PERTH (miningweekly.com) – Power big Oil Lookup has documented a slight decrease in production during the 3 months to September.
The ASX-shown firm described a total production of 6.81-million barrels of oil equivalent, down from the 6.88-million barrels generated in the earlier quarter, whilst product sales volumes also decreased from 6.74-million barrels to 6.47-million barrels.
Earnings for the quarter was also down by 5%, to $361.1-million.
The firm explained to shareholders that generation from the Papua New Guinea liquefied pure gas (PNG LNG) operation and the Oil Lookup-operated oil fields was curtailed for the duration of parts of August and September, owing to restricted charges of liquids loading following the detection of harm to one particular of the mooring chains at the offshore liquid loading facility in the Gulf of Papua.
“The PNG LNG task created at a gross annualised rate of nearly 9 mtpa in July. However, in August and September, it was vital to minimize challenge generation costs for a quick time when damage to one of the six mooring chains at the offshore liquids loading facility was detected. This prevented normal liquids loading procedures and therefore lessened ullage within the liquids storage method,” said Oil Research MD Peter Botten.
“Despite these production disruptions, annualised gross PNG LNG creation for the quarter averaged 8.3-million tonnes a year, 20% higher than nameplate capacity, and the average annualised manufacturing level for the nine months to September 30 was 8.5-million tonnes a 12 months.”
Restore perform was done in mid Oct, with regular loading functions reinstated and creation now ramping up to standard premiums.
Botten explained that owing to the offshore liquids loading facility concern, which negatively impacted creation during the third quarter, manufacturing steering for the 2019 whole year had been revised to amongst 27-million and 29-million barrels of oil equivalent, from between 28-million and 31-million barrels of oil equivalent beforehand.
“Unit production charges are now anticipated to be amongst $12/barrel of oil equivalent and $13/barrel of oil equal, reflecting the reduce output foundation, expenditures related with the repairs to the mooring buoy and lessen insurance receipts for earthquake remediation actions than earlier predicted. Other functioning costs have risen marginally, to $140-million to $150-million, owing to decreased operator overhead recoveries, SE Mananda site restoration provisions and execution expenditures incurred for the Alaskan Selection and offer-down procedure.”