Petrofac Starts Up Gas Production at Tunisia's Chergui Field

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Petrofac has announced that commercial production of gas and condensate has begun from the Chergui field located on Kerkennah Island in Tunisia. Petrofac Energy Developments is the operator and has a 45% interest in the field whilst its development partner, Entreprise Tunisienne D’Activitiés Pétrolières (ETAP), the Tunisian state oil company, holds the remaining 55%.

First commercial gas began flowing on August 8, 2008, and it is to be sold to Société Tunisienne de L’Electricité et du Gaz (STEG), the Tunisian state gas and electricity company under the existing gas pricing formula. The total cost of the development is approximately US$100 million.

The Chergui field central production facility will initially handle 20 million standard cubic feet per day. A 57km pipeline to shore will tie in to STEG’s facilities at Ain Turkia near Sfax on its main pipeline to Tunis. Production plateau rates of 20mmscfd are expected for at least four years. Initial flow will be from two wells. Future potential gas development opportunities may extend the production plateau and the ultimate life of the field.

Bill Dunnett, Executive Vice President, Project Development commented, "Commencement of production is a major achievement following many months of hard work and dedication and I would like to thank the team for all their efforts."

Amjad Bseisu, Chief Executive of Petrofac Energy Developments, added, "Production start-up from Chergui establishes another core area for Petrofac Energy Developments and consolidates our relationship with ETAP. We look forward to future co-operation with ETAP on projects in Tunisia."


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