Colombian
Meta Petroleum investing US$1bn to increase production to 100,000
b/d
Petroleumworld
CARACAS
Petroleumworld.com
03 14 06
Colombian oil company Meta Petroleum will invest US$1bn to increase
production to 100,000 barrels a day ( b/d) of its low-viscosity
syncrude 12.7-degree API crude a day (b/d), project manager Colin
Crewe told BNamericas.
Meta's
proposal entails investing in the Rubiales field to produce 100,000b/d
low-viscosity syncrude for export.
"The
field would support 100,000b/d for 15 years so it's a significant
field. Part of the drilling campaign is to investigate exactly
how big it is, because we think it's a lot bigger than what we've
got as proven reserves right now," Crewe said.
Present-day
production of Meta is now 12,000b/d from 9,000b/d at end-2005
and its mostly mix to get a gasoil type of fuel to be distribute
for local consumption.
Meta
is looking at financing in order to determine the most effective
loan structure, Crewe said, adding loans would provide 60% of
the US$1bn costs and equity would cover the other 40%.
Crewe
said that the company's shareholders Brazilian independent Petrosynergy
and UK investment company Elliot International, are currently
seeking a third partner through US investment bank Lehman Brothers
to help with the costs.
The
project includes upstream investments such as new wells, new collection,
disposal, solids handling, produced water treatment facilities,
upgraders, utilities, offsite facilities, new infrastructure and
a pumping station.
The
basic engineering phase of the project should finish in 3Q06,
when the company will call for bids, Crewe said.
The
company expects first oil in January 2010.
Meta
is also looking at an EPC contractors, Crewe added.
Petroleumworld
News 03 13 06
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