IOG confims first gas from Saturn Banks project

After final commissioning of the Saturn Banks Reception Facilities (SBRF) at the Bacton terminal, backgassing of the pipeline system was successfully completed over the past week. This enabled the planned start-up sequence, with Blythe the first well to be opened up and forward flow commencing into the SBRF on Sunday 13 March. The Elgood well is planned to start up in the next two days and an initial view on flow rates will be assessed once stable production has been established from both fields. The company intends to analyse reservoir performance data over the initial months of production to inform an annual production guidance range.

The entire Saturn Banks offshore system, including the platforms, pipelines, associated subsea equipment and production wells, will be normally unmanned with remote operation from the control room at Bacton terminal, helping to minimise operating costs and carbon intensity over time.

Andrew Hockey, CEO of IOG, commented: "I am delighted to confirm that Saturn Banks Phase 1 First Gas has been achieved. Yesterday the Blythe well was safely opened up and IOG gas has started to be delivered into Bacton and on into the UK market. The Elgood well is expected to follow in the next two days. I am immensely grateful to the whole IOG team for their determined efforts to achieve this major target. My sincere thanks also go to our joint venture partner CalEnergy Resources and their owner Berkshire Hathaway Energy, to all our shareholders and bond investors, as well as to our many contractors, commercial partners and regulators. Phase 1 First Gas is just the first step on a bigger journey, giving us the operational platform and financial capacity to deliver multiple further phases of growth. By delivering domestic gas supplies through our co-owned infrastructure on a Scope 1 and 2 Net Zero basis we can generate strong and sustainable returns for shareholders."

Alistair Macfarlane, Area Manager - Southern North Sea and East Irish Sea at the Oil and Gas Authority, said: "As the UK transitions to net zero it will need a stable and secure supply of domestic gas to reduce its reliance on imports, which often have a larger carbon footprint, and so first production from the Saturn Banks project is a positive development."

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