Buru Energy's (ASX:BRU) petroleum assets and tenements are located onshore in the Canning Basin in the southwest Kimberley region of Western Australia.
See more information about Buru Energy
Buru Energy set to restart oil production from Ungani
Buru Energy (ASX:BRU) has completed a restart plan for its 50% owned and operated onshore Ungani Oilfield project located 150 kilometres east of Broome, Western Australia.
Production from the field will be trucked to the port at Wyndham and exported via ship in 80,000 barrel ships to southeast Asian or local markets.
Previous oil export from Wyndham was through a smaller 30,000 barrel tank, and the larger 80,000 barrel tank to be used for the restart brings significant economies of scale and commercial benefits through access to larger ships.
The restart is subject to final joint venture and regulatory approvals and award of the various necessary contracts.
Eric Streitberg, executive chairman, commented:
"The plan to commence export through Wyndham commencing in mid-2017 takes advantage of existing infrastructure that was not previously available, with its improved margins and early utilisation."
The Ungani field has been shut in for over a year after oil prices collapsed to US$30 a barrel.
Buru have taken the time since then to substantially reduce their operating and transport costs.
The restart will provide significant cash flow and is transformational for the company, particularly if production rates are increased when artificial lift is installed later this year.
Other Buru Energy news
- Buru Energy confirms Laurel tight gas potential and advances Ungani oilfield restart
- Buru Energy Ltd achieves significant milestone in Canning Basin gas project
- Buru Energy Ltd boosts cash balance to support asset development
- Buru Energy Ltd advances gas program in Canning Superbasin
- Buru Energy Ltd unlocks Valhalla gas, eyes reserves and development project