Australian oil and gas producer Santos has produced first oil from its 80,000 b/d Pikka project located in Alaska's North Slope (ANS) region, the Adelaide-based company said today.
Oil flow has been established through the Lease Automated Custody Transfer meter into the Pikka sales oil line, with initial late-stage commissioning to reach 20,000 b/d output over the next few weeks.
Operator Santos holds 51pc of Pikka, and Spanish joint venture partner Repsol holds the remainder. The project will reach a production plateau of 80,000 b/d in July-September, Santos said.
At first oil, 28 development wells have been drilled and 21 stimulated and flowed back in-line with pre-drill expectations.
First sales revenue will be about 2-3 months following first oil, with the joint venture alternating tanker shipments from Valdez port.
The nearby Quokka-1 appraisal well results have shown contingent (2C) resources of 177mn bl of oil equivalent, chief executive Kevin Gallagher said today. Quokka development planning is underway onsite, the company reported last month.
ANS production was 0.6pc lower on the week at around 452,800 b/d, according to data from Alaska's Department of Revenue on 13 May. Pikka volumes will be allocated to the Kuparuk field once production flows through the Trans-Alaska Pipeline System, the department said.
