BHP Turns on the Tap at ROD Project in Algeria

BHP Billiton reports that production commenced from the ROD Integrated Development in eastern Algeria on Sunday, October 24th.

During the first phase of production a gross flowrate of some 18,000 barrels of oil per day is currently being produced from the ROD field through the neighbouring BRN processing facility. Following the completion of the ROD central processing facility later this year, production will thereafter rise to approximately 80,000 barrels of Saharan Blend crude oil per day.

The ROD Integrated Development consists of the development of six satellite oilfields in the Berkine Basin. Associated gas and water will be reinjected into the reservoir to provide pressure support to the reservoir. A total of 34 development wells have been drilled and are available for production operations.

Philip Aiken, Group President Energy, said "The ROD Integrated Development represents our second development in Algeria. ROD and the Ohanet Development have given us a platform for growth and we are delighted to have acquired further exploration acreage in Blocks 408a/409 in the recent 5th Algerian International Bid Round."

The capital cost of the project is forecast to be within the original budget and BHP Billiton's share is US$192 million.

BHP Billiton has funded 36.04 per cent of the capital project and ENI funded the remaining 63.96 per cent.

An entity comprising SONATRACH/BHP Billiton is joint operator of the development phase and the production phase will be jointly operated by an entity comprising SONATRACH/ENI.

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