Twinza Oil Ltd., Perth, has signed an agreement for the provision of support on its Pasca A gas-condensate field development in the Gulf of Papua.
The agreement, signed with Baker Hughes, includes drilling services, wellheads, and pressure-control equipment for the coming fourth and final appraisal well in the field. The well will be drilled in the next 2 months and suspended as a future development well.
The final investment decision on the Pasca A project is expected in 2018. Once FID has been reached, Baker Hughes will provide an integrated gas processing solution from the wells through to point of export.
Called the first of its kind in the industry, the fullstream agreement includes a wide range of services. Apart from drilling, it comprises subsea equipment, gas processing topsides, gas compression and turbomachinery, as well as installation and commissioning.
Last month Twinza signed a contract with China Oilfield Services Ltd. for use of the COSL Seeker jack up rig to drill the appraisal well in Pasca A field.
The company submitted an environmental impact statement for the development program in August 2016 with a plan to initially strip condensate and LPG from the gas flow. The LPG and condensate is to be fed into two separate floating production, storage, and offloading vessels while the dry gas is to be reinjected into the reservoir for later redevelopment.
Twinza estimates Pasca A contains 19 million bbl of condensate and 20 million bbl of LPG. The propane component of the LPG will be sold into Papua New Guinea’s domestic market while the condensate, butane, and excess propane will be exported. The liquids project is expected to have a 20-year lifespan with a development cost of $250-550 million.
The subsequent gas production options include installation of a floating LNG facility or a pipeline to shore.
Pasca is a carbonate pinnacle reef structure that lies in permit PPL328 in 93 m of water 85 km from the nearest point on the Gulf of Papua coast and 265 km west of Port Moresby.
