Italian multinational oil and gas company Eni announced that it has started production from the Kitan oil field located between Timor-Leste and Australia, approximately 240km south of the Timor-Leste capital of Dili and 550km north of Darwin, Australia.

Eni is operator of Kitan oil field with a 40% interest while INPEX Timor Sea (35%) and Talisman Resources (25%) are its partners in the joint venture.

"The Kitan start-up further cements Eni’s growth plans in the region in the wake of recent asset acquisitions offshore of Australia, the latest record of important discoveries offshore of Indonesia where Eni plans to replicate the success of Kitan, and the company’s initiatives in unconventional gas in Indonesia and China," the company said in a statement.

The Kitan field is being produced through deep water subsea completion wells connected to an FPSO (Floating Production Storage and Offloading) facility and is expected to reach peak production of about 40,000 barrels of oil per day.

First production commenced within three and half years from the declaration of commercial discovery. Eni estimated in 2008 that the Kitan oil field contains around 30 million to 40 million barrels of oil reserves.

The development followed a fast-tracked schedule from discovery to production, meeting final investment decision targets for time and budget while maintaining the highest industry standards in health, safety and environment management and with an open and transparent relationship with the stakeholders.

Eni has been present as an operator in Australia since 2000 and in Timor-Leste since 2006.

In Australia, Eni is operator of the Woollybutt oil field, with a 65% interest, and is the 100% owner and operator of the Blacktip Gas Project.

Eni also has a non-operated interest in the Bayu-Undan gas and condensate field. Eni has interests in 19 offshore exploration and production licenses in Australia, Timor Leste and Papua New Guinea, 15 of which it operates.