Fénix field, the world’s southernmost gas project, is being developed offshore Tierra del Fuego in Argentina.
TotalEnergies operates the project with a 37.5% stake through its affiliate Total Austral, while Wintershall Dea (37.5%) and Pan American Sur (25%) are the other partners.
The Final Investment Decision (FID) for the project was taken by TotalEnergies in September 2022. The development will entail an investment of around $706m.
Fénix Gas Field is expected to commence commercial operations in early 2025. It will produce around 10 million cubic metres per day of natural gas (70,000 barrels of oil equivalent per day).
Location and Site details
The Fénix Gas Project will be located 60km off the coast of Tierra del Fuego in southern Argentina.
The project is a part of the Cuenca Marina Austral 1 (CMA-1) concession, which is operated by Total Austral since 1990’s.
The CMA-1 concession includes Ara and Cañadon Alfa fields in the onshore region, and Hidra, Kaus, Carina, Aries, Vega Pleyade and Fenix fields in offshore.
Presently, Hidra, Aries, Carina, and Vega Pléyade are operational, and meet nearly 16% of the natural gas demand in Argentina.
In April 2022, the Argentine authorities granted an extension of ten years to the CMA-1 concession until 30 April 2041.
Fenix will also be entitled to the benefits provided for under Law 19640’s special tax regime as a new gas project in Tierra del Fuego.
Project details
The Fénix Gas Project development will include three horizontal wells drilled from an unmanned wellhead platform.
The unmanned platform will be installed 60km from shore in 70m water depth. It will be supported by a four-legged jacket with associated appurtenances such as piles, anodes, disposal tubes, pre-installed risers, J-tubes, and facilities for future subsea wells.
The 1,537-tonne jacket will support the four-legged deck. The total topside structure will weigh 1,385 tonnes.
The jacket and deck are expected to be ready for sail away in October 2023 and November 2023 respectively.
The recovered gas will be transported to the existing TotalEnergies-operated Vega Pleyade Platform located 35km away via 24” subsea multiphase pipeline.
The production will be treated onshore at the Rio Cullen and Cañadon Alfa plants, both operated by TotalEnergies.
Fénix will have a carbon intensity of 9kg carbon dioxide (CO2)/boe. It will seek to lower carbon intensity by using technologies of TotalEnergies such as heat recovery systems and installation of wind farms.
The project is expected to produce for more than 15 years, meeting long-term energy supply requirements of Argentina and helping the country to reduce energy imports.
Fenix’s production of up to 10 million cubic metres of gas per day will represent 8% of the country’s current gas production.
Contractors involved
Corinth Pipeworks, which specialises in manufacturing steel pipes and hollow sections for the energy and construction sectors, was selected by TotalEnergies and its partners for manufacturing and supplying approximately 40km of 24” longitudinally submerged arc welded steel pipes for the first phase of the Fénix gas export pipeline.
The manufacturing works will be carried out in Corinth’s facilities in Thisvi, Greece and installation will commence in 2023. The scope of the contract also includes external 3LPE anti corrosion coating and concrete weight coating which will also be completed in Thisvi.
In March 2022, Rosetti Marino secured an engineering, procurement, construction (EPC) /Lump sum contract to deliver engineering, procurement, construction, commissioning, load out and sea fastening of the offshore wellhead platform.
TotalEnergies in Argentina
TotalEnergies, through its Total Austral affiliate, has been present in Argentina for more than 40 years.
The company is one of the biggest international gas producers in the country with an equity share of production averaging 81,000 barrels of oil equivalent per day in 2021.
Besides Tierra del Fuego, TotalEnergies holds equity interests in nine blocks of the onshore Neuquén basin. It is also developing the AguadaPichana Este Unconventional field.
The company runs Marketing & Services and Renewables activities in Argentina through its Total Eren affiliate.