allowing the development to
progress rapidly.
Another important milestone 
was achieved in December with
the completion of the 'Christmas
tree' subsea wellheads which 
will be installed on the Casino
development wells. These wells
are scheduled to be drilled during
the first half of 2005.
The John Brookes gas project has
also progressed rapidly since it
was sanctioned early in 2004 and
is approximately 50% complete.
This project is scheduled to come
into production in mid-2005 to
meet declining production from
East Spar and to create additional
marketing opportunities, some 
of which have since been realised
(see page 20).
The platform jacket, constructed
at Batam Island in Indonesia, 
is expected to be installed off
Dampier, Western Australia,
during April 2005. Development
drilling is scheduled for the
second quarter of 2005 and the
onshore gas processing plant
modifications at Varanus Island
have commenced.
PROGRESS CONTINUES
ELSEWHERE OFFSHORE
Three other projects, two outside
Australia, made significant
progress during the year.
The development plan for the
Oyong oil and gas field, offshore
East Java, Indonesia, was revised
to target early oil production.  
Negotiations are proceeding to
secure a production barge for oil
production to commence during
the last quarter of 2005, ahead 
of later gas production, subject 
to credit security and Indonesian
Government approvals.
The Maleo gas field development,
also offshore East Java, remains
on track for a first half 2006
production start-up. The project 
is on the cusp of formal sanction,
with outstanding matters being
execution of gas sales and gas
transportation agreements. 
The second stage of the Bayu-
Undan project in the Timor Sea –
the US$1.5 billion LNG project –
also made good progress during
the year. The pipeline connecting
the offshore field to the LNG
plant being constructed at
Wickham Point, Darwin, has been
laid in readiness for a planned
shutdown around May 2005 to
enable the tie-in of the offshore
facility. 
Onshore progress has been steady
with the total LNG project 67%
complete at year end and on
target for first LNG production to
commence in the first half of
2006, ramping up to more than 
3 million tonnes per year by 2009.
Following the discovery of oil at
Jeruk, Santos is moving rapidly to
evaluate the significance of the
field and development options. To
this end, a 3D seismic survey over
Jeruk and Santos’ surrounding
interests was initiated in late
2004. In addition, a focused
multi-disciplinary team has been
assembled to assess all
development options, including
the potential for early production.
Santos' development conveyor 
is functioning well, with the
number of significant projects 
in the pre-development and
development stages at a 
record level.
Annual Report 2004 19
DEVELOPMENT CONVEYOR at 31 December 2004
Percent complete
0
10
20
30
40
50
60
70
80
90
100 Minerva 100%
Mutineer-Exeter 89%Bayu-Undan LNG Pipeline 82%
Bayu-Undan LNG 67%
John Brookes 44%
Casino 25%
Oyong, Maleo, Jeruk, Sole, Kipper, Golden Beach
Bayu-Undan
Liquids 100%
Project Lifecycle
MODEC Venture II Floating
Production, Storage and Offloading
vessel, en route to Mutineer-
Exeter oil fields, Carnarvon Basin,
offshore Western Australia.
SAN165 WWW Text  30/3/05  12:07 PM  Page 19