State-owned oil and gas company PetroSA has published a request for proposals (RfP), calling on interested parties to submit conceptual proposals to partner with the national oil company in developing upstream assets that will generate revenue for PetroSA on a sustainable basis.
The main objective of these partnerships is to assist PetroSA in commercially monetising the remaining gas potential in the Block 9 production rights and for carrying PetroSA in Block 3A/4A and Block 9/11a.
PetroSA says it will link the success of the projects to financial incentives for the interested parties, which could take the form of sharing in production revenues, performance-based contracting or equity participation. The proposals should preferably include part or full financing of the project. Applications must be submitted to email@example.com on or before February 28 at 15:00, in a separate manner per opportunity or per asset.
The PetroSA gas-to-liquids facility has operated since the early 1990s, using indigenous natural gas reserves from its offshore Mossel Bay Field (Block 9/11a) in the production of synthetic motor fuels for the local market. PetroSA also holds equity in Block 2A, Block 2C and Block5/6 & 7.
Without further development of indigenous gas production or alternative feedstock strategies, the facility has run out of gas feed. It is capable of processing up to 18 000 bbl/d of condensate from either indigenous origin or through imports.
PetroSA has made Block 3A/4A and Block 9/11a available for joint partnerships to unlock hydrocarbon potential.
The company wishes to extract as much of the remaining gas from existing wells as possible, using optimum technical solutions. The scope is, however, not limited to existing wells only. For example, if an opportunity exists to drill new wells in the existing production right, PetroSA will consider it.
Opportunities also exist to extend gas production further by developing new fields in production rights near the existing offshore infrastructure.
PetroSA says integrated evaluation encompassing all disciplines from geological, geophysical, production engineering, reservoir engineering, well engineering, completions and commercial will be required.
The proposed technical solution should ideally be modelled using well and reservoir models and/or reservoir simulation.
PetroSA will give preference to partners who meet the following requirements: proposals for turnkey solutions, including development and funding; proposals that are fit for purpose and are strategically complementary to the PetroSA business; proposals that are immediately implementable; and interested parties must be credible and have sufficient own financial resources to undertake the projects.
On completion of the evaluation process, PetroSA will nominate a preferred partner or partners and enter into formal development agreements.
Petro SA has scheduled a scope clarification meeting for 12:00 on February 14, on Microsoft Teams, with interested parties being encouraged to RSVP for this meeting by February 13.
To view more information related to the request for proposal, view the attached documents.