UK, Indonesia Projects Progress: Premier

UK independent Premier Oil said January 11 a new gas development in Indonesia is on target for first gas 2019, while another in the North Sea is on track for sanction this year.

Engineering design work on its operated Tolmount gas field is progressing well, with evaluation of tenders received for major offshore project scopes underway, said Premier: “Approval of project sanction remains on track for 2018,” it said. Separately it said it had hedged 24% of its 2018 UK gas entitlement production through fixed price term sales at an average price of 47p/therm ($6.36/mn Btu)

In Indonesia, Premier said the BIGP development project in Natuna Sea Block A is on budget and schedule for first gas in 2019 that would backfill its existing Singapore and domestic gas market contracts. 

Also, following an agreement signed two months ago with Petrovietnam, Premier expects to start further appraisal drilling at its Tuna gas field offshore Indonesia in 2019, with a view to exporting first gas from the field in 2023 to Vietnam. A farm-out process is underway of Premier’s 65% Tuna equity interest, it added.

Its January 11 update focused on the recently started UK North Sea Catcher oilfield that will ramp up to peak gross output of 60,000 barrels of oil equivalent per day by mid-2018, from one-third of that now.