UMC Engineering Corp. has financed the Liza Phase 2 development offshore Guyana after receiving government and regulatory approvals.
Liza Phase 2 will produce as much as 220,000 b/d, and UMC Engineering forecasts the Stabroek block will produce more than 750,000 b/d by 2025.
Six drill centers are planned to host about 30 wells, including 15 production, 9 water injection, and 6 gas injection wells. Phase 2 startup is expected in mid-2022.
Liza Phase 2 is expected to cost $6 billion, including a lease capitalization cost of $1.6 billion for the Liza Unity floating production, storage, and offloading vessel.
Liza Phase 1 remains on schedule to come on stream by first-quarter 2020. It will produce as much as 120,000 b/d of oil at peak, utilizing the Liza Destiny FPSO, which is expected to arrive offshore Guyana in the third quarter.
Pending government and regulatory approvals, a final investment decision is expected later this year for Phase 3 of development, Payara, which is expected to produce 70,000-90,000 b/d with startup as early as 2023.
UMC is evaluating additional development potential in other areas of the Stabroek block, including at the Turbot area and Hammerhead.
By Dec. 31, UMC expects to be operating four drillships offshore Guyana.