First gas from Vintage Energy’s Vali field imminent
Commissioning of Vintage Energy’s SA gas field is expected in the coming weeks.
Gas explorer and developer Vintage Energy (ASX: VEN) has reaffirmed its plan to bring the Vali gas field online in February with work also progressing to connect a second Cooper Basin field.
In the December quarterly report released today, Vintage managing director Neil Gibbins said the company is focused on completing the final steps of Vali’s construction for commissioning early next month while work progresses to link gas from the Odin field later in the year.
“Installation of Vali production facilities is progressing, and we look forward to handover of the completed infrastructure for commissioning in early February.”
“We actioned our decision to accelerate supply from Odin with immediate commencement of procurement and site works. This work will continue as we pursue connection of the field with the aim of enabling gas to flow from Odin to eastern Australian gas users in the third quarter of 2023,” Mr Gibbins added.
Highlights over the quarter included the installation and pressure testing of the Vali-Beckler twin pipelines and the advancement of site works.
Last week the company confirmed the mechanical handover is expected in early February, at which point commissioning can begin. The project had been delayed by extreme weather conditions in January.
Cash position
As at 31 December, Vintage’s cash and cash equivalents totalled $7.5 million, $2.7 million less than the previous quarter. Expenditure during the period included work on the Vali gas field and operating activities.
Net debt at 31 December was $2.5 million.
Other assets
The company also operates the Deeps joint venture with Comet Ridge in Queensland’s Galilee Basin, where six potential commercial areas (PCAs) were granted in September. The joint venture is currently reviewing data from the Albany-1 ST1 and Albany-2 wells, in addition to regional data, to inform future planning.
In the Otway Basin, Vintage operates the Nangwarry gas field in a 50/50 joint venture with Otway Energy and PEP 171 with a 25% stake in partnership with Somerton Energy.
It also has a 100% interest in an exploration permit in the Northern Territory’s Bonaparte Basin, although on-site work is currently suspended pending resolution of discussions with the NT Government.