Amplitude claims that the development of Artisan through its infrastructure allows significant cost advantages due to the proximity to its tie-in to the Casino-Henry-Netherby pipeline. The short tie-in distance, preexisting pipeline tee pieces, and ability to use flowlines ordered with ECSP for the tie-in enable integration of the field into existing ECSP development activities, bolstering the gas available to southern market customers.
The company underlines that proximity to demand centers in Victoria and South Australia provides greater certainty of deliverability, ability to support longer-term offtake confidence, and lower delivered cost through avoidance of long-haul transportation exposure.
According to Amplitude, the parties have agreed to amend the Transocean Equinox rig’s drilling schedule to enable the Artisan development well to be brought forward, with activities on the well starting earlier this month. Beach Energy will fund the well and completion activity, and remain as the operator while this is undertaken, with the SPA conditional on the completion of the well with a subsea tree.
The amendment of the drilling schedule is expected to result in Amplitude Energy receiving the Transocean Equinox rig during July-August to conduct the Juliet-1 exploration well, followed by the Annie-2 development well.
In addition, a decision on whether to drill the Nestor prospect will be made by the Australian firm and O.G. Energy at a later date. The company emphasizes that exploration success at Juliet and/or Nestor would further improve project economics and have synergies with Artisan.