Malaysia’s Sona Petroleum will buy an offshore oil field in Australia from Santos and Quadrant Energy.
According to the company’s filing on Bursa Malaysia on Monday, Sona will buy a 100 percent interest in the Production Licence WA-15-L and Pipeline Licence WA-6-PL, containing the Stag oil field.
Santos owns 66.67 percent in the Stag field, with Quadrant, which is operator, owning the remaining 33.33 percent. Following the acquisition, for an estimated purchase price of $50 million, Sona will become the operator.
The Stag oil field, producing oil since 1998, is situated in the Dampier sub-basin of the Carnarvon Basin, offshore Western Australia and in a water depth of around 50 meters and approximately 60 kilometers offshore.
Upon the completion of the acquisition, which is subject to regulatory approvals, Sona plans to carry out further development of the Stag Oilfield to boost the production of the field, by drilling of infill production wells. The drilling of infill production wells involves the addition of new wells to the existing fields within the original well patterns to accelerate recovery of oil.
Oil from the Stag Oilfield is produced from horizontal wells and processed through a fixed central production facility platform with 50,000 b/d capacity, where it is then transported by pipeline to the FSO and loaded to shuttle tankers for shipment to North Asian customers.