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Wednesday, October 2, 2013
Caracal Energy Inc. saw its first JV oil shipment from the Badila field in Chad. The company commenced production at the Badila field on September 30 into its transportation system that connects Badila to the main export line operated by TOTCO/COTCO, or the export transportation system (ETS).
The company will initially produce oil to fulfil the JV’s share of the ETS line-fill, which is estimated at just over 450,000 barrels, after which it can accumulate oil for sale. Initial production is coming from the Badila-1 and Badila-2 wells, and additional Badila wells will be tied in for production in coming months as processing capacity is increased.
The 30-inch diameter ETS has the capacity to transport 250,000 bpd of oil, of which approximately 150,000 bpd is currently unused.
Caracal’s JV partners are Société des Hydrocarbures du Tchad, the state-run firm, and GlencoreXstrata plc.
“First oil production is a milestone for our Joint Venture following the ceremonial inauguration of our production facilities by His Excellency President Idriss Deby Itno on June 9, 2013. We are very pleased to begin producing into the TOTCO/COTCO ETS, with first revenue expected in Q1 2014. Our development drilling and construction of additional facilities and transportation infrastructure has continued over the summer, and we are on schedule to provide additional production from Badila and Mangara fields in the coming months,” commented Gary Guidry, president and CEO.
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