Hess begins Phu Horm gas flow in Thailand

Dec. 6, 2006
Amerada Hess (Thailand) Ltd. has begun production from Phu Horm gas field on Block E5N in Udon Thani Province of northeastern Thailand.

By OGJ editors
HOUSTON, Dec. 6 -- Amerada Hess (Thailand) Ltd. has begun production from Phu Horm gas field on Block E5N in Udon Thani Province of northeastern Thailand, reported Salamander Energy PLC.

Phu Horm's gas reserves are estimated at 550 bcf plus condensate capable of yielding 500 b/d of production (OGJ, Aug. 1, 2005, Newsletter).

Gross production, initially from two wells, will be about 60 MMcfd, increasing to an expected rate exceeding 100 MMcfd plus condensate. Additional wells will be brought into production in 2007, and deliveries are expected to increase to as much as 108 MMcfd.

Hess owns a 35% interest in the field and is operator. Other partners are Apico LLC, 35%; PTT Exploration & Production PLC (PTTEP), 20%; and ExxonMobil Exploration & Production Khorat Inc., 10%. Salamander owns 27.2% of Apico.

A gas sales agreement with PTT Public Co. Ltd. calls for more than 500 bcf of gas from the field to be supplied to a power station at Nam Phong over 15 years.