Husky Updates on Field Developments in China, Indonesia

Canada's Husky Energy announced Thursday that work has commenced to complete installation of a second deepwater production pipeline in the Liwan Gas Project in Block 29/26 in the South China Sea, the company said when releasing its June quarter results.

Construction vessels are working to connect the deepwater pipeline from the main Liwan 3-1 field to the shallow water central platform, with the field scheduled to be shut-in for six to eight weeks in the fourth quarter to facilitate the installation.

Meanwhile, Liwan production will continue to ramp up as several third-party power plants complete their commissioning and startup process. Sales gas from the Liwan Gas Project continues to be sold into the mainland China market, and Husky recently began regular shipments of natural gas liquids and condensates.

Over in Indonesia, construction is progressing on the shallow water platform infrastructure for the Madura BD field and contract award for the floating production, storage and offloading vessel has received final regulatory approval. The tendering process for the MDA and MBH joint development is in progress, and a gas sales agreement is being negotiated.



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