Perenco, Partners Ink Gas Sales Agreement for Vietnam Project
Perenco and its co-venturers in Block 15-1 offshore Vietnam have secured an agreement to supply natural gas from the Su Tu Trang (White Lion) Phase 2B project to the country's Southeast region.
"Su Tu Trang Phase 2B will supply more than 600 billion cubic feet of gas over its life, supporting growing energy demand in Southeast Vietnam and contributing to the country's energy security", Perenco said in an online statement.
"The project is designed to deliver up to 150 million standard cubic feet per day of gas and includes brownfield modifications, the installation of a new Central Gas Facility platform, and the drilling of up to 15 gas wells".
The partners expect to start production this month. They aim to realize the project's capacity in the first half of 2028.
Last year Perenco, state-owned PetroVietnam, Korea National Oil, SK and Geopetrol signed a new 25-year production sharing contract (PSC) for the block.
Block 15-1 is in the Cuu Long Basin 180 kilometers (111.85 miles) southeast of Ho Chi Minh City in waters about 47 meters (154.2 feet) deep. It started production 2003 through the Black Lion field, which holds estimated reserves of 600 million barrels of oil. Golden Lion, Brown Lion and White Lion subsequently began production October 2008, September 2014 and November 2016 respectively. The block reached 400 million barrels of oil production in 2022, according to PetroVietnam.
"The newly signed contract will facilitate the continued efficient exploitation of existing mines, while opening up opportunities to discover and develop new potential structures in the area", PetroVietnam said at the time.
"Maintaining and expanding exploitation activities at Block 15-1 also contributes to ensuring national energy security, while maintaining Vietnam's strong presence in sovereign waters".
In the new PSC PetroVietnam owns 59 percent. Perenco holds 19.8 percent, Korea National Oil 11.4 percent, SK 7.2 percent and Geopetrol 2.6 percent.
Besides Block 15-1, the second-biggest oil and gas block in the Southeast Asian country, Perenco owns a stake in the Nam Con Son pipeline, according to the company.
To contact the author, email jov.onsat@rigzone.com
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