Woodside still upbeat on Sangomar

  • Jun 25, 2020
  • Mining Weekly

PERTH (miningweekly.com) – Australian oil and gas major Woodside maintains that its Sangomar development, offshore Senegal, is on track for first oil in 2023.

The company this week responded to media reports stating that Senegal had been forced to delay its first oil and gas projects by up to two years on the back of the Covid-19 pandemic.

However, the ASX-listed company reiterated that first oil from Sangomar’s Phase 1 development was on track with previous guidance.

The Sangomar joint venture partners took an unconditional final investment decision for the Phase 1 development and started execution of the phase activities in January this year.

Since then, the oil and gas major has taken early action to proactively manage the impacts of Covid-19 on the supply chain and project schedule, with the company telling shareholders this week that it was working with the project contractors, government and joint venture partners to optimise near-term spend while protecting the overall investment.

The Sangomar Phase 1 development will focus on developing the less complex reservoir units and testing other reservoirs to support gas export to shore. Phase 1 is targeted to produce some 230-million barrels of crude oil.