North Pailin field starts production

The North Pailin gas field has commenced production, marking a successful project for the Clough Group, one of the engineering partners in the CUEL joint venture. CUEL is comprised of Clough and local fabricator Unithai Engineering.

CUEL was involved in engineering, procurement, fabrication, installation and project management of 5 wellhead platforms and associated subsea pipelines and tie-ins as part of the North Pailin field development.

In addition CUEL completed an EPIC contract for the PTT 24" gas export pipeline connection the North Pailin field into the PTT GoT export pipeline network.

The operator Unocal Thailand is producing 165 million cubic feet (mmcf) of gas per day, raising the gross contracted natural gas sales from the Pailin field to 330 mmcf per day under an agreement with PTT Public Company Limited.

The Phase II facilities achieved production rates as high as 230 mmcf per day during commissioning in June.

In addition, the Phase II facilities in the Pailin field are producing 6,800 barrels of condensate per day (b/d), raising total condensate production from Pailin to more than 15,300 b/d. The Phase II development is in the northern part of Pailin field, which is located in the B12/27 concession area.

Unocal Thailand is operator of the field and holds a 35 percent working interest. Co-venturers consist of PTT Exploration and Production Public Company Limited (45%), Amerada Hess Exploration (Thailand) Co., Ltd. (15%), and MOECO Thai Oil Development Co., Ltd. (an affiliate of Mitsui Oil Exploration Co., Ltd., 5%).

Pailin is Unocal Thailand's largest and most complex single project and employs the latest environmental technologies. Unocal has installed 11 wellhead platforms and two processing platforms to serve the entire field.

Unocal and its co-venturers have invested over $820 million in developing Pailin. Gas from the field is sold to PTT, the partially privatized state petroleum company, under a 30-year gas sales agreement signed in 1996. Phase I production began at Pailin in August 1999.

With the new production from Pailin Phase II, gross natural gas production from the fields operated by Unocal Thailand now totals 1.07 billion cubic feet of gas per day for the Thai market. In addition, Unocal said it had ramped up gross oil production from the Yala-Plamuk complex to more than 16,800 barrels per day (Unocal, 71.25% working interest).