press release Chevron activates Transfer Support Center and signs four agreements with PTTEP ED to prepare for safe transfer of Erawan
Chevron Thailand Exploration and Production, Ltd. (Chevron) confirms the readiness for the Erawan handover on April 23, 2022. The company has set up a Transfer Support Center to enable a smooth and safe transition, as well as has signed the Deed of Novation and Amendment of Erawan 2 Floating Storage and Offloading Vessel (E2FSO) Bareboat Charterparty, Pattani Floating Storage and Offloading Vessel (PFSO) G1/61 Access and Service Agreement, Joint Utilization Facilities Agreement (JUFA), and Operation and Maintenance Support Agreement with PTTEP Energy Development Company Limited (PTTEP ED). The agreements represent key progress of the preparation work undertaken to safely transfer operatorship to PTTEP ED on April 23, 2022, and support the mission of both parties to strengthen Thailand's energy security. After the transition, Erawan, which is currently operated by Chevron under the concession, will transfer its operatorship to PTTEP ED under the Production Sharing Contract (PSC) as Exploration Block G1/61.
As a prudent operator, Chevron has met all its obligations under the concession agreement, these range from the transition plans, data transfer, manpower management to equipment preparations. The company has completed the transition plans which have undergone reviews and checks from all related groups within Chevron. As part of the preparations numerous “desk top” exercises have been performed with PTTEP ED and the DMF to test handover readiness, these included emergency response drills.
Chevron’s Transfer Support Center, located at the head office in Bangkok, will operate from April 18-24, 2022, to support the safe handover operations, this support center is a collaborative effort with PTTEP ED and the DMF. In addition, both DMF and PTTEP ED personal are currently offshore to help enable a smooth transition. Chevron is also collaborating with the DMF in supporting the operations of the War Room, a joint support center set up by the DMF together with PTTEP ED and other related parties, during 6 p.m. of April 23, 2022, until 3 a.m. of April 24, 2022
This set of agreements marks critical stages of the goal of a safe transition of Erawan as well as allow both parties to continue their operations safely and reliably following the transition period. The close collaboration between Chevron and PTTEP ED in managing E2FSO and PFSO which are essential infrastructures used for storing energy supply from various fields in the Gulf of Thailand especially for Block G1/61, optimizing the use of offshore facilities, and supporting operation and maintenance, all detailed in the signed agreements, to support safe and continuous petroleum production in the Gulf of Thailand by both parties.
Chatit added that “Erawan is Thailand’s first natural gas field and has played a critical role in supporting this country’s economic growth development over several decades. It has enabled Thailand to increase its energy independence. Erawan also acted as the offshore school ground that cultivates many homegrown talents for Thailand’s petroleum industry. Erawan has built a proud and lasting legacy for all of us at Chevron that has been operating the field for over 40 years, taking part in driving economic growth nationwide as well as cultivating homegrown energy professionals and laying a solid foundation for the future of the petroleum industry in Thailand. Erawan’s solid performance would not have been possible without the hard work and commitment of all former and current Chevron employees and contractors for their dedication to safely produce energy for the country for more than four decades. After the transition, we remain committed to providing safe, and reliable and ever cleaner energy to the Kingdom of Thailand while seeking new opportunities that support the energy needs of the country in the future.”