Carnarvon Energy has announced the Dorado Phase 1 liquids development is on track for a front-end engineering design (FEED) re-entry later this year.
The joint venture, made up of Santos (80 per cent), Carnarvon Energy (10 per cent) and OPIC Australia (10 per cent), is making progress towards finalising the material economic improvement opportunities.
These include an opportunity to optimise production rates, which allows the joint venture to reduce the size of the floating production offtake and storage (FPSO) vessel, wellhead platform and phase the timing of the wells.
Carnarvon chief executive officer Philip Huizenga said the progress has been a significant milestone for the Dorado project.
“I am pleased with the progress the Dorado project has made and am excited by the re-shaping of the project, which is expected to reduce the total capital outlay by Carnarvon,” Huizenga said.
With the optimised development FEED tapped for re-entry later this year, the final investment decision (FID) is now expected in 2025.
“While the FID timing is slightly later than previously envisaged, the joint venture is taking the requisite time to assess the optimisation and FPSO redeployment opportunities, and to materially progress EP approvals prior to FID,” Huizenga said.
“These are important activities which require additional time and are expected to unlock considerable value for shareholders.”
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