IOG to renew gasoline gross sales after manufacturing resumes at Saturn Banks

IOG (AIM: IOG) has restarted manufacturing from the Blyth and Elgood fields, which account for two-thirds of the broader Saturn Banks venture.

Fuel circulate into the Saturn Banks Pipeline System (SBPS) resumed as deliberate this week, with the North Sea operator confirming the completion of shutdown works.

Gross sales are anticipated to renew right now after full repressurization of the road.

IOG might be hoping that after a number of shut-ins and manufacturing points, it attracts a line below a troubled interval for the venture.

blythe and allgood

Blythe manufacturing has been constrained by the fluid dealing with capability on the Bacton terminal and the necessity for offsite storage, whereas additionally lowering recoverable assets.

This provides to a chemical injection flaw that pressured manufacturing out inside weeks of first gasoline.

At Elgood, IOG lately confirmed that the decline in circulate charges has been “quicker than anticipated”, with evaluation indicating that gasoline isn’t flowing as anticipated into wellbores throughout the sector.

Southwark is lastly not off course

Drilling at Southwark, the final a part of Saturn Banks, has additionally been affected by setbacks, with the world nonetheless awaiting first gasoline.

Remaining connection, dewatering and backgassing of the SBPS exterior part to Southwark has now been efficiently accomplished.

This has introduced the pipeline system as much as strain forward of Southwark First Fuel.

Further modifications had been additionally accomplished in parallel to the Saturn Banks reception services at Bacton Terminal to cut back the danger of future shutdowns.

On the drilling facet, IOG mentioned “A2 hydraulic stimulation operations” are underway and anticipated to proceed into December.

First gasoline from A2 is anticipated across the finish of the 12 months, “topic to stimulation progress and operational dangers for closing hook-up and commissioning”.

A1 properly A2 might be accomplished after first gasoline, as beforehand confirmed by the corporate.

IOG Chief Government Officer Rupert Newall mentioned: “I’m very happy to verify that Saturn Banks Part 1 manufacturing has been safely restarted following the profitable completion of shutdown actions. New management workforce As this was considered one of our high priorities and the real dedication proven throughout the workforce to satisfy this key goal augurs properly for our continued work to beat the latest operational challenges.

“In parallel, with hydraulic stimulation underway on the A2 properly, we’re equally targeted on bringing Southwark onstream in a secure and well timed method, the subsequent of a collection of key goals we now have got down to ship worth to our portfolio have set. I sit up for informing buyers as these materialize.

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