The Australian Woodside is planning to boost its drilling campaign offshore Myanmar with the potential commercial viability of recent gas finds in the area.
The company also reported higher production levels in the first half of the year, despite lower revenue and profit.
“In Myanmar, we made back-to-back discoveries, increasing our contingent resources by 83 million barrels of oil equivalent (boe). Both discoveries are located close to existing infrastructure and markets and we are working through development options with significant appraisal work scheduled for next year,” Woodside CEO, Peter Coleman, said.
Woodside Drills Offshore Myanmar
According to the company’s first half 2016 report, it is planning to drill at least four wells in the four licences it owns in Myanmar.
Meanwhile, the company continues to focus on the production of liquefied natural gas (LNG).
“Moving forward, we will add significant production volumes from Wheatstone LNG to our portfolio in mid-2017 and further low-cost production from the Greater Enfield Project in 2019,” Coleman explained.
Woodside sold its Northern Endeavour FPSO in May
Woodside will continue working on extension projects at the North West Shelf plateau, expected to start in the second half of 2019.
Additionally, it plans to commercialise the SNE discovery in Senegal.
“We have also been successful in rebalancing our global exploration portfolio and plan to drill a series of wells in 2017,” the CEO added.
Woodside Invests in LNG as a Fuel
Throughout the first half of 2016, Woodside managed to increase its production guidance to 90-95 million boe, which includes the impact from the sale of the Northern Endeavour FPSO facility, as well as the termination of oil production at Balnaves.
Production went up by 9% over the period, compared to the same period in 2015.
In mid-2017, Woodside hopes to achieve first LNG at the Wheatstone Project, and first oil two years later from the Greater Enfield Project.
The company is also pursuing opportunities to create demand using LNG as a transport fuel.
“It is estimated that LNG uptake in transport fuel markets could add 10-20% to global LNG demand by 2030, and our plants are adjacent to two of the world’s largest ports by tonnage,” the report stated.