Oil producer Triangle Energy Global has navigated an evolving commodity landscape, locking away $13.8 million in cash at the end of June – a leap of more than $11 million above its previous quarter.
The company overcame the closure of BP’s Kwinana crude oil handling centre in April by tying down a new export route for its Cliff Head oil, running the material to Asian markets through a new facility in Geraldton.
Revenue from its Cliff Head JV crude was $21.3 million for the period, courtesy of 148,000 barrels of oil sold. Receipts from customers leapt to $12.6 million up from zero in the March quarter.
Triangle has an almost 79 per cent stake in the CHJV that takes in the Cliff Head oil field off Dongara, about 270km north of Perth.
The company has recently started moving its crude oil by road to new facilities in the Port of Geraldton, where it is loaded onto chartered tankers and transported to Singaporean markets.
The move was necessary after oil giant BP’s decided to cease oil handling and refining at its Kwinana plant, forcing producers to find alternative means of getting the product to market.
The producer churned out more than 500 barrels of oil per day, down from the previous quarter’s total of 689. The company attributes the dip to downtime as a result of planned maintenance and a cut in production before its maiden shipment from Geraldton.
Triangle has plans to boost production at Cliff Head by replenishing a downhole electrical pump that crashed last year after 12 years in operation. The company says the workover could deliver an additional 130 barrels of oil a day from its Cliff Head 10 well.
Highlights of Triangle’s second quarter included the CHJV’s onshore Arrowsmith Stabilisation plant renovation.
The company tucked away 26,600 barrels of oil at Arrowsmith by the end of the June quarter – some way off the 124,479 stored at BP Kwinana at the start of the year.
It also collected seismic data over its recently acquired L7 and EP 437 permits as part of a shift in strategy as it turns its attention to major inland gas targets.
The two permits have previously been referred to by Triangle Energy’s management as the crown jewels of its asset base as it gradually transitions the company from oil production and its high decommissioning costs towards operations targeting cleaner burning gas.
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