IOG Plans for UK N Sea Hub Slip
London-listed Independent Oil and Gas (IOG) looks likely to miss its 3Q target to get UK regulatory approval of its development plans.
On February 1 the company said it remained on track for field development plan approvals by end-August 2018" for the Blythe and Vulcan gas field hubs in the UK southern North Sea (both 100% IOG). But on June 5 IOG said that a malfunction of a pipeline inspection unit (pig) meant it had not obtained sufficient data during a pigging run of a 60-km section of its Thames gas pipeline to Bacton completed May 26.
“The need for a second intelligent pig run will inevitably have some impact on the project schedule. IOG has advised the Oil and Gas Authority (OGA) of this requirement and will request a short extension on the FDP approval target date, which is the end of August 2018,” said IOG.
However, the good news is that it cut three 12-metre sections of the Thames pipeline for sampling, and these showed very little evidence of corrosion, despite the pipe having been decommissioned in 2015. IOG says its Blythe and Vulcan hubs comprise five gas fields totalling 2P reserves of 303bn ft3.