Our Activities

Gobe

Location Gulf and Southern Highlands Provinces, 85 kilometres south-east of the Kutubu Oil Project
Permit Petroleum Development Licence-3 (PDL 3) encompassing the central part of the SE Gobe field and Petroleum Development Licence 4 (PDL 4) encompassing the Gobe Main field, the south-eastern and north-western parts of the SE Gobe field and the Saunders field.
Oil Search's interest Oil Search owns a 36.36% interest in PDL 3 and a 10.0% interest in PDL 4, giving it a 10.0% interest in the Gobe Main field and a 25.55% interest in the SE Gobe Field.
JV Partners PDL 3: Southern Highlands Petroleum Ltd (40.15%), Santos (held through Barracuda Ltd) (15.92%), Cue PNG Oil Co Ltd (5.57%), Petroleum Resources (Gobe) Ltd (2.0%).
PDL 4:  Merlin Petroleum Company (73.48%), ExxonMobil, held through Ampolex (Highlands) Ltd (14.52%), Petroleum Resources (Gobe) Ltd (2.0%)
Operator Oil Search Limited operates the Gobe Main and SE Gobe fields and is operator of PDL 4. Santos operates PDL 3
Recent production (mmbbl, net to Oil Search)
Gobe Main SE Gobe
2014: 0.03 2014: 0.13
2013: 0.04 2013: 0.13
2012: 0.04 2012: 0.20
2P Oil Reserves - end 2014 (mmbbl, net to Oil Search

Gobe Main: 0.1 million barrels
SE Gobe: 0.5 million barrels

Project Overview

The Gobe Oil Project comprises two producing oil fields, namely the South East (SE) Gobe oil field and the Gobe Main oil field. SE Gobe was discovered in early 1991. The SE Gobe discovery was significant because for the first time, commercial quantities of oil in the Iagifu sandstone were found. Prior to this, the majority of oil had been discovered in the Toro sandstone. The Gobe Main field was discovered in December 1993 and is located 5 kilometres to the north-west of the SE Gobe field. Oil reserves in Gobe Main are also contained in the Iagifu sandstone. In December 2001, the Saunders field was discovered in Petroleum Development Licence 4 (PDL 4).

The Gobe Main field is wholly located within PDL 4, while SE Gobe straddles the boundary of PDL 4 and adjoining PDL 3. Originally, 55% of SE Gobe oil reserves were attributed to PDL 4 and the balance to PDL 3. A re-determination, effective from June 2001, revised the oil split to 59% in PDL 3 and 41% in PDL 4.

il is exported via an 8 kilometre pipeline which joins the Gobe Processing Facility to the Kutubu Export Pipeline and marine loading terminal in the Gulf of Papua. The Gobe Project pays a tariff to the PDL 2 and PL 2 participants for the use of the export pipeline and infrastructure. The construction of infrastructure and production facilities for the Gobe Oil Project was completed in early 1998 and the first crude oil flowed from the Gobe Main field in March 1998 and from the SE Gobe field in April 1998.

Production peaked in December 1998 at 18,500 bopd gross from SE Gobe and at 20,000 bopd gross from Gobe Main in September 1999. In early 2005, the SE Gobe 11 well discovered an oil column in an undrained area of the SE Gobe field, located between Saunders and SE Gobe. An appraisal/development programme took place during 2006 to exploit this area. Both fields are now in their decline phase, but active well management and facility optimisation is ongoing, to mitigate the fields' natural decline rates.

Associated Gas field for PNG LNG Project

The Gobe Main field is one of four Associated Gas fields (Kutubu, Agogo, Moran, Gobe Main) that will contribute approximately 20% of the total gas feedstock over the life of the PNG LNG Project.

In addition, gas sales from the SE Gobe field to the PNG LNG Project commenced in May 2015.

Marketing

Gobe crude oil is sold as part of “Kutubu Blend” together with crude oil from the Kutubu and Moran fields and condensate from the PNG LNG Project. See Crude Marketing for further information.