In Santos' first quarter report issued April 18, the company said the Alaska North Slope Pikka development project was 47% complete as of March 31, as compared to 37.4% complete as of Dec. 31.
In the first quarter rig operations were completed on seven wells. Four wells have been stimulated with three successfully flowed back.
'Flow back results compare favorably with pre-drill expectations," Santos reported.
Vertical support members for the pipeline are more than 65% complete, and pipelaying was more than 61% complete for the winter season objectives.
The seawater treatment plant was 62% complete at the end of the first quarter.
Robust results
Santos Managing Director and Chief Executive Officer Kevin Gallagher said the strong underlying business performance, combined with a disciplined focus on operational excellence, delivered a robust first quarter for 2024.
"The first quarter brought strong free cash flow which provides a solid foundation for the year ahead. It positions us well to fund shareholder returns, backfill and sustain our existing business, complete our major projects and grow our Santos Energy Solutions business," Gallagher said.
"I am very pleased that Barossa pipelaying activities are now almost complete and all other Barossa activities are progressing well with first gas expected in the third quarter 2025," he said. (Barossa was 70.6% complete at the end of the quarter.)
"The Pikka project has made excellent progress over the winter months in Alaska and is on track for first production in 2026," Gallagher said.
"Barossa and Pikka are world-class projects that will be transformative for Santos and set the company up with long-term, stable cash flows for the next 10-15 years at least," he said.
Santos' first quarter strong free cash flow came from operations of US$692 million.
Sales revenue was US$1.4 billion for the quarter.
--KAY CASHMAN
