Tap Oil Limited (Tap) announces that the Final Investment Decision (FID) has been reached on the Manora Oil Development, located in the Gulf of Thailand. Tap now holds a 30% direct interest in Concession G1/48 through its subsidiary Tap Energy (Thailand) Pty Ltd, which includes the Manora oil field, with Pearl Oil (Amata) Ltd, a Mubadala Petroleum affiliate, as operator. The total project cost is estimated at US$246 million, US$74 million Tap direct interest plus US$13 million carry of Northern Gulf Petroleum Pte Ltd (NGP).
With 2P reserves of 20.2 mmbbls (6.1 mmbbls net to Tap), Tap expects ultimate recovery from the Manora Oil Development of 31.1 mmbbls gross (9.3 mmbbls net to Tap).
The development is expected to deliver first production from Manora in early 2014, ramping up to an estimated peak rate of 15,000 barrels of oil per day (bopd) from 10 production wells and five injection wells. Manora is a low-risk development and the operator has extensive experience in this type of development in Thailand through the successful Jasmine project.
Concession G1/48 also holds significant near-term exploration opportunities. With interpretation of the recently acquired 3D seismic now complete, an inventory of prospects is currently being finalised. Drilling is expected to commence in the second half of 2012 with the drill rig already secured for the program.
Tap’s Managing Director/CEO, Troy Hayden said:
“The announcement of FID on Manora is a milestone event in Tap’s development. Manora is expected to generate significant future cashflow and will remain as a key focus for Tap over the development phase.
The drilling program at G1/48 provides exploration upside, with the potential to further consolidate our position in Thailand.”
About the Manora Oil Development
In October 2010, Tap acquired a 30% indirect interest in Concession G1/48 which included the Manora oil field, located in the northern Gulf of Thailand. Tap also acquired a 30% indirect interest in adjacent Concession G3/48. Mubadala Petroleum holds a 60% operating interest through its Pearl affiliates.
Discovered in late 2009, the Manora oil field was appraised with Manora-2 and 3 in 2010. At acquisition, Tap estimated the Manora field to be a 24 mmbbl resource.
The development concept remains as a single well head platform linked to a Floating, Storage Offtake (FSO) Unit with 15 development wells (10 production wells and five injection wells).
[mappress] Press Release, July 30, 2012