Burlington Resources to invest in Algerian development projects
The US-based Burlington Resources plans to invest over $330 million in development projects in Algeria, China and the UK. This sum constitutes a quarter of the company’s total projected capital investments for the year 2003. The remaining 75 percent of Burlington’s 2003 exploration and production capital is earmarked for programs in North America.
Algeria, one of the world's major oil-producing nations, represents a key part of Burlington's international strategy. The company has initiated development work in preparation for production start-up in 2003, with a rapid escalation of output to follow. Burlington, through predecessor firm Louisiana Land and Exploration, has been operating in Algeria since 1993.
The core of Burlington’s Algerian operations is Menzel Lejmat Block 405a, approximately 500 miles southeast of Algiers, and site of seven oil and/or natural gas fields as well as 1.3 Tcfe of resources net to Burlington. As operator of the block with 65 percent working interest, Burlington has drilled 31 wells in Menzel, and is currently constructing a processing plant as well as permanent facilities to accommodate a 400-person work force.
Burlington expects production to begin in early 2003 from the Sonatrach-operated Ourhoud Field, which extends onto its block, with an anticipated rate of 8,500 bod. By mid-2003, the company plans to place onstream the first of five Burlington operated fields on the block - MLN, MLNW, MLW, KMD and MLC.
Development in the block's northern portion is under way, with net production of 12,000 Bod expected in mid-2003. Production could double by 2006 with development of the block's other fields, according to a company press release. In late 2001 Burlington was awarded a contract by Sonatrach to explore Block 402d, also in the Berkine Basin. It is 60 miles northeast of Block 405a.
Headquartered in Houston, Texas, Burlington Resources is one of the world's largest independent oil and gas companies, with natural gas comprising the vast majority of its reserves. The company has properties in the US, Canada, the United Kingdom, South America, Africa and China. — (menareport.com)
© 2002 Mena Report (www.menareport.com)