Burlington Resources has eported the startup of oil production from the Menzel Lejmat north (MLN) field in Algeria, along with initial commissioning of the field's oil processing and storage facilities.
The Burlington-operated MLN program is developing the first of a series of discoveries made by the company on Block 405a. The block is situated in the Berkine Basin near the town of Hassi Messaoud, approximately 435 miles or 700 kilometers southeast of Algiers. The MLN Field was discovered in 1996.
The MLN project is one of three large international production startups anticipated by Burlington during 2003 and early 2004, including the the Sonatrach-operated Ourhoud Field in Algeria, in which Burlington has a 3.73 percent participation.
Initial gross production of approximately 14,000 barrels of oil per day (bpd) is expected to increase to 33,000 bpd in late 2003, contingent upon the connection of additional wells in satellite fields, completion of natural gas compression facilities and receipt of necessary regulatory approvals. Anticipated full production would result in a maximum net rate of 13,500 BOPD for Burlington.
The company has a 65 percent working interest in the Production Sharing Contract on Block 405a. Partner Talisman (Algeria), a wholly owned subsidiary of Talisman Energy, holds a 35 percent working interest and Sonatrach, Algeria's national oil company, participates in both revenue and production through the contract.
The MLN Field and four nearby satellite oil fields on the block's northern portion are being developed in this initial phase. Subsequent phases of development are targeted for the 2006-2007 timeframe and are planned to include several fields with oil and large natural gas and condensate reserves on the block's southern portion.
Headquartered in the United States, the company has production in the US, Canada, the United Kingdom, Africa and South America, with exploration and development programs under way in these areas as well as in China. — (menareport.com)
© 2003 Mena Report (www.menareport.com)
