From Australia (LB): Cooper Energy is confident a $560mn subsea option for the development of the Manta (SEN, 31/19) gas field in Victoria’s offshore Gippsland Basin could deliver gas within two years of a financial investment decision.
The business case for a proposed development assessed gas resources at Manta to comprise a 2C contingent resource of 106PJ of sales gas and 2.6mmbbl of condensate and a further 11PJ of risked best estimate prospective resources.
It was concluded that these resources can be developed most economically via a two well subsea development with gas export to the nearby Orbost gas plant.
Cooper said the option offered a simpler, lower risk, lower cost and more rapid development than the alternatives evaluated, which included floating facilities or a fixed platform to cater for oil production.
An alternative scenario to the preferred option has been retained, involving subsea development with an fpso.
Cooper managing director David Maxwell said the business case for Manta was encouraging.
‘It is especially encouraging that the project works with the simplest, lowest risk and lowest capital development option,’ he said.
‘We are looking at a project which we believe has outstanding prospects, given successful drilling results from the limited drilling required.’
Maxwell said the wells proposed under the preferred option involved one relatively low risk appraisal well which may be retained for future production, plus one subsequent development well.
‘For Cooper Energy, there is the added benefit that the Manta gas project dovetails neatly with the nearby Sole (32/5) gas project which is currently in feed,’ he said.
‘Together the two projects can bring almost 50PJ per annum of gas to the east coast market at a time when contracted supplies are well short of forecast demand.’
The business case outlines an indicative schedule which would see development feasibility confirmed on the results of the Manta-3 appraisal well towards the end of 2017, for an entry into feed early in 2018.
FID would occur about 12 months later in early in 2019, with first gas anticipated from around May 2021.
The Manta business case remains subject to review and endorsement by Cooper (65% and operator) and project joint venture partner Beach Energy (35%).