Talisman Energy is working towards finalization of the Field Development Plan (“FDP”) for the Cá Rồng Đỏ (CRD) oil and gas discovery, in the Block 07/03, offshore Vietnam.
According to Pan Pacific Petroleum (PPP), a partner in the field, the work includes studies regarding optimising the oil development and the potential commercialisation of the gas resources, and tendering of key contracts such as the TLWHP (Tension Leg Wellhead Platform) and FPSO. It is currently planned to complete the FDP around mid-year.
This will provide important input to any final investment decision (“FID”), which will also be subject to the requisite approvals of the Vietnam Government, PPP said.
The joint venture is currently considering a decision on declaration of CRD commerciality. Petrovietnam has a “back-in” option at declaration of commerciality which, if exercised, would reduce PPP’s participating interest from 5% to 4.25%.
Subsequent approval of a development work program and budget remains subject to FID by the JV partners. The joint venture is also currently considering applying to retain a portion of the PSC assessed as having remaining exploration potential; primarily for gas, PPP explained