Name of the Project
Barossa project to backfill Darwin liquefied natural gas (DLNG) plant.

Location
The project is located 300 km north of Darwin, within Santos’ Northern Australia portfolio, one of the company’s core long-life, natural gas assets.

The project area encompasses petroleum permit NT/RL5 over the Barossa field and petroleum permit NT/RL6 to the south over the Caldita field to be developed as a potential future phase of the project.

Project Owner/s
Oil and gas major Santos currently holds a 50% operating interest in the Barossa joint venture (JV) following the sale of a 12.5% interest in the Barossa project to JERA in April 2022, and the completion of all regulatory approvals. Cash proceeds to Santos at completion of the transaction were $327-million.

Santos struck a binding sales and purchase agreement with JERA in January, which is an existing partner at DLNG.

SK E&S holds a 37.5% share in the project. Santos is also a JV partner and operator in DLNG, with a 68.4% interest.

Project Description
The Barossa development comprises a floating production storage and offloading facility (FPSO), with six subsea production wells to be drilled in the initial phase, and supporting in-field subsea infrastructure and a gas export pipeline tied into the existing pipeline between Bayu-Undan and Darwin.

Barossa’s development will extend the operating life of the DLNG plant by more than 20 years.

Potential Job Creation
Not stated.

Capital Expenditure
In March 2021, Santos reported that it had cut about $1-billion in expected capital expenditure from the project, as a result of significant financial savings and energy efficiency improvements through extensive and intensive contract reviews.

Planned Start/End Date
The project aims to provide gas for the DLNG plant after the Bayu-Undan reservoir ceases production after 2022. The Barossa project took a final investment decision in March 2021, with first LNG expected in the first half of 2025.

Latest Developments
The Barossa gas and condensate project to backfill DNG was 33% complete at the end of March and remains on schedule and budget for first production in the first half of 2025.

The project comprises a floating production, storage and offloading vessel, subsea production wells,

Key Contracts, Suppliers and Consultants
MODEC and a consortium between TechnipFMC and Samsung Heavy Industries (FPSO) and INTECSEA (subsea infrastructure); Allseas Group (engineering, procurement, construction and installation of the gas export pipeline); and BW Offshore (construction, connection and operation contract for the FPSO).

Contact Details for Project Information
Santos media enquiries Joanna Vaughan, tel +61 2 9276 1134 or email joanna.vaughan@santos.com; or investor enquiries Andrew Nairn, tel +61 8 8116 5314 or email andrew.nairn@santos.com.