Santos’ Pikka Project to Start Oil Production in End-2025

SEATTLE (Oil Monster): Santos, the main producer of oil and gas in Australia, anticipates that its output for the entire year 2024 will be in the upper half of its predicted range. The company has produced an estimated 65.6 million barrels of oil equivalent (mmboe) of oil so far this year. The production for the entire year 2024 was expected by the business to be between 84 and 90 million mmboe.

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The Pikka Project, a joint venture run by Santos, is expected to start producing oil late in the next year, according to the firm. The business reports that drilling for the project's first phase is underway on Alaska's North Slope, with oil production expected to start as early as December of next year.

It is projected that the development capital for the first phase of the Pikka Project will rise by a fifth. The 20% rise in capital expenditure, according to the corporation, is a little higher than anticipated. It perceives favorable acceleration potential. However, it won't be confirmed until early next year whether this is possible.

Santos's sales revenue for the period fell by 3% to $1.27 million compared to the previous quarter. Lower volumes of crude oil, condensate, and LNG were the primary cause of the income decline; however, better realized prices for LNG and domestic gas helped to offset this decline.