Name of the Project
Bayu-Undan infill development.
Location
In the Bayu-Undan field in the Timor Sea, off the shore of East Timor.
Project Owner/s
Bayu-Undan Joint Venture (JV), a JV between oil and gas major Santos (43.4%) following completion of a 25% sell down to SK E&S, with Santos remaining the operator of the project. The remaining interests are held by SK E&S; INPEX, which holds 11.4%; Eni, which holds 11%; JERA, with 6.1%; and Tokyo Gas, with 3.1%.
Project Description
The Phase 3C infill drilling programme comprises three production wells (two platform and one subsea) and will develop additional natural gas and liquids reserves, extending field life, production from the offshore facilities and the Darwin LNG plant. The wells will be drilled using the Noble Tom Prosser jack-up rig.
The programme will add more than 20-million barrels of oil equivalent gross reserves and production at a low cost of supply, as well as extend the life of Bayu-Undan.
Potential Job Creation
Not stated.
Capital Expenditure
$235-million.
Planned Start/End Date
The first well is scheduled to spud in the second quarter of 2021, and production from the first well is expected in the third quarter of 2021.
Latest Developments
Santos formally welcomed Barossa JV partner SK E&S as a partner in Bayu-Undan and Darwin LNG in April 2021.
Santos and SK E&S are also partners in the Barossa project, where a final investment decision was announced in March. First gas from Barossa – to backfill Darwin LNG – is expected in the first half of 2025.
Further, Santos has signed a memorandum of understanding (MoU) with energy company Eni to cooperate on opportunities in northern Australia and Timor-Leste.
Cooperation includes assessing the synergies of sharing possible infrastructures associated with gasfield developments around Barossa and Evans Shoal, a pipeline to Darwin and onshore associated gas processing leading to LNG expansion developments.
It also includes investigating options to repurpose the Bayu-Undan facilities to extend the life of the project, including a carbon capture and storage project, subject to the agreement of the Timor-Leste government.
Key Contracts, Suppliers and Consultants
None stated.
Contact Details for Project Information
Santos media enquiries, James Murphy, tel +61 478 333 974 email james.murphy@santos.com.