Page 15 - AfrOil Week 18 2021

AfrOil NEWS IN BRIEF AfrOil

This is particularly attractive due to the potential design of the Oleflex technology helps maximise partners. The next lifting is scheduled to take
for meaningful ongoing operating cost reduc- operating flexibility and onstream reliability. place in June.
tions over its term compared with the current Honeywell UOP, April 26 2021 The drilling of the Hibiscus Extension
FPSO arrangement and other options analyzed. appraisal well (DHIBM-2) started about two
VAALCO Energy, April 27 2021 weeks ago. Drilling activities are progressing as
PERFORMANCE planned. The vertical well is designed to test the
northern extension of the Gamba reservoir of
BW Energy announces 2021 BW Energy, April 30 2021
PETROCHEMICALS the Hibiscus field, discovered in 2019.
Honeywell to provide trading update Seplat reports on

Oleflex™ to Anchorage BW Energy has provided an update on the oper- performance in Q1-2021
ation and development of the Dussafu Marin
Investments for propylene license in Gabon. SEPLAT Petroleum Development Co., a leading
Gross production from the Tortue field aver-
production in Egypt aged approximately 13,600 barrels of oil per day Nigerian independent energy company listed
in the first quarter of 2021, amounting to a total on both the Nigerian Stock Exchange and the
Honeywell announced today that Anchorage gross production of 1.22mn barrels of oil for the London Stock Exchange, today announces its
Investments will use Honeywell UOP’s C3 Ole- period. unaudited results for the three months ended 31
flex™ technology to produce 750,000 tonnes per BW Energy completed one lifting in the March 2021.
year of polymer-grade propylene for its new quarter and realised an average price of $66.7 Operational highlights: Working-interest
Anchor Benitoite petrochemicals complex in per barrel. Production cost (excluding royalties) oil and production within guidance at 48,239
Suez, Egypt, near the southern terminus of the was approximately $23 per barrel. This includes boepd. Average daily volumes of nearly 54,000
Suez Canal. Propylene is the primary compo- approximately $1.0mn of additional costs related boepd achieved in first 21 days of April. Liquids
nent in a variety of plastic products that are rap- to the continued handling of the COVID-19 production of 28,541 bpd in Q1-2021. Gas pro-
idly growing in demand. pandemic through the period. duction of 114 mcf per day (19,698 boepd). Low
As part of the contract, Honeywell will pro- BW Energy’s share of gross production was unit cost of production of $8.70 per boe. Oben-
vide technology licensing and basic engineering approximately 900,000 barrels of oil. Net sold 50 gas well now producing, Oben-51 drilled and
design, in addition to services, equipment, cat- volume, which is the basis for revenue recogni- completed with gas expected to flow in May.
alysts and adsorbents for the plant. This repre- tion in the financial statement, was 650,000 bar- Safety record extended to more than 17mn hours
sents UOP’s third award for a C3 Oleflex unit in rels including approximately 97,000 barrels of without LTI on Seplat-operated assets.
North Africa, following earlier wins in Egypt and quarterly Domestic Market Obligation (DMO) Financial highlights: Board adopts quar-
Algeria. deliveries, resulting in an under- lift position of terly dividend policy; declares Q1-2021 divi-
“Anchor Benitoite’s PDH unit is an impor- around 156,000 barrels at the end of the period. dend of $0.025 per share. Revenue up 16.8% to
tant production unit in the project; being the BW Energy had a cash balance of $185mn at $152.4mn. EBITDA of $77.8mn. Cash at bank
upstream propylene-producing unit for the March 31, 2021, compared to $120mn at Decem- $236.3mn, net debt of $458.1mn. Successful
whole complex.” said Ahmed M.A. Moharram, ber 31, 2020. The increase is mainly due to the issue of $650mn 7.75% senior notes to redeem
Founder and Managing Director of Anchorage capital raise of $75mn in January 2021. The com- existing $350mn 9.25% senior notes and repay
Investments. “This underscores the significant pany is well capitalised for the upcoming invest- $250mn drawn on $350mn RCF. Refinanced
importance of implementing Honeywell UOP’s ment activities with a robust balance sheet and $100mn Westport RBL facility. Total capital
well-proven and globally acknowledged propane no external debt. expenditure of $32.6mn.
dehydrogenation technology.” In April, one subsequent lifting of 666,000 Corporate updates: Seeking shareholder
“The increasing consumption of plastics in barrels was completed to BW Energy and JV approval at the AGM on May 20, 2021, to change
the region has created a growing gap between name to Seplat Energy PLC to reflect evolving
supply and demand for propylene, which has strategy. ANOH project now fully funded fol-
historically been a byproduct of refining fuels,” lowing successful $260mn debt issue. Plan to
said Laura Leonard, vice president and general host Capital Markets Day on July 29, 2021.
manager, Honeywell UOP Process Technolo- Outlook: Expected production unchanged
gies. “Our Oleflex technology can bridge this at 48,000-55,000 boepd for full year, subject to
gap by producing ‘on-purpose’ propylene from market conditions. Capex guidance unchanged,
propane that is derived from natural gas or refin- expected to be $150mn for the full year. 5mn bar-
ing processes.” rels hedged at $35-$45per barrel from Q2-2021
Honeywell UOP’s C3 Oleflex technology to Q4-2021.
converts propane to propylene through catalytic Roger Brown, Chief Executive Officer, said:
dehydrogenation. The technology is designed to “We have made a progressive start to the year,
have a lower cash cost of production and higher delivering oil and gas production volumes of
return on investment when compared to com- 48,239 boepd, within our guidance range. With
peting dehydrogenation technologies. Its low the Gbetiokun field at OML 40 now back in pro-
energy consumption, low emissions and fully duction, we are currently achieving average daily
recyclable, platinum-alumina-based catalyst sys- volumes of nearly 54 kboepd so far in April and
tem helps minimise its impact on the environ- we will build on this as we add additional oil and
ment. The independent reactor and regeneration gas wells this year.

Week 18 05•May•2021 www. NEWSBASE .com P15