Phillips/Shell/Woodside to Increase Interests in Timor Sea.
Phillips Petroleum Company Phillips Petroleum Company was founded in 1917 by L.E. Phillips and Frank Phillips, of Bartlesville, Oklahoma. Their younger brother, Waite Phillips was the benefactor of Philmont Scout Ranch.
Phillips Petroleum was headquartered in Bartlesville, Oklahoma. Australia Pty Ltd PTY LTD Propriety Limited (company structure in Australia) and other of its subsidiaries ("Phillips") have agreed to acquire an additional interest in the Greater Sunrise field (subject to pre-emption PRE-EMPTION, intern. law. The right of preemption is the right of a nation to detain the merchandise of strangers passing through her territories or seas, in order to afford to her subjects the preference of purchase. 1 Chit. Com. Law, 103; 1 Bl. Com. 287.
2. ) -- bringing Phillips' total interest to 30% -- and have entered into an agreement with Shell to purchase a 25% interest in the Evans Shoal gas field. The Evans Shoal offer is subject to board approvals and pre-emption rights.
Phillips, Woodside and Shell also announced that they have finalized principles for cooperative development of their Timor Sea Timor Sea
An arm of the Indian Ocean between Timor and Australia.
Noun 1. Timor Sea - an arm of the eastern Indian Ocean between Timor and northern Australia gas resources. This cooperative effort includes the Bayu-Undan and Greater Sunrise fields.
The agreed principles, which cover supply of gas and marketing of liquefied natural gas liquefied natural gas: see under natural gas.
Liquefied natural gas (LNG)
A product of natural gas which consists primarily of methane. Its properties are those of liquid methane, slightly modified by minor constituents. (LNG LNG (liquefied natural gas): see under natural gas. ), pipeline infrastructure and field optimization, will be developed further into cooperation agreements which will be ratified and executed by all relevant stakeholders by mid-year.
The agreed principles further envision production to commence from Bayu-Undan in 2004 to supply domestic customers in the Northern Territory and elsewhere, with Greater Sunrise production commencing as early as the second half of 2006. Gas required to satisfy Greater Sunrise deliveries prior to this time will be made available to the Greater Sunrise participants from Phillips-owned equity reserves in Bayu-Undan and possibly other participants in the Bayu-Undan project.
By the time the principles are executed, the Greater Sunrise participants plan to progress and execute agreements to supply natural gas to a diverse customer base including an LNG plant and a Methanex-owned methanol venture.
Phillips Petroleum Company Australia Pty Ltd president, Dr. Stephen Brand Stephen Brand is currently Vice President of Business Development and Exploration for ConocoPhillips. He is heritage Phillips 66. Overview
Dr. Stephen R. Brand obtained his Ph.D. in geology from Purdue University; he is currently 57 years old. said: "This marks a historic day in the establishment of the Timor Sea as an important emerging gas development area. Sharing of offshore pipeline infrastructure and coordination of offshore and onshore operations will reduce the gas development costs of the Bayu-Undan and Greater Sunrise fields while meeting the short- and long-term requirements of a large customer base in the Northern Territory and the eastern and southern Australian states, as well as LNG customers. This agreement is good for all stakeholders, especially the emerging nation of East Timor East Timor (tē`môr) or Timor-Leste (–lĕsht), Tetum Timor Lorosae, republic, officially Democratic Republic of Timor-Leste (2002 est. pop. . Cooperation is particularly important to foundation gas customers as it ensures supply security and reserves for the long term."
The participants in the Greater Sunrise development and their respective interests (subject to unitization) following this transaction are follows:
Woodside (Operator) 33.44%
Shell Development Australia 26.56%
Osaka Gas Osaka Gas Co.,Ltd. (大阪瓦斯株式会社 10%
With the completion of the acquisition of Petroz, Phillips controls a 58.5% interest of the Bayu-Undan field and is the operator. Bayu-Undan contains an estimated 400 gross million barrels of condensate and 3.4 gross trillion cubic feet (tcf) of natural gas. The Sunrise field is operated by Woodside, and contains an estimated 321 million barrels of condensate and 9.16 tcf of natural gas. The Shell-operated Evans Shoal field contains an estimated 6.6 gross trillion cubic feet of dry gas without CO2.
Phillips Petroleum Company Australia Pty Ltd is a unit of Phillips Petroleum Company (NYSE NYSE
See: New York Stock Exchange :P), an integrated petroleum company with interests around the world. Founded in Bartlesville, Okla., in 1917, the company has 12,400 employees and $20.5 billion of assets, and had $21.2 billion of revenues in 2000.