Karoon Aiming to Complete Bauna Field Buy This Month

OE Staff

October 6, 2020

Credit: Karoon Energy

Credit: Karoon Energy

Australian oil and gas company Karoon Energy expects to complete the acquisition of the Bauna offshore field from Petrobras by the end of the month.

The company, which in July 2019 agreed to buy a 100% stake in the Baúna offshore oil field, in the southern Santos Basin, Brazil, said Monday progress was being made with the country’s oil and gas regulator and expected FPSO charter assignment to be executed after ANP’s approval.

The field is located in concession BM-S-40 in the Santos Basin, 50-60km from Karoon’s Neon and Goiá discoveries and 50km from Karoon’s Clorita exploration area 

Baúna includes 6 oil production wells, 3 water injection wells, and 1 gas injection well exploiting 2 reservoirs (Baúna & Piracaba). All wells are subsea completions with tie-ins back to the FPSO Cidade de Itajaí (FPSO).

“Significant progress has been made towards obtaining ANP approval and Karoon is addressing the ANP’s proposed form of approval and outstanding minor administrative issues relating to finalization of the parent company guarantee provided by Karoon in favor of the ANP,” Karoon said.

“The FPSO charter assignment [with TeekayOcyan] has also progressed and Karoon expects the documentation associated with this assignment to be finalized and ready for execution after ANP approval is received,” the company added.

Karoon said it was now aiming to complete the transaction “in the last half of October 2020.”

The field’s production in July 2020 was ~16 Mbopd with a production growth target of 25-30 Mbopd, total 2P reserves of 46.8 MMbbls (2) and 2C contingent resources of ~20 MMbbls, a Karoon filing in July showed. As per July, the FPSO was utilizing around 46% processing capacity