PTTEP Becomes Operator Of Thai Offshore Project Duo

Thai oil and gas company PTTEP has become the official operator of the G1/61 project containing the Erawan, Platong, Satun, and Funan fields and the G2/61 project which holds the Bongkot field offshore Thailand.

PTTEP won bids to continue operating Bongkot and to become the operator of Erawan back in December 2018. At the time it competed with at-the-time Erawan operator Chevron which was looking to become the operator of Bongkot.

Montri Rawanchaikul, CEO of PTTEP, said that the company assumed operatorship of the G1/61 project and the G2/61 project on April 24, 2022, which marked the first day of the PSC.

The company has continued its operatorship in the Bongkot field, and the G1/61 project was transferred from Chevron to PTTEP.

“To assure a smooth and safe transition of G1/61 project as well as continuously satisfy national natural gas demand, PTTEP set up a war room at the Headquarter and the production platforms and worked closely with the Department of Mineral Fuels and the former operator of G1/61 project,” PTTEP said.

"PTTEP has continually upheld and been committed to executing our missions in strengthening national energy security. By assuming the operatorship of these sizable natural gas fields of the country, which are vital sources of energy with a combined production capacity of 1,500 million cubic feet per day (mmscfd) or 60 percent of the nation’s gas supply, we take pride in being Thailand’s energy company and strive to conduct our energy business for the country and all people the best we can,” Montri stated.

At the G1/61 project, the company’s mission of strengthening national energy security will continue to be carried out by staff with extensive experience in the fields, primarily supporting this seamless and smooth operation.

On the date of operatorship handover, the natural gas production rate at the G1/61 was 376 mmcfd. Due to the absence of continuous development and drilling activity before the operatorship transfer to PTTEP, the production rate will gradually decline from the exit rate.

PTTEP was previously not allowed to access the site to proceed with the preparation work including the drilling campaign as planned, even though the company was granted site access in late 2021, it was about two years behind the plan.

Consequently, PTTEP will continue to produce natural gas from the remaining resources of the existing production wells with the utmost concern for safety and production stability. Therefore, the production rate will initially stay at approximately 250-300 mmscfd. The company will thereafter execute its plan to ramp up the production rate to 800 mmscfd within April 2024.

The execution plan includes the acceleration of 8 wellhead platforms and subsea pipeline installation, a drilling campaign of 183 production wells, and procurement of additional 2 drilling rigs for another 52 production wells are all in place. PTTEP will also conduct equipment and system inspections as well as maintenance schedules to ensure the readiness and safety of the petroleum production.

With regards to the G2/61, the production will proceed accordingly to the work plan that sets to produce 700 mmscfd of natural gas.

To meet natural gas demand while the increase of production capacity at the G1/61 project is underway, PTTEP will attempt to boost the production rates of the Bongkot field, the Arthit project, and the MTJDA project by approximately 125 mmscfd, 60 mmscfd, and 30-50 mmscfd, respectively. In total, the production output will be raised by 200-250 mmscfd to minimize impacts on Thailand.

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