AUSTRALIA-BASED Nido Petroleum Ltd. said the Galoc oil field is getting near its production phase with the Lewak Champion, its installation vessel, completing the deployment of the mooring and riser assembly.

Nido said the pressure and function testing of the various subsea components have also started while the in-field installation work will be completed in the coming week.

Nido said the floating production and storage offloading (FPSO) facility Rubicon Intrepid has moved from Singapore to the Philippines.

Nido added that precommissioning of the vessel is ongoing.

Joanne Williams, Nido deputy manager, said the completion of the installation takes the project another step closer to production.

“All that remains is for the FPSO to be mobilized to the field for hook- up and commissioning. The vessel is currently in Batangas, some 120-km south of Manila, finalizing the fit-out and precommissioning work, and the operator anticipates that it will sail to the field in the next day or so, giving first oil by late April,” Williams said.

She added they are working very closely with their crude-oil marketer Trafigura to be ready for the lifting of their first cargo.

Nido earlier said the Galoc 4 horizontal production has exceeded expectations by successfully flowing oil to surface at a rate of 6,465 barrels of oil per day (bopd).

Nido said Galoc 4 flowed oil to the surface unassisted and that Galoc 3 and Galoc 4 have been constrained to less than their maximum potential by the Energy Searcher’s facilities.

Nido said Galoc 3 and 4 are now ready for production service.

Nido said the cleanup and flow test and preparation for production for Galoc 4 are under way and is expected to be completed in two days.

Nido earlier said the Galoc 3 horizontal production well recently flowed oil to the surface at 5,397 bopd, a development hailed as a “milestone” leading to production service. The oil flow to the surface—the first time since 1988—happened during a cleanup flow testing on February 20 and 21.

Emmanuel J.V. de Dios, Nido chief executive officer, said this is a particularly exciting time for Nido as first oil will deliver the cash flow to fund our forthcoming exploration program.

“We continue to be bullish as to what the Northwest Palawan Basin holds for us. We are, of course, also very excited about what Galoc means for the Philippines, given the country’s dependence on imported oil,” said de Dios.

Williams said the flow results from Galoc 4 are tremendous, and that both wells (Galoc 3 and 4) have flowed to the surface at commercial rates and are ready to be hooked up with the FPSO.

Nido said it estimates the combined productivity of the two wells is at the high end of the expected range, which will be confirmed following an update to the reserves certification which Gaffney, Cline and Associates will perform on Nido’s behalf.

“With the drilling and completion phase concluded, the focus of the project has turned toward the hookup and commissioning of the FPSO and the anticipation of first oil,” said Williams.

Nido said both wells are now shut in pending the installation of the mooring and riser system and hook-up to the FPSO Rubicon Intrepid over the coming weeks.

The drill ship Energy Searcher will demobilize to Singapore prior to being released from service by the project. The specialist installation vessel Lewak Champion will arrive at site shortly to start work.

Nido said the Galoc oil flowed to the surface unassisted, consistent with expectations, and that its oil samples have been collected for analysis.

“We are excited to reach this important milestone in the Galoc development project today. The Galoc 3 well has flowed as designed and is now ready for production service,” said Williams.

Nido also commended the Galoc Production Co. (GPC), the oil-field operator, for successfully flowing Galoc oil to the surface for the first time since 20 years ago.

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AUSTRALIA-BASED Nido Petroleum Ltd. said the Galoc oil field is getting near its production phase with the Lewak Champion, its installation vessel, completing the deployment of the mooring and riser assembly.

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