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E.ON Ruhrgas:  First gas flows from Babbage field in United Kingdom
Milestone for own gas production of E.ON Ruhrgas

10.08.2010 + + + E.ON Ruhrgas started first production from the Babbage gas field in the United Kingdom. The Babbage platform is the first gas production platform operated by E.ON Ruhrgas UK E&P Limited. The field is located approximately 80 km off the coast of the UK, in the Southern North Sea. Babbage is expected to produce more than 5 billion cubic metres of natural gas with a field life of 20 years.

“We are delighted to announce the delivery of first gas from Babbage. The development of this field is a milestone for our upstream business,” stressed Dr. Bernhard Reutersberg, CEO of E.ON Ruhrgas. “We see exploration and production of natural gas as a growth area. Therefore, we have expanded our activities from the UK and Norway into Russia and North Africa. Our mid-term objective is to produce more than 10 billion cubic metres of equity gas per year.”  

Babbage is operated by E.ON Ruhrgas UK E&P Limited with an equity share of 47 %. The other Joint Venture partners are Centrica Resources Limited (13 %) and Dana Petroleum E&P Limited (40 %). “This success adds to E.ON Ruhrgas UK E&P’s operated production base which includes the Johnston and Rita fields. Furthermore, Babbage highlights E.ON’s commitment to investing in the UK’s E&P industry,” said Felix Lerch, Managing Director of E.ON Ruhrgas UK E&P Limited.

The total investment in the development of the Babbage field will amount to more than € 350 million (around £ 300 million). The field was approved by the UK government in 2009 and is being executed in two phases according to stringent safety rules. Phase One included the installation of the Babbage platform, the drilling of three production wells and the laying of 28 km pipeline to connect the field to existing infrastructure. Two further wells are planned for Phase Two in 2011.

E.ON Ruhrgas Exploration & Production has activities in six countries and produced 4.4 billion cubic metres of natural gas in 2009 (at equity gas included). Production will increase significantly over the next years as more fields are brought on stream.

The Babbage platform was installed in Block 48/2a of the UK Southern North Sea on 18 September 2009. The reservoir of the field lies about 3,200 metres below the seabed. Once all production wells are in place, Babbage is expected to produce approximately 2 million cubic metres of natural gas a day, enough to meet the demand of more than 1,000 single-family homes for a year. The gas will be transported by pipeline to the UK market.

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