Work to bring the Polish Siekierki gas field online is set to begin shortly following a deal between the operator San Leon Energy and Baker Hughes Poland.
The agreement follows a signing of a letter of intent as the companies were looking to start production from the discovery, located at blocks 206, 207 and 208, later this year.
The work on the field will be spread over three stages, with phases one and two encompassing the workover and testing of four Trzek wells, while phase three will include the design and installation of facilities and transport infrastructure necessary to begin sale of hydrocarbons from the wells.
In line with the agreement Baker Hughes will receive a return from 75% of profits generated from production, followed by a 10% net profit interest in the wells, in return for the full funding of all stages of the project.
“The goodwill and co-operation on this venture has been remarkable and we would like to thank all the people at Baker for their commitment and dedication to this project,” said Oisin Fanning, San Leon executive chairman.
“We have agreed key commercial terms and are now finalising transaction documents. We expect a joint press release will be issued in the near future when final documents are signed.
“In the meantime, technical and operational teams from both companies are putting plans in place for phase 1 testing and completion.”
