National Oilwell Varco’s subsidiary Profab has been issued a conditional letter of award related to the offshore Apsara oil field in Cambodia from KrisEnergy.

The contract is for the supply of a minimum facilities wellhead platform for the Cambodian oil field.

The Apsara oil field, which is located in the Cambodia Block A in the Gulf of Thailand, is set to become the first-ever oil development in Cambodia.

The scope of Profab’s work under the contract for the oil field includes key procurement, and the fabrication and construction of the jacket, topsides and other associated accessories for the mini-platform. The National Oilwell Varco subsidiary will also be responsible for the full pre-commissioning and loading onto a barge for transporting the oil produced from the Cambodian field.

Profab will execute the contract work at its facility on Batam Island in Indonesia.

The Cambodia Block A spans 3,083km over the Khmer Basin, which is an unproduced geological basin in the Cambodian maritime waters. KrisEnergy has a 95% stake in Cambodia Block A with the remaining 5% stake held by the Cambodian government.

KrisEnergy said that owing to the unproven production performance of the Khmer Basin, the development of the Apsara oil field will be taken up in several phases. The company said that this approach will mitigate risk and gives it time for the collection and analysis of important data that can be applied in future phases.

The first phase of development called Mini Phase 1A involves installation of a mini-platform and drilling of five initial development wells. The wells will be connected to the Ingenium II production barge for oil, gas and water processing.

KrisEnergy plans to use shuttle tankers to transport crude oil from the barge.

Apsara oil field expected to begin production in the first half of 2020

Scheduled to begin production in the first half of 2020, the Apsara oil field is estimated to reach a peak rate of 7,500 barrels of oil per day, said the upstream company, which focuses on operations in Southeast Asia.

KrisEnergy Cambodian operations CEO and president Kelvin Tang said: “Mini Phase 1A forms an integral part of the original Phase 1A plan which comprises a larger platform, 20 wells, the production barge and a floating storage and offloading vessel.

“Mini Phase 1A simplifies the development with a smaller platform, fewer wells and the use of lower cost lease shuttle tankers and will allow us to observe reservoir performance efficiently and effectively to evaluate the long-term potential of the Apsara field. We have completed a vast array of background preparation to bring all elements of the development together in the shortest possible timeframe.”