Hibiscus Petroleum to optimize Marigold oil field with Ithaca and Caldera
In a major development for the oil and gas industry, Hibiscus Petroleum Berhad (HIBI: MK), through its wholly-owned subsidiary Anasuria Hibiscus UK Limited (AHUK), has teamed up with Ithaca Oil and Gas Limited (Ithaca), a subsidiary of Ithaca Energy Limited, and Caldera Petroleum UK Limited (Caldera). The trio has inked a Unitisation and Unit Operating Agreement (UUOA) aimed at jointly developing the Marigold oil field in the UK North Sea, optimizing the output of the Marigold West and Marigold East sectors.
According to the terms of the UUOA, AHUK will hold 61.25% interest in the unitised Marigold oil field. Caldera will secure an 8.75% stake, while Ithaca comes in with a 30% interest. AHUK holds 87.5% interest in Licence P198 Block 15/13a, home to the Marigold West field. Caldera holds the residual 12.5%. Ithaca has a 100% stake in the adjacent Licence P2158 Block 15/18b, which features Marigold East.
The UUOA spells good news for the oil and gas sector as it permits the companies to implement optimal field development solutions for Marigold. An integrated project team spearheaded by AHUK, and including Ithaca personnel, is tasked with developing the Marigold Field Development Plan (FDP). Submission of the FDP is scheduled for early 2024.
Separately, the Sunflower field, located in Block 15/13b and part of Licence P198, will be developed as a subsea tie-in to the Marigold Project infrastructure. AHUK holds an 87.5% interest in the Sunflower field and acts as the operator, with Caldera holding the remaining 12.5%. The Sunflower FDP will be submitted separately and is not included in the UUOA.
As the oil and gas industry looks for ways to optimize operations, the collaborative venture between Hibiscus Petroleum, Ithaca, and Caldera offers a blueprint for future unitisation agreements. Keep your eyes on this developing story as the industry gears up for the submission of the Marigold Field Development Plan in early 2024.
