorganisation in July 2021 clears the way
the crankshaft main and thrust bearings, main significant progression of a number of important for future dividend payments and/or share buy
bearing jacks, connecting rods, piston rings, strategic initiatives as the Group positions itself backs when deemed appropriate.
crowns and skirts, along with the installation of to deliver a step change in scale - establishing a H1-2021 Key Performance Indicators: Trin-
new big end bearing shells. broader opportunity set from which to grow. ity assesses the Group’s performance using both
Royston engineers also completed the Onshore: The new 10-year Lease Opera- International Financial Reporting Standards
replacement of OEM overhauled turbocharger torship Agreements (LOAs) and less onerous (IFRS) and the Alternative Performance Meas-
cartridges and repairs to the turbocharger Supplemental Petroleum Tax (SPT) regime for ures Guidelines (APM) governed by the Euro-
exhaust manifold, carried out upgrades to inter- onshore producers, provides a much improved pean Securities and Markets Authority (ESMA).
mediate gears, camshaft gears, and the speed commercial backdrop for our extensive efforts Management believes that analysis of both per-
governor. Following completion of the work, the to scale-up our Onshore operations. With an formance measures delivers improved guidance
generator was fully checked and tested to ensure operating break-even price of $17.9 per barrel to Management for operational and strategic
maximum operational capacity. across our Onshore base, adding incremental decision-making purposes. The Group was
Fraser Scott, engineering superintendent at production offers the potential to generate sig- profitable in H1-2021 under both the IFRS and
Stena Drilling, said: “Royston has completed nificant free cash flow. To this end, the onshore APM basis. Higher oil price realisations more
another quality job for us during these challeng- 3D Seismic interpretation is progressing at pace, than offset the modest and expected decline
ing times. It reflects the experience and expertise with a dedicated team maturing plays and drill- in net production, leading to a 69% increase
they bring to their work, going over and above ing candidates, and the Onshore opportunity in Adjusted EBITDA to $10.3mn (H1-2020:
expectations in support of our vessel fleet opera- set will be expanded further when the pending $6.1mn) enabling the period-end cash balance
tions and maintenance.” PS-4 acquisition is completed (now expected to being broadly maintained at $19.0mn (H1-
Shaun Cairns, Royston’s operations man- early Q4-2021). The 3D Seismic work is also of 2020: $19.7mn) despite investment made to
ager on the contract, said: “This latest project significant benefit for our review of the poten- support future growth during the period.
for Stena Drilling shows that regardless of a tially high impact onshore North West District Outlook: We have continued to make pro-
vessel’s location in the world, and the status of (NWD) bid process, which we are progressing gress since the period end, and the Company
its engines, we have the flexibility and resources alongside our partner. is well positioned to embark upon an exciting
to respond rapidly with a highly skilled and effi- East Coast: The combination of the new phase of growth underpinned by a robust, low-
cient engineering team.” 25-year Galeota Licence (with Trinity now cost, cash-generative production platform.

P14 www. NEWSBASE .com Week 37 16•September•2021