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Santos Greenlights Agogo Gas Tie-In Project in Papua New Guinea

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Santos has reached a Final Investment Decision to proceed with the Agogo Production Facility Tie-In Project in Papua New Guinea, a project that will shore up long-term feedgas supply for the PNG LNG export terminal, the company said on Tuesday.

The project includes the installation of a new 19-kilometre pipeline connecting the Santos-operated APF to existing PNG LNG infrastructure, alongside the drilling of two new wells and significant facility modifications, it said.

Targeting its first gas in the second quarter of 2028, the project is expected to deliver incremental production capacity of about 135 mmscf/d, of which Santos' net share is 54 mmscf/d as per the statement.

The development carries an estimated gross capital expenditure of $400 million over the next three years, with Santos' share totaling about $160 million, the company added.

By utilizing existing processing and export infrastructure, the project offers a low-risk brownfield solution to convert 66 mmboe of undeveloped reserves into developed reserves, potentially extending the production profile beyond 2050, it said.

Operational preparations are already well-advanced, with Chief Operating Officer Brett Darley confirming that key regulatory approvals, land access, and joint venture clearances are in place.

The next phase of execution will focus on finalizing detailed designs and awarding the two primary construction contracts, the company added.

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