After necessary remedial work on the floating production storage and offloading (FPSO) facility was identified, Woodside Energy completed a cost and schedule analysis of the Sangomar Field Development Phase 1.
The first oil is now scheduled for mid-2024, with a total project cost of US$4.9 – 5.2 billion, a 7-13% increase from the earlier cost estimate of $4.6 billion.
The Sangomar Field Development was 88% complete as of 30 June 2023. The subsea installation campaign was 76% finished, while the subsea work scope was 95% finished. The development drilling program is still going strong, with 12 of the 23 wells drilled and finished. The Ocean BlackHawk drillship successfully finished its work scope in July, and the Ocean BlackRhino will continue the remaining drilling activities. So far, the results have validated the resource’s quality.
According to Woodside CEO Meg O’Neill, the remedial work was unforeseen, and the project team’s top concern is the safe completion of all activities.
“We have taken the prudent decision to have the remedial work conducted while the FPSO remains at the shipyard in Singapore,” O’Neill said.
“This minimises the impact to the project schedule as it is safer, more efficient and more cost effective than undertaking the work offshore Senegal. This approach ensures we can achieve production start-up in line with the adjusted schedule and ramp up operations as planned,” O’Neill stated.
She noted that the changes to the project schedule have no impact on Woodside’s production guidance for 2023.
