BHP is eyeing a final investment decision as soon as 2022 for a project to develop the gas discoveries made in its northern licences in Trinidad & Tobago, a project that is still "subject to being competitive for capital," the company said in a recent investor briefing.

The Australian explorer estimates a gross gas resource following an exploratory campaign and a number of discoveries at some 3.5 Trillion cubic feet of gross contingent resources. The company's final investment decision could range anywhere from 2022 to 2024, with first production targeted from 2026 to 2027 and beyond.

"Whilst detailed development studies are just getting started, a hub development appears best suited to this play," Geraldine Slattery, president operations petroleum, told investors at a briefing.

"The case we share today assumes access through existing LNG infrastructure in Trinidad and Tobago, which has capacity, whilst recognising there are multiple development concepts to be considered."

"As operator with high equity interest, we also have scope to optimise the development planning schedule and concept."

The company has notched a range of discoveries with its recent exploration, including Bele-1, Boom-1, Tuk-1, Bongos-2 and Hi Hat-1.

"In terms of the resource question there is sufficient resource in what we have discovered today and booked in our contingent resource," Slattery said in response to questions.

"What I would say is there is upside beyond that, from one of our most recent wells, which isn't actually captured in that, and there's further appraisal that we need to do. But for the contingent resource that we have reported, that does support a development."

The company also said it saw offtake opportunities in both the local domestic market as feedstock for the production of ammonia and methanol, as well as the liquefied natural gas market, where Trinidad & Tobago has the significant Atlantic LNG export terminal. But BHP might also compete for capacity with others, she suggested.

She did add: "At the outset we did rather purposefully and strategically partner with BP, given that they are involved in the midstream."

BHP also said that it would expect its Ruby project, sanctioned this year, to offset declines from the Angostura development going forward, with an internal rate of return of 30%.

The company further added that it was "evaluating a deep test in the southern deep-water licenses" and is also assessing the potential commerciality of gas discoveries in the south.

Field Development

BHP estimates 3.5 Tcf off Trinidad