Santos production climbs

Santos of Australia said it has achieved the highest quarterly production in seven years, with production of 14.0 mmboe in the third quarter, 9% above the previous quarter.

Sales revenue of $1,060 million for the quarter increased 9% on the previous quarter and is up 16% compared to the first nine months of 2013.

Santos CEO David Knox said that the successful ramp-up of the PNG LNG project had driven the company’s highest quarterly production result since 2007.

Santos also reported that the GLNG project continues to deliver key construction milestones, including commissioning of the first upstream gas hub, first gas into the gas transmission pipeline, delivery of the final train 2 module and the completion of hydro-testing of the second LNG tank.

“GLNG is approaching 90% complete, it remains on budget and we are on track to deliver first LNG in 2015,” Knox said.

Sales gas, ethane and gas to LNG production of 60.4 petajoules for the quarter was 9% higher than the corresponding quarter, reflecting the successful ramp-up of PNG LNG, partially offset by lower production from the Carnarvon Basin due to extended outages at customer facilities and lower nominations, combined with the planned one-month shutdown of Darwin LNG in the current quarter. Total sales gas, ethane and LNG sales revenues jumped 37% to $483 million for the quarter.

LNG World News Staff, October 17, 2014; Image: Santos