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BHP makes $283m investment in Ruby gas

BHP makes $283m investment in Ruby gas

Photo by Bloomberg

8th August 2019

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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PERTH (miningweekly.com) – Diversified miner BHP has approved a $283-million spend to develop the Ruby oil and gas project, in Trinidad and Tobago.

BHP, which holds a 68.46% interest in the project, on Thursday said that the total investment for the Ruby oil and gas project would amount to $500-million.

The project consists of five production wells tied back using the latent capacity of the existing processing facilities, proven technology of the existing operated asset, and newly acquired ocean bottom node seismic imaging.

The project has estimated recoverable 2C resources of 13.2-million barrels of oil and 274-billion cubic feet of natural gas.

First production is expected in the 2021 calendar year and is estimated to increase production by around 16 000 bbl/d of oil and about 80-million standard cubic feet a day gross at its peak.

“This is an important milestone for BHP in Trinidad and Tobago. Ruby aligns well with our strategy of maximising value from our existing assets, bringing competitive near term value and volume growth,” BHP’s president for petroleum operations, Geraldine Slattery, said.

The project is jointly owned by BHP, which acts as operator, while Heritage Petroleum and the National Gas Company of Trinidad and Tobago hold the remaining 20.13% and 11.41% interest, respectively.

Edited by Creamer Media Reporter

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