By an OGJ correspondent
BANGKOK, July 8 -- The Thai unit of operator Unocal Corp. has started up natural gas and condensate production from the northern extension of Pailin field in the Gulf of Thailand as part of the project partners' overall $820 million field development.
Phase II development facilities are producing 165 MMcfd of gas, boosting the gross contracted gas sales from Pailin field to 330 MMcfd under the agreement with PTT PLC, the partially privatized Thai company formerly known as Petroleum Authority of Thailand (PTT).
North Pailin produced at rates as high as 230 MMcfd during commissioning in June, demonstrating the capacity of Pailin field to provide more than 380 MMcfd if warranted by market demand, said Unocal Thailand.
In addition, North Pailin produces 6,800 b/d of condensate, raising total condensate production from Pailin, on Block B12/27, to more than 15,300 b/d.
With additional production from Pailin Phase II, gross natural gas production from the fields operated by Unocal Thailand totals 1.07 bcfd, all of which is sold to PTT for domestic consumption under a 30-year gas sales agreement signed in 1996.
Phase I gas production began at Pailin in August 1999. The firm has installed 11 wellhead platforms and two processing platforms to serve Pailin field, 160 km east of the southern province of Nakon Si Thammarat. Unocal estimates proved gas reserves in the field at 2 tcf.
The project is described as Unocal Thailand's largest and most complex single project ever undertaken, and one that employs the latest technology to minimize its environmental impact (OGJ, Sept. 27, 1999, p. 36).
Unocal Thailand operates the field with 35% interest. Partners are PTT Exploration & Production PLC 45%, Amerada Hess Exploration (Thailand) Co.15%, and Moeco Thai Oil Development Co, an affiliate of Mitsui Oil Exploration Co., 5%.