Tui flows boost AWE turnover

Australia’s AWE saw revenue rise 159% sequentially to A$223 million in the fourth quarter of 2007, driven by higher-than-expected production from its Tui project off New Zealand.

AWE reported a 24% increase in production compared with the previous quarter to 2.65 million barrels of oil equivalent, with the Tui project producing 3.95 million barrels of oil (1.68 million net to AWE). AWE said in its quarterly report that it now expects the field to produce 12 million barrels in its 2007-2008 financial year, up from its previous estimate of 11 million. The company also said it had boosted proved and probable reserves twice, in August and November last year, by a combined 50% to 41.7 million barrels. The four wells on the project produced an average total of 43,000 barrels per day, while production capacity at the field remained above 50,000 bpd. However, AWE water production also crept up at the field to an average 22,800 bpd. A further development well, Tui-4H would be drilled on the field ibn mid-2009. AWE operates the Tui project with a 42.5% stake. Exploration was continuing on AWE’s prospects on the Otway and Perth basins off Australia, at its 42.5%-owned Bulu production-sharing contract on Indonesia’s East Java basin, and at its holdings on the Taranaki and Canterbury basins on New Zealand.
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