CEO, Chris Finlayson, said: "Earnings in the quarter were down 4% to $1.1 billion, largely as a result of lower volumes in both the Upstream and LNG segments. The primary driver for the decline in Upstream volumes is the US, where BG Group has reduced its rig count in line with its strategy of pursuing value over volume. We will see production recover in the fourth quarter with the completion of our North Sea maintenance shutdowns and new projects coming onstream, most notably Jasmine."
Finlayson continued: "Our current priority is execution: the delivery of our 2013 milestones and of our growth projects. I am very pleased with our progress in Australia where we are moving into the commissioning stages. Gas has already flowed into the collection header system, and the main export pipeline is now in the ground with hydro-testing underway. Construction of the Ruby Jo compression stations and the processing plant is progressing well, ahead of commissioning in December. We expect to flow first gas to the plant around the end of the year. We are on track to deliver the world's first coal seam gas to LNG project on schedule and within the $20.4 billion budget.
"In Brazil, well performance from the Santos Basin continues to exceed expectations. The first three FPSOs have produced around 160 000 boed gross in the quarter, with each well on FPSOs 2 and 3 producing more than 30 000 boed gross. The buoyancy supported risers required for new wells to be hooked up to FPSOs 2 and 3 are all in country, with installation of the first unit underway after recent weather delays. The next two FPSOs to be deployed in the Santos Basin are on budget and expected to begin operations in 2014.
"The third quarter also saw us continuing to deliver our milestones with the successful start-up of the Margarita Phase 2 and Bongkot Phase 3K projects in Bolivia and Thailand respectively. The facilities at Itaú in Bolivia are complete, with start-up now expected in the fourth quarter. In the UK, an extensive planned maintenance programme is nearing completion with only the Lomond platform left to re-start in the coming weeks, and the Jasmine field is in the final stages of commissioning."
