PTTEP Energy Development, a subsidiary of PTT Exploration and Production Public Company (PTTEP), and Canada-based Valeura Energy have made the final investment decision (FID) to advance the initial gas development of the Bussabong natural gas field located in block G3/65 in the Gulf of Thailand.
Bussabong Project Details
With the approval of this final investment decision, the development of the Bussabong field is expected to take about two years. The first natural gas production from this field is targeted for 2028 at an approximate rate of 30 million standard cubic feet per day (scfd), which is expected to increase to 40 million scfd by 2030 to meet the growing energy demand in Thailand.
PTTEP plans to transport natural gas through an underwater pipeline system to the Central Processing Platform (CPP) and production facilities near North Bongkot in the G2/61 project. Utilizing this existing infrastructure is expected to make the development of the Bussabong field more efficient and faster.
Future Development and Exploration Plans
The development plan will continue after the relevant agreements are approved by government authorities. Additional exploratory activities are also planned in other areas of the G3/65 project, including drilling an exploratory well in the Nong Yao Northeast area for further evaluation of oil potential.
A discovery may provide an opportunity to increase the project's production capacity in the future. PTTEP acquired the exploration and production rights for the G3/65 project in 2023 under a production sharing contract (PSC) and acts as the operator of this project.
This project covers approximately 11,647 square kilometers. After meeting the prerequisite conditions under the farm-out agreement, PTTEP will hold a 60% participating interest and remain the operator, while Valeura Energy will hold a 40% participating interest.
This project will be Valeura's first organic gas development in Thailand's portfolio. Phase 1 of the Bussabong development includes the installation of two well facilities with 24 well slots connected to processing infrastructure via a 9-kilometer underwater pipeline, providing a replicable development pattern for the full field development in the future.
Dr. Sean Guest, President and CEO of Valeura, expressed satisfaction, stating, "I am pleased that we have been able to quickly translate our strategic collaboration with PTTEP into tangible development action. Within 14 months of entering into this agreement, we are making our first gas FID, which we believe positions us for growth and diversification of our business in the Gulf of Thailand.
This project is seen as an important step towards meeting Thailand's energy needs and strengthening international cooperation in the natural gas industry, with expectations for further advancements in the future to increase the production capacity of this field.
