July 25, 2008
ExxonMobil Announces $1.1 Billion Turrum Field Development
Exxon Mobil Corporation (NYSE: XOM) announced today the Gippsland Basin Joint Venture, which includes its subsidiary, Esso Australia, will invest $1.1 billion to develop more than 270 million oil-equivalent barrels from the Turrum field in the Bass Strait, offshore southeast Australia.
The development follows the recent announcement of $1 billion in funding to develop natural gas from the Kipper field, also in the Bass Strait.
Esso Australia is the Turrum field operator and holds 50 percent interest with BHP Billiton. Esso Australia operates 21 offshore oil and gas production facilities in Bass Strait and also operates and holds 32.5 percent interest in the Kipper Unit Joint Venture with BHP Billiton and Santos Limited.
"ExxonMobil continues to be an industry leader in bringing new energy supplies to the market and the Turrum Field development is the latest example," said Rich Kruger, president of ExxonMobil Production Company.
"Bass Strait has a long history and a bright future," Kruger said. "There are significant oil and gas resources remaining to be produced in the basin."
Esso Australia has produced oil and gas from the Bass Strait offshore fields for nearly 40 years.
The Turrum and Kipper projects are among 119 in ExxonMobil's industry-leading portfolio to support development of more than 24 billion oil-equivalent barrels of energy.
The Turrum field holds approximately one trillion cubic feet of gas and 110 million barrels of oil and natural gas liquids. The development concept for the project is based upon the construction of a new platform bridge-linked to the existing Marlin A platform in Bass Strait. The platform will process additional oil production and gas cycling which will be piped back to existing processing facilities at Longford. Construction is anticipated to begin in 2009. Oil production is expected in 2011, and first gas sales are estimated to take place in 2015.
The Kipper resource holds approximately 620 billion cubic feet of recoverable gas and 30 million barrels of condensate/liquified petroleum gas. The Kipper field will be developed by the installation of a number of subsea wells, piped back to existing infrastructure at Longford. Construction will begin in the second half of 2008 and first gas is expected in 2011.
More information about these projects is available in the online newsroom of ExxonMobil in Australia at this link: http://www.exxonmobil.com/Australia-English/PA/Newsroom.
CAUTIONARY STATEMENT: Estimates, expectations, and business plans in this release are forward-looking statements. Actual future results, including resource recoveries and project plans, schedules and investments could differ materially due to changes in market conditions affecting the oil and gas industry or long-term oil and gas price levels; political or regulatory developments; reservoir performance; timely completion of development projects; technical or operating factors; and other factors discussed under the heading "Factors Affecting Future Results" in the Investors section of our website (www.exxonmobil.com) and in Item 1A of our most recent Form 10-K. References to oil-equivalent barrels, oil, natural gas, natural gas liquids, condensate/liquified petroleum gas, and similar terms include quantities of hydrocarbons that are not yet classified as proved reserves but that we believe will be produced in the future.