Triangle Energy establishes new export route for Cliff Head crude oil

Triangle Energy (Global) Ltd. and Pilot Energy Ltd., joint venture partners at Cliff Head oil field in production license WA-31-L in shallow water offshore North Perth basin, Western Australia, established a new crude oil export route from the Port of Geraldton to Singapore.

The JV completed the first oil load-out from refurbished and expanded storage tanks at the onshore Arrowsmith stabilization plant to a chartered tanker (AB Paloma) at Geraldton.

Cliff Head, 11 km off the coast, is connected by pipeline to the Arrowsmith plant.

Some 24,500 bbl of crude was trucked from the plant the week of July 11. The tanker will remain on standby while the JV produces and stores a further 25,000-30,000 bbl of crude during the next 6 weeks. The crude will loaded onto the vessel, which will head to Singapore where the oil will be sold to refineries.

The new export route will enable the continuation of oil production from Perth basin for Cliff Head and other small onshore producers, which had been threatened with closure when bp's oil refinery in Kwinana, south of Perth, discontinued crude refining for conversion to a fuel import terminal, the JV said.

Cliff Head field is expected to increase production in late August when the CH-10 well workover has been completed. Work will resume late July when an electric submersible pump arrives from overseas.

In the meantime, the JV is working to finalize arrangements and alignment on future Cliff Head development plans focused on a proposed 500,000 tonnes/year carbon capture storage (CCS) operation for service to third parties. Such a plan would extend the working life of Cliff Head infrastructure, the JV said.

Triangle is operator of Cliff Head and Arrowsmith with 78.75% interest. Pilot Energy holds 21.25%.