Pluto turnaround impacts Woodside's quarter

18th July 2019 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – Oil and gas producer Woodside has seen production and sales revenue in the June quarter decline on the back of a major turnaround at the Pluto liquefied natural gas (LNG) project.

The company previously flagged an extension of the turnaround after the mixed refrigerator compressor experienced vibrations on restart.

LNG production at the Pluto project fell from more than one-million tonnes in the March quarter to 393 254 t, while condensate production decreased from 725 727 barrels to 285 515 barrels.

This resulted in quarterly production declining from the 21.7-million barrels of oil equivalent in the March quarter, to 17.2-million barrels of oil equivalent.

As a result, total sales revenue for the quarter also declined from $1.2-billion to $738-million.

“We delivered strong LNG production from both North West Shelf, where we have optimised performance of the LNG trains, and Wheatstone LNG, which achieved record daily LNG production,” said Woodside CEO Peter Coleman on Thursday.

He noted that the delivery of the Greater Enfield project was also on track following the start of offshore commissioning during the quarter, with the project remaining on schedule and budget.

“We restarted production from the Vincent wells in July and are working towards start-up of the Greater Enfield wells within the coming weeks.

“Additionally, the Browse joint venture approved the basis of design for the Browse to North West Shelf project in May, and we have recently taken further steps towards securing key regulatory and environmental approvals for both the Browse to North West Shelf project and the proposed Scarborough development,” Coleman said.

For the full year, Woodside is expecting production to be between 88-million and 94-million barrels of oil equivalent.