JUNIOR Australian oil and gas company Twinza Oil Limited has taken another important step in its proposal to develop the historic offshore Pasca A gas/condensate discovery with the public consultation period now completed for its project Environmental Impact Statement (EIS).

Twinza lodged the EIS for Pasca A Project to the PNG Conservation and Environment Protection Authority (CEPA) in January 2016, with CEPA accepting it for independent peer review in April.

In compliance with the PNG Environment Act the Pasca A EIS was then available for public consultation until August 28.

As part of the process of obtaining government approval to move ahead with what would be the development of PNG’s first offshore oil field, Twinza, as the operator of the project and on behalf of the joint venture with the PNG Government’s Eda Oil Limited, submitted an application for a Petroleum Development Licence (PDL) to the PNG Department of Petroleum and Energy in late June.

The application covers the development of the Pasca A field which is located approximately 95 km offshore from the Gulf Provincial coastline.

Twinza’s development plan envisages two phases of production with initial production of natural gas liquids (NGLs) ahead of future gas export development.

The application is the culmination of four years of technical assessment involving 3D marine seismic, extensive site specific surveys and comprehensive technical, engineering and commercial evaluation.

Twinza’s development preparations have also included obtaining outside assessments of the field’s potential, with leading international consultancy Gaffney-Cline & Associates completing an independent resource study which has provided a best technical estimate of 84 million barrels of oil equivalent (MMboe) of recoverable resources.

Other work undertaken and underway includes site-specific environmental studies, metocean data acquisition and social mapping studies, Twinza is aiming to begin development drilling following relevant regulatory approvals and the granting of a PDL.

Twinza said the installation of the Pasca A production facilities would enable the development of a discovered resource which has lain dormant for over 45 years.

The company said it proposed Gulf Natural Gas Liquids Project will also provide the first offshore oil and gas development infrastructure in PNG and it believes this should be the catalyst for the further integrated development of similar offshore resources in the Gulf of Papua.

The Gulf Natural Gas Liquids Project will be wholly developed within the Gulf Province provincial boundaries. The Pasca A development will produce gas and natural gas-liquids and the joint venture is actively exploring marketing and distribution opportunities within PNG and the Pacific region.

Background

The majority shareholders of the unlisted Twinza Oil are leading Australian engineering firm Clough and Kerogen Capital.

The Clough family founded Clough Engineering in 1919. Clough Engineering entered PNG in 1989 and completed numerous oil and gas infrastructure projects including the Kutubu and Hides field development, the Kumul Marine terminal and the construction of the Napa Napa refinery.

Kerogen Capital is an independent private equity fund manager specialising in the international oil and gas sector with approximately US$ 1.6 billion in invested and committed capital. Kerogen is currently invested in 13 countries across four continents with a portfolio of 11 flagship oil and gas appraisal and development projects.

Twinza maintains regional offices in Bangkok, Port Moresby and Brisbane, with technical and commercial services provided from the Singapore office. As an Australian unlisted company, Twinza maintains its corporate office in Perth.