Husky: BD field on track for first production, gas deal for other fields secured
Saturday, February 25 2017 - 05:02 AM WIB
Courtesy of Husky
Canadian firm Husky Energy said at the liquids-rich BD field, in the Madura Strait block, offshore East Java, development well drilling, completion and testing of all four wells has been completed.
The company said in a statement Friday updating the project?s progress that facilities construction project is approximately 97 percent complete including the installation and testing of the shallow water platform, the subsea pipeline to shore and the onshore gas metering station. The FPSO vessel construction has been completed and the vessel is now moored at the field location in preparation for insitu testing and commissioning.
?The project is on target for first production in the 2017 timeframe and is scheduled to ramp up to its full gas sales rate by the second half of 2017,? the statement said.
The company said it has also secured a gas sales agreement for the MDA and MBH fields, located in the same block, which will be developed in tandem. ?Negotiations of additional gas sales agreements for the MDA, MBH and MDK gas fields are in progress,? it said.
A re-tendering process for a floating production vessel has been completed and the winning bidder was approved by upstream oil and gas authority SKK Migas. The vessel lease contract is being finalized and is planned to be signed in early 2017.
Tendering is also underway for related engineering, procurement, construction and installation contracts. Production from the MDA, MBH and MDK fields is expected in the 2018 - 2019 timeframe. Combined net sales volumes from the BD, MDA, MBH and MDK fields are expected to be approximately 100 mmcf/day of natural gas and 2,400 bbls/day of associated NGLs once production is fully ramped up.
Husky holds a 40 percent working interest in a joint venture company that holds the PSC for the Madura Strait Block covering approximately 622,000 acres, offshore Indonesia. It is focused on the development of the BD, MDA, MBH, MDK and MAC fields.
Editing by Reiner Simanjuntak