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Summary

Santos, on behalf of the VIC/P44 joint venture, has announced first gas has been produced from the Henry and Netherby gas field development, located offshore Port Campbell in western Victoria.

Santos, on behalf of the VIC/P44 joint venture, has announced first gas has been produced from the Henry and Netherby gas field development, located offshore Port Campbell in western Victoria.

First gas was produced this week after the tie-in of the Netherby-1 and Henry-2 subsea wells to the existing Casino offshore pipeline system was completed earlier this month.

The Casino pipeline transmits raw gas from the offshore fields to the onshore treatment plant at Iona, near Port Campbell, from where the gas is supplied to the Victorian gas network. The onshore gas processing facility is operated by TRUenergy.

Construction of the new offshore facilities started in early December last year. This included installing 22 kilometres of subsea pipelines and control umbilical lines, stabilising the pipelines and umbilicals with 650 concrete mattresses and diver-installed tie-in spools.

Santos (50% owner and operator) and its joint venture partners AWE Limited (25%) and Mitsui E&P Australia Pty Ltd (25%) have invested approximately A$340 million on the Stage 2 Development of VIC/P44.

Santos’ Vice President Eastern Australia, Mark Macfarlane, said the Henry development would ensure continued growth of gas supply to Victoria and extend the production plateau from the Casino project facilities by several years.

“The growth in natural gas supplies in Victoria highlights the potential for the fuel to play an increasing role in the transition to lower-carbon power generation,” Mr Macfarlane said.

Santos estimates that Henry and Netherby fields have gross proven and probable reserves of approximately 330 billion cubic feet.

The commissioning and ramp-up to full production from Henry and Netherby will continue over the next week.