DILI, 23 august 2021 (TATOLI) – Santos Ltd of Australia began its drilling of the first of the three wells in the Bayu-Undan field off southern Timor-Leste indicates an increase in oil production.
“With the successful result of the first of the three wells in the Bayu-Undan field shows that our oil production was increased. The well produces 175 million standard cubic feet of gas and 10 million barrels of oil a day,” Florentino Soares Ferreira, the President of the National Authority of Petroleum and Minerals (ANPM) told TAOLI at the Ministry of Finance, in Dili, on monday.
Ferreira said so far a total of 600 million standard cubic feet per day (MMscf/d) and 26 thousand barrels of oil per day (Mbbl/d) had been produced from the Bayu-Undan field.
“It means we will get additional revenue from the field, but it will be depended on the oil price. We will calculate the final revenue once the tax payments are made. Thus, I prefer not to mention the exact amount of the money. We will know the amount of the money when the oil is sold,” said Ferreira.
He said the drilling of the second well was underway, saying all went well without any difficulties.
“In the coming weeks, the drilling of the second well will reach its target and we can’t wait to see the result,” affirmed Ferreira.
ANPM had been monitoring the drilling of the wells in the Bayu-Undan field, and Santos Ltd showed good cooperation with the ANPM, he said.
Bayu-Undan is a gas-condensate field located offshore in the Timor Sea some 250 kilometers southwest of Suai in Timor-Leste.
The total revenue from the full development of Bayu-Undan is estimated to exceed $AUD30 billion, Santos Ltd said on its website.
The Bayu-Undan upstream facilities fall entirely within Timor-Leste’s jurisdiction, following the implementation of a new maritime border with Australia.
Bayu Undan has been the nation’s main source of revenue for more than a decade, paying more than $20 billion into the Timor-Leste Petroleum Fund.
Journalist: Florêncio Miranda Ximenes
Editor: Julia Chatarina
Translation: Filomeno Martins
Editor: Nelia Borges Rosario
