Australian oil and gas exploration firm Santos has begun oil production from six wells at its Chim Sao field, offshore southern Vietnam.

The field, which is located in the Nam Con Son Basin within block 12W, will have a gross production rate of 25,000bpd.

The Chim Sáo development includes a single wellhead platform and a floating processing, storage and offloading vessel, which will start processing hydrocarbons.

The oil will be exported through a shuttle tanker and the gas by a subsea pipeline into the existing gas infrastructure.

The company expects to commence further exploration and appraisal work next year.

Operator Premier Oil owns a 53.12% stake in block 12W and Chim Sáo, Santos holds 31.85% and PetroVietnam has 15%.