Minister in the Ministry of Energy and Energy Industries, Ernesto Kesar, is promising a significant ramp-up in drilling activity, after what he called years of decline under the previous administration.
Contributing to the debate on the Budget, he laid out a comprehensive plan for increased exploration and development in fiscal 2026.
“The honoured and esteemed persons on that side indicated that my Minister of Energy ain’t coming with nothing new, we ain’t doing nothing. I’m saying just this one page alone indicates, if I count, is more than 40 wells are going to be drilled or work over within fiscal 2026. Okay? Woodside Energy. Woodside plans to conduct further studies evaluating potential developments concept for Deepwater block 14 and 23A. The viability of two development concepts for the Calypso project is currently being assessed.”
Minister Kesar indicated that EOG Resources will invest US$614 million to develop the Mento field with 12 wells across two phases, expecting US$764.8 million in operating cash flow and a 74% government profit share.
He added that EOG also intends to partner with bpTT to bring first gas from the Coconut field by the second quarter of 2027.
The Minister also announced plans from Shell: “Two development wells are being pursued by Shell. These are the Aphrodite Project, the Manatee Plus Project. The Aphrodite Project is a single development well, which, with peak production rate at 120mm SCFD, targeting 275 BCF of gas. Mr. Speaker, the total cost for this entire project is estimated US$1.46 billion. BPTT has the continuation of the SIP Development Phase 2 drilling is planned for fiscal 2026, with three development wells and four wells in Phase 1 of SIP, and the development is already in production.”