, , ,

Odin production levels off to a great start

Vali-1 Vintage Energy Vali Gas

Vintage Energy has announced that Odin gas field production had commenced and that an additional gas contract is set to be finalised after this quarter.

“The outstanding feature of the past quarter was the start of appraisal production from Odin, our second gas field, on-schedule, with initial flow rates slightly higher than our expectations and without a lost time injury,” Vintage managing director Neil Gibbins said.

“Odin is the next step in our appraisal by production program and the well has continued to perform solidly. We expect the Odin supply contract to step up revenue generation from our Cooper Basin gas operations.”

The company commenced gas supply to the Pelican Point Power under the contract announced 15 May and negotiated an additional gas sale agreement for supply from the field for the 2025 and 2026 calendar years.

Supply from the field was previously contracted from start-up to 31 December 2024. The additional gas sale agreement was executed and announced subsequent to the end of the quarter.

The agreement provides for supply of all gas produced from the Odin gas field in the contract period. Vintage and its joint venture parties are exempted from the gas price cap as producers supplying less than 100 petajoules exclusively to the domestic market.

Pelican Point Power Station is a 497 megawatts combined cycle gas power plant in South Australia. The plant is regarded as a critical infrastructure asset for energy security and system stability in South Australia.

Vintage has also announced that a sales revenue of $0.92 million was recorded for the quarter, 57.8 per cent higher than the revenue of $0.59 million in the prior quarter.

The increase in revenue is principally attributable to higher gas production during the period. No gas liquids sales were accrued in the quarter.

Sales revenue reported in respect of supply from the Vali gas field comprises sales attracting cash payment and sales for which cash payment has been prepaid.

“The work done on Vali-2 has given clarity on its downhole performance,” said Gibbins, “and a plan for establishment of gas flow from the well later in the current quarter.”

Subscribe to Energy Today for the latest project and industry news.

Send this to a friend