The gas fields are located in block 46/07 and block 51, respectively, offshore Southwest Vietnam. The company now owns a 100% operated working interest in the two gas development blocks.
According to Jadestone, the Nam Du and U Minh fields were estimated to hold gross contingent gas resources (2C) of 171.3bcf as on 31 December 2017.
The Vietnamese Government will consider the FDP for approval, following receipt of Petrovietnam’s endorsement for the two fields. The government’s decision on FDP is expected to be received later in 2019.
Jadestone’s latest development follows the submission of a formal declaration of commercial discovery for the Nam Du and U Minh gas fields.
The company finalised the bidder selection process for the facilities engineering, procurement, and construction (EPC) contract, reaching a binding letter of intent (LoI) being issued to the successful bidder.
It also selected a floating production storage and offloading (FPSO) vessel provider, as well as provisions for leasing, operations and maintenance, which are now approved by Petrovietnam.
The FDP submission follows THE receipt of amended investment licences for both fields’ production sharing contracts.
Jadestone Energy president and CEO Paul Blakeley said: “In the meantime, our negotiations are progressing well toward finalising a gas sales and purchase agreement in accordance with the heads of agreement signed with Petrovietnam earlier this year.
“The spirit of cooperation between Jadestone and the Vietnamese Government and regulator is strong, and we are working together to swiftly monetise this domestic resource, with targeted first production in late 2021.
“Nam Du and U Minh offer a material volume of gas for both Jadestone and for Vietnam and, once in production, will be used for existing installed power generation and the manufacturing of fertilisers, thereby directly contributing to Vietnam’s ongoing economic growth and development.”