Nong Yao C development should boost total production from the asset to 11,000 barrels per day.
Singapore-headquartered Valeura Energy on Thursday achieved first oil from its Nong Yao C development on Block G11/48 offshore Thailand.
The first three of the seven Nong Yao C development wells were opened up for oil production on 15 August, with additional wells to be brought online successively thereafter.
Malaysian energy services solutions provider T7 Global supplied the newbuild mobile offshore production unit (MOPU) TSeven Shirley for Nong Yao C.
T7 earlier hailed the MOPU’s deployment as a significant milestone for the company — making its debut in the Thai offshore sector via its 400 million ringgit ($84.6 million) contract with Valeura.
Ramp up of production volumes will continue in line with the Valeura’s plans to achieve peak production rates of approximately 11,000 barrels per day within the coming weeks, versus recent rates in the first half of August of approximately 7200 bpd (Valeura’s working interest share, before royalties).
The Toronto-listed independent intends to sustain the Nong Yao assets’ production rates at around 11,000 bpd for the rest of the year.
“I am very pleased to see first production from Valeura’s first organic growth project in the Gulf of Thailand. We have executed an efficient drilling programme, which came in below budget and has achieved all of our geologic objectives, which we will now benefit from as we shore up the company’s total production output with this new production,” commented Valeura chief executive, Sean Guest.
“Moreover, our drilling programme has successfully appraised several upside targets, which we expect will both contribute to reserves and resources when evaluated at year end and may form the basis of future infill drilling to sustain volumes further into the future.”
The Nong Yao oilfield is located in the G11/48 concession in the southern Gulf of Thailand, 165 kilometres off the coast, in water depths of about 75 metres.
The Nong Yao A and B fields started operations nine years ago, with Nong Yao C now contributing with its wells drilled from two wellhead platforms.
Valeura has a 90% operated interest in the G11/48 development block, with Palang Sophon having the remaining 10%.
