Woodside, BHP Get Scarborough Production Licenses Offers

Monday, November 9, 2020

Australian oil and gas company Woodside has informed that the company and BHP, partners in the Scarborough offshore gas field in Australia, have received offers for the grant of petroleum production licenses for the blocks containing the gas field.

"The Scarborough Joint Venture has received offers for the grant of petroleum production licenses in respect of the WA-1-R (Scarborough) and WA-62-R (North Scarborough) titles from the Commonwealth and Western Australian Joint Authority," Woodside said in a statement on Monday.

The offer follows an agreement reached between Woodside and BHP in February 2020 to align their participating interests across the WA-1-R and WA-62-R titles resulting in Woodside holding a 73.5% interest and BHP holding a 26.5% interest in each title.

Woodside CEO Peter Coleman said the Scarborough Joint Venture intends to accept the production licenses, "demonstrating the strong commitment from both joint venture participants and the State and Federal Governments to taking the project forward."

 The company had planned to sanction the project in early 2020, but it then in March delayed a final investment decision on the Scarborough project until 2021, to weather the oil price plunge.



FID in the second half of 2021

In a statement on Monday, CEO Coleman said: "The impacts of COVID-19 and the ensuing volatility in market and investment conditions have provided us with an opportunity to review options for the Scarborough development, allowing us to improve execution certainty and increase the value of this world-class resource."

“With Production Licences and the Offshore Project Proposal environmental approval in place, Woodside will have secured the key primary Commonwealth approvals required to support a final investment decision,” he said.

Following acceptance, the Scarborough Joint Venture plans to apply for a pipeline license and submission of the Field Development Plan to the Joint Authority, preparing for a targeted final investment decision in the second half of 2021.

In April 2020, the Scarborough Offshore Project Proposal - the primary Commonwealth environmental assessment document for the Scarborough project in Commonwealth waters - was accepted by the National Offshore Petroleum Safety and Environmental Management Authority.

Retention lease renewal applications in respect of the WA-61-R and WA-63-R titles for the Thebe and Jupiter fields (part of the Greater Scarborough gas resource) were submitted to the Joint Authority in May 2020 and are currently under assessment.

The Scarborough gas field contains an estimated contingent resource (2C) dry gas volume of 11.1 Tcf (100%; 8.2 Tcf Woodside share, calculated using deterministic and probabilistic methods).

Categories: Energy Activity Production Gas Australia/NZ

Related Stories

Timor Gap Boosts Stake in Finder Energy’s Timor-Leste Oil Fields

MDL Secures Cable Laying Job in Asia Pacific

Hanwha Ocean's Tidal Action Drillship Starts Maiden Job with Petrobras

Petronas to Leverage AI to Expedite Oil and Gas Exploration Activities

Brownfield Output Decline Accelerates, says IEA

Hanwha Ocean Enlists ABB for Singapore’s First Floating LNG Terminal

Chinese Contractor Secures Offshore Oil and Gas ‘Mega Deal’ from QatarEnergy

Floating Offshore Wind Test Center Planned for Japan

Saipem Wins FEED Contract For Abadi LNG Project FPSO Module In Indonesia

Santos and QatarEnergy Agree Mid-Term LNG Supply

Current News

MODEC Ramps Up Hammerhead FPSO Work After ExxonMobil's Go-Ahead

Aesen, DOC JV Targets Subsea Cable Logistics

Timor Gap Boosts Stake in Finder Energy’s Timor-Leste Oil Fields

SBM Offshore Starts Construction of FSO for Trion Oil Field off Mexico

Russia Targets 2028 for Sakhalin-3 Gas Project Start Up

Seatrium Secures ABS Backing for Deepwater FPSO Design

MDL Secures Cable Laying Job in Asia Pacific

Hibiscus Petroleum Starts Drilling at Teal West Field off UK

Yinson Production Nets DNV Approval for New FPSO Hull Design

Hanwha Ocean's Tidal Action Drillship Starts Maiden Job with Petrobras

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com