RE: Good read8 Jan 2019 16:41
Jay_85,
Thanks for the link to the EV article, which is of course very interesting.
Naturally part of my attention was drawn to the fact that Dr T mentions an FPSO on GWA, because it's been a source of considerable discussion here in the past! So I'm prepared to eat humble pie to a certain extent, but still, that's limited. because nevertheless, many years from now, for FFD of GLA, and especially if the Halifax connection is proved,, I still see fixed-jacket platforms being installed, like on Clair Ridge. With a Major having come in to foot the lion's share of the bill.
Because thinking about this, I suddenly realised something I'd never thought of before. Building and installing fixed platforms involves far higher initial Capex, but which would pay off in the long run in terms of infrastructure lifespan, reduced downtime, and so on. Because of course an FPSO is on charter. Take the AM: it's not as if Hurricane paid for the thing to be built, initially!
It's only the Big Boys like BP who've got the upfront money or the leverage to be able to envisage funding permanent structures (though of course there are exceptions, like PMO's Solan). So 'mystery solved'!
I'm also glad that Dr T once again reiterated the stuff about 'debottlenecking' in regard to the AM, and increasing production. Sure, the boat itself will very likely require modifications to the production train, but it shouldn't be imagined that the existing equipment in some way represents a 'constainment'. 'Debottlenecking' will be contingent upon a gas export pipeline being laid, which will almost certainly involve some sort of JV partners.
It's a long way in the future, though.
Sign In
Follow the stocks
