UK's Angus eyes first gas from UK onshore Saltfleetby field near year-end

UK upstream junior Angus Energy -- which is working to resume gas production from the onshore Saltfleetby gas field in eastern England -- said June 23 it hoped it could see first gas toward the end of 2020.

Saltfleetby began gas production in 1999 and was the UK's biggest onshore gas field, producing some 67 Bcf (1.9 Bcm) until it was idled in 2017.

But Angus -- which agreed in June last year to buy a 51% stake in the field from Wingas -- has said up to 18 Bcf of recoverable gas remains at Saltfleetby.

"Our aim is to complete tendering before mid-June with a view to pipeline connection in Q3 and installation in Q4 with an eye to first gas near the end of the year," Angus said in an operational update.

"There are many moving parts to the program and our timeline will be at the mercy of the slowest of them," it said.

"Notwithstanding that and the present COVID-19 situation, progress made to date gives us some confidence that the timetable will not be greatly altered."

In May, Angus said it expected to complete an offtake agreement for gas from Saltfleetby with one of the "larger gas wholesale operators" by the end of the month, but no agreement has yet been announced.

Angus has said the field's first full-year gross production is expected to be between 17 million and 19 million therms (47-53 million cu m) based on last known production rates, once it restarts the operation.

The remaining gas could be produced over a period of 12 years, the company has said.

Processing of Saltfleetby gas was previously carried out by a third party at the Theddlethorpe gas terminal, which itself has now been decommissioned.

Angus plans to install processing facilities at the field to prepare the gas to enter the UK gas grid.

UK onshore gas production is small compared with the more prolific output from the country's offshore fields.

The UK produced 10 Bcf (280 million cu m) from its onshore fields in 2018, according to industry body UK Onshore Oil and Gas (UKOOG), enough to meet just 0.4% of the country's annual gas demand.

Source: SP Global

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