Sunday 23 June 2024

Strategic sale of Egypt, Italy and Croatia portfolio

Energean plc (LSE: ENOG, TASE: אנאג (is pleased to announce that it has entered into a binding agreement for the sale of its portfolio in Egypt, Italy and Croatia to an entity controlled by Carlyle International Energy Partners (“Carlyle”) for an enterprise value (“EV”) of up to $945 million, of which $820 million is firm (the “Transaction”). Completion is expected by year-end 2024, subject to customary regulatory and antitrust approvals.

Energean assets being sold include:

Monday 17 June 2024

Subsea7 awarded a contract for the Bittern field in the UK North Sea.

Subsea7 today announced the award of a sizeable1 contract by Dana Petroleum (E&P) Limited, for the Bittern field development, located approximately 190km east of Aberdeen in the UK Central North Sea, at a water depth of 90 metres.

The contract scope includes project management, engineering, procurement, construction and installation (EPCI) of a 22km 12” water injection pipeline. Subsea7’s scope also includes associated subsea structures and tie-ins at the Triton Floating Production Storage & Offloading (FPSO) vessel and the Bittern field.

Project management and engineering work will commence immediately in Aberdeen. The offshore activities are scheduled for Q3 2025.

Steve Wisely, Senior Vice President of UK and Global Inspection, Repair and Maintenance, Subsea7, said: "We are pleased that Dana Petroleum has chosen Subsea7 to provide project management expertise and engineering technical knowledge for this important field development. We look forward to supporting Dana in meeting their project objectives and for the opportunity to play a key role in the safe and successful completion of Bittern."

Woodside Achieves First Oil at Sangomar In Senegal

Woodside has achieved first oil from the Sangomar field offshore Senegal, marking the safe delivery of the country’s first offshore oil project.

The Sangomar Field Development Phase 1 is a deepwater project including a stand-alone floating production storage and offloading (FPSO) facility with a nameplate capacity of 100,000 barrels/day, and subsea infrastructure that is designed to allow subsequent development phases. 

“This is an historic day for Senegal and for Woodside,” said Woodside CEO Meg O’Neill. “First oil from the Sangomar field is a key milestone and reflects delivery against our strategy. The Sangomar project is expected to generate shareholder value within the terms of the production sharing contract. 

“Delivering Senegal’s first offshore oil project safely, through a period of unprecedented global challenge, demonstrates Woodside’s world-class project execution capability. 

We are proud of the relationships we have formed with PETROSEN, the Government of Senegal and our key international and local contractors to develop this nationally significant resource.” 

General Manager of PETROSEN E&P Thierno Ly said he was pleased to reach this milestone. 

“First oil from the Sangomar field marks a new era not only for our country's industry and economy, but most importantly for our people. “This achievement is the result of the unwavering commitment of our teams, who have worked diligently to overcome challenges and meet our strategic objectives in a complex and demanding environment. We have never been so well positioned for opportunities for growth, innovation, and success in the economic and social development of our nation.

About Sangomar Field Development Phase 1

The Sangomar Field Development Phase 1 features the Léopold Sédar Senghor FPSO, named after the first president of Senegal, which is moored approximately 100 kilometres offshore Senegal. The vessel has a storage capacity of 1,300,000 barrels. 

The Phase 1 development includes 23 wells (11 production wells, 10 water injection wells and 2 gas injection wells). 21 of the 23 wells have been drilled and completed including 9 production wells. The RSSD joint venture has also approved a 24th well (production well) that will be completed in the current campaign. 

The Sangomar Project is being progressed by the Rufisque Offshore, Sangomar Offshore and Sangomar Deep Offshore (RSSD) joint venture, comprising Woodside (Operator and 82% participating interest) and Societé des Petroles du Sénégal (PETROSEN) (18% participating interest). 

The Sangomar Field Development Phase 1 project cost estimate remains within the provided range of US$4.9-$5.2 billion. The drilling campaign at Sangomar is ongoing and Woodside expects to continue commissioning activities and safely ramping up production through 2024. 

Crude quality is expected to be ~31 degrees API which is in demand in European and Asian markets. 

Woodside’s historical acquisition of participating interests in the RSSD joint venture from both Capricorn Energy and FAR included certain contingent payments. Given current timing of first oil and oil prices Woodside anticipates making both these payments. The final payments are subject to ongoing production performance and oil price.

Thursday 6 June 2024

Suriname: TotalEnergies, APA Corporation and Staatsolie progress towards Final Investment Decision on Block 58

On the occasion of the 2024 Suriname Energy Oil and Gas Summit, Javier Rielo, Senior Vice President Americas, Exploration & Production for TotalEnergies, and Annand Jagesar, CEO of Staatsolie Maatschappij Suriname N.V, the Suriname National Oil Company, announced several significant steps towards the Final Investment Decision (FID) of the development of offshore Block 58. This decision is expected in the fourth quarter of 2024, for a production start-up in 2028.

TotalEnergies is the operator of Block 58 with a 50% interest, alongside APA Corporation (50%). Staatsolie has the option to enter the development project with up to 20% interest upon FID.

Engineering studies (FEED) are progressing for the development of the Sapakara and Krabdagu fields, with combined recoverable resources estimated above 700 million barrels thanks to the integration of Water Alternating Gas (WAG) injection technology to maximize recovery. Ocean Bottom Node (OBN) seismic technology will also play a key role in maximizing resources and the placement of the development wells, as well as identifying resource upsides. A first OBN campaign covering 900 km2 will be carried out in second half of 2024.

Some key milestones have been recently reached in the path towards FID. An agreement was concluded between Staatsolie and TotalEnergies on the field development area, maximizing the value for Suriname and the Block 58 co-venturers over the 25 years Production Period. In addition, the hull for the 200,000 barrels of oil per day (bopd) Floating Production Storage and Offloading (FPSO) unit has been secured.

TotalEnergies is committed to developing this project responsibly using the best technologies to minimize greenhouse gas emissions. In particular, the facilities will be designed for zero routine flaring, with all associated gas reinjected into the reservoirs. During the development and production phases, TotalEnergies will work closely with Staatsolie to enhance local content, as already demonstrated during the exploration and appraisal phases, with over 80 people trained for logistics operations in Paramaribo.

“We are glad to progress together with Staatsolie and APA towards the FID of Block 58, which will be the next milestone in the partnership between Suriname and TotalEnergies. Our Company is deploying advanced technologies to minimize the environmental impact and maximize resource recovery, while focusing on ensuring economic benefits for the country,” said Javier Rielo, Senior Vice President Americas, Exploration & Production at TotalEnergies.

“Staatsolie is happy to progress towards the development of this project with a world-renowned partner in such a way that Suriname optimally benefits not only from large financial streams but as well from a design and execution that will safeguard safe and clean operations,” said Annand Jagesar, CEO of Staatsolie.

GTA LNG project reaches significant milestone with arrival of FPSO vessel

The floating production storage and offloading (FPSO) vessel, a key component of the Greater Tortue Ahmeyim (GTA) Phase 1 LNG development, has arrived at its final location offshore on the maritime border of Mauritania and Senegal.

The FPSO vessel is currently being moored at the site 40km offshore in a water depth of 120m. It will be operated by bp, on behalf of the project’s partners: bp, Kosmos Energy, PETROSEN and SMH. The project will produce gas from reservoirs in deep water, approximately 120km offshore, through a subsea system.

Following completion of its construction at the COSCO Qidong Shipyard, China, the FPSO has travelled more than 12,000 nautical miles to the GTA site.

Dave Campbell, bp’s senior vice president, Mauritania and Senegal said: “bp is investing in today’s energy system - and tomorrow’s too, and GTA Phase 1 represents this investment in action.

“And this is a huge landmark step for the project, an innovative LNG development that is leading the way in unlocking gas resources for Mauritania and Senegal. The FPSO vessel has travelled halfway around the globe and its safe arrival and installation is testament to the resilience, skills, teamwork and huge effort of all the partners involved. We are now entirely focused on safe completion of the project as we continue to work towards first gas.”

The GTA Phase 1 development is expected to produce around 2.3 million tonnes of LNG annually for more than 20 years. It is the first gas development in this new basin offshore Mauritania and Senegal. With wells located in water depths of up to 2,850m, the GTA Phase 1 development has the deepest subsea infrastructure in Africa. The multibillion-dollar investment has been granted the status of National Project of Strategic Importance by the Presidents of both Mauritania and Senegal.

The FPSO will have up to 140 people on board during normal operation. With an area equivalent to two football fields and 10-storeys in height, the FPSO is made of more than 81,000 tonnes of steel, 37,000m of pipe spools and 1.52 million meters of cable.

The FPSO is expected to process over 500 million standard cubic feet of gas per day. It will remove water, condensate and impurities from the gas before transferring it via pipeline to the Floating Liquified Natural Gas (FLNG) vessel at the Hub Terminal approximately 10km offshore. At the FLNG vessel, the gas will be cryogenically cooled, liquefied and stored before being transferred to LNG carriers for export, while some is allocated to help meet growing demand in the two host countries.

Seatrium Awarded Letter of Intent for a Deepwater New-build Production Unit in the US Gulf of Mexico

Seatrium Limited (Seatrium, or the Group) is pleased to announce that it has been awarded a Letter of Intent (LOI) by BP Exploration & Production Inc. (bp) to provide services to carry out certain early engineering works pending the finalisation of a definitive contract for engineering, procurement, construction and commissioning work for bp’s Kaskida Floating Production Unit (FPU) project in the US Gulf of Mexico. 

The Kaskida project is a greenfield development located approximately 250 miles southwest of New Orleans, in the Keathley Canyon area of the Gulf of Mexico. Comprising a single topside module supported by a four-column semi-submersible hull, the Kaskida FPU is supported by subsea production wells located in a water depth of approximately 6,000 feet. 

The EPC contract award is subject to mutually agreed terms and conditions and management approval, and the final investment decision by bp. 

Mr William Gu, Executive Vice President, Oil & Gas (International) of Seatrium, said, “We are pleased to secure the Letter of Intent with bp for the Kaskida development. This award reflects our expertise and successful track record of delivering complex FPUs. Over the years, Seatrium has established itself as the market leader in EPC projects for FPUs. We look forward to the opportunity to contribute to the success of the Kaskida project." 

The LOI is not expected to have any material impact on the net tangible assets and earnings per share of the Group for the financial year ending 31 December 2024.

ADNOC Awards 3% Interest in SARB and Umm Lulu Concession to SOCAR

ADNOC announced today it has signed an agreement to award a 3% participating interest in the SARB and Umm Lulu offshore concession to SOCAR. This award builds on the strategic energy partnership between the United Arab Emirates (UAE) and Azerbaijan and deepens ADNOC’s growing partnership with SOCAR across the energy value chain.

The SARB and Umm Lulu concession deploys cutting-edge digitalization and AI technologies for remote monitoring, smart well operations and production management to optimize production efficiency, reduce emissions, enhance safety and increase production capacity.

Abdulmunim Saif Al Kindy, ADNOC Upstream Executive Director, said: "We are very pleased to welcome SOCAR to the SARB and Umm Lulu concession. This award supports ADNOC’s strategy to leverage strategic partnerships and advanced technologies to maximize value from Abu Dhabi’s energy resources to ensure a secure, reliable and responsible supply of energy.”

This agreement builds upon previous collaborations between the two companies, including ADNOC's acquisition of a 30% equity stake in Absheron gas and condensate field in the Caspian Sea and a Strategic Collaboration Agreement on the potential development of low carbon energy technologies, including hydrogen and geothermal.

Rovshan Najaf, President of SOCAR said: “This is our first international upstream investment and we are particularly delighted to make this investment in Abu Dhabi, building upon our bilateral strategic relationships. We are committed to advance our energy partnership with ADNOC even further and continue cooperating in many more projects of mutual interest."


Both fields at the SARB and Umm Lulu concession use Intelligent Well Surveillance (IWS) technology, allowing them to operate wells at an optimum rate to drive operational efficiency.