Chinguetti development ahead of schedule

Sept. 21, 2005
Development of Chinguetti oil field off Mauritania, where the government recently changed in a bloodless coup, is ahead of schedule but will cost slightly more than earlier estimated, reports operator Woodside Petroleum (Pty.) Ltd.

By OGJ editors
HOUSTON, Sept. 21 -- Development of Chinguetti oil field off Mauritania, where the government recently changed in a bloodless coup, is ahead of schedule but will cost slightly more than earlier estimated, reports operator Woodside Petroleum (Pty.) Ltd.

Woodside expects production to start next February instead of March and costs to total $705 million instead of $625 million (OGJ, Aug. 15, 2005, p. 27). Chinguetti field, 90 km west of Nouakchott, holds an estimated 100 million bbl of oil.

Woodside, which holds a 47.38% interest, set aside $45 million for unplanned contingencies. It said most of the increased cost estimate relates to drilling. The field's complex geology has required extra time for sidetracks, and there are additional costs for preparation of subsea flowlines for installation.

Other partners in the production-sharing contract are Hardman Resources Ltd. 19%, BG Group 10.2%, Premier Oil PLC 8.1%, Roc Oil Co. Ltd. 3.3%, and the Mauritanian government 12%.