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BHP steps up exploration drilling in Trinidad & Tobago

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LNG Industry,

According to Reuters, a senior executive at BHP Group Ltd has stated that the company has stepped up its exploration drilling in deep water off the coast of Trinidad & Tobago, looking for gas that could be used to supply the country’s Atlantic LNG project next decade.

Reuters reports that the drilling of three wells in block 14 (located in the northern contract area) is expected to be complete by mid this year.

According to Reuters, BHP Group Ltd hit gas at the Bongos-2 well in the south in 2018. The company is the operator of the block, holding a 70% stake. BP Plc, meanwhile, holds the remainder. In addition to this, BHP reportedly found gas in two of three wells it drilled in its southern contract area last year. The company operates the southern area, holding a 65% stake, whilst Royal Dutch Shell Plc holds a 35% stake.

Whilst the Atlantic LNG facility operates four LNG units with an overall capacity of 15 million tpy, Reuters reports that it has also been running below capacity for a number of years, because of decreasing supply from mature fields off the coast of Trinidad.

These new gas finds could, therefore, be in high demand from the LNG project.

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