It is the one fo the first times in Australian operations that a well construction project management company has established a shared program for several different operators.

RBT Petroleum Associates did a similar program in the late 90s with the jack-up rig Parameswara in the Bass Strait for Amity Oil, Cultus Petroleum and Canyon. IPS also did this onshore in the Perth Basin for Arc, AWE, Hardman and Ausam in 2001-2002.

The Peak Group's one-year drilling campaign kicked-off at AED Oil’s Puffin development in Timor Sea permit AC/P22, about 80km south-west of the Jabiru and Challis oil fields. It will involve drilling and completing two development wells – Puffin-7 and Puffin-8 – and the Puffin-9 exploration well.

Peak will also provide a complete well construction project management and procurement service for most elements of AED’s three Puffin wells.

AED Oil managing director Dr Ken Tregonning said working with Peak had made the operational activities at the Puffin a “straightforward” process.

“Peak’s securing of the rig and associated contracts, and then farming them out to other operators substantially reduced the cost and time associated with getting the project up and running, and also introduced flexibility into our campaign, which will enable us to capitalise on the information gained while drilling Puffin-9,” Tregonning said.

The Peak operation will also involve drilling wells in the Timor Sea for Santos, US major ConocoPhillips and the Italian ENI energy group. This will range from providing the rig, supply vessels and offshore management team to providing all contracted services and major components of both the onshore and offshore management teams.

Under the service agreement, Peak will hold the contracts for the “Stena Clyde” semi-submersible drilling unit, the supply vessels, the third party service contracts and the logistics and supply base services.

The Peak Group’s Asia Pacific operations manager Nick Muecke said this rig-share approach gave Peak’s clients the financial benefits and synergies of a multi-well program normally only available to operating companies with substantial exploration and development programs.

“This is a unique venture where, for the first time in the history of the Australian offshore oil and gas industry a project management team has put together a multi-client program,” he said.

He said benefits included:

· Sharing the substantial mobilisation and demobilisation costs,

· A stronger negotiating capability with the service sector because of the extended campaign and Peak’s international position, and

· The provision of an integrated operations team established working relationships comprising Peak’s onshore and offshore management team and the Rig and Service Contractor personnel.

“We hope this will become a blueprint for future operations in the Asia Pacific region, following the successful application of this methodology in the North Sea, the Middle East and West Africa,” Muecke said.

“This is a landmark deal for Peak, the success of which can only enhance the entrepreneurial spirit and drive of our clients.”