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Home Europe

Vermilion Energy reports first gas from Corrib project

in Europe, News, Upstream
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Vermilion Energy said Wednesday that natural gas had started to flow at the company’s Corrib gas project in Ireland. Production levels at Corrib are expected to rise over a period of approximately six months to a peak rate estimated at 58 MMcfgd, net to Vermilion.

“First gas marks an important milestone for Vermilion,” said Lorenzo Donadeo, CEO of Vermilion. “Corrib will be a significant contributor to both our 2016 and 2017 production growth and generate meaningful free cash flow for the company. Corrib strengthens our focus on Europe and provides us with operational momentum in an area where we are becoming a dominant intermediate producer. “

Corrib production is priced in reference to the National Balancing Point (NBP) in the UK and will increase Vermilion’s exposure to advantageously-priced European natural gas production. The company anticipates that European-based natural gas will represent approximately 30% of its 2016 production volumes.

Corrib is a world-class natural gas field located approximately 83 km off the northwest coast of Ireland. The field is believed to contain approximately 1 Tcf of natural gas reserves.

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