Pikka on schedule and on budget, says Santos
The Pikka Phase 1 project on Alaska's North Slope is progressing as planned and remains on schedule and on budget, targeting first oil production in the first half of 2026, Oil Search (Alaska) LLC's parent Santos Ltd. told Petroleum News July 30.
"The Final Investment Decision (FID) announced in August 2022, provided full funding for all aspects of the project. Santos is advancing work on all fronts, and remains on target for first oil 1H 2026," Santos said.
"Modules are under production in both Alaska and Canada. Worley is building the G&I facility in Anchorage and Nana is building the camps in Big Lake. The modular processing facility is being built in Canada. First modules are expected to arrive at Pikka before the end of the year," Santos said.
The initial six to eight wells are being drilled from the existing ND-B gravel pad in the 23rd plan of development period from Feb. 1 through Jan. 31, 2024. They will be completed, stimulated and flowed back. Wells will be suspended after the flowback until the production facility is ready to accept oil.
"To maximize schedules the wells are being drilled while the production facilities are being built," Santos said.
--KAY CASHMAN
GeoAlaska collecting geophysical data on Augustine
Following approval of the South Augustine Island Geophysical Exploration and Land Use Permit to collect geophysical data between July 15 and Sept. 30, GeoAlaska LLC mobilized its geophysical survey team from Homer to Augustine Island on the morning of July 26. Mobilization involved three landing craft boatloads of supplies and equipment, a geophysical crew and a helicopter.
Augustine Island is on the lower west side of Cook Inlet. The island is home to Mount Augustine volcano, a stratovolcano that last erupted in 2006.
"We had an extensive face-to-face safety meeting in Homer including everybody involved with mobilization and data collection the day before mobilization -- Tuesday the 25th. Early the next morning, the helicopter and the boats departed to Augustine," Paul Craig, GeoAlaska's CEO and majority owner told Petroleum News July 28.
"Everything is on the island now. There were no glitches. Everything is proceeding according to plan."
Craig said this summer's work program is "a huge step forward: If the data are favorable it opens the way forward to drill temperature gradient wells, which we hope to design to convert to production wells."
--KAY CASHMAN
See full stories in Aug. 6 issue of Petroleum News, available Thursday, Aug. 3, at www.PetroleumNews.com
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