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Buru Energy (ASX:BRU) evacuates Ungani as cyclone Ellie sweeps across north WA

ASX News, Energy
ASX:BRU      MCAP $34.07M
05 January 2023 10:45 (AEDT)

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Buru Energy (BRU) has suspended operations at its Ungani production facility as ex-Tropical Cyclone Ellie wrecks havoc across the Kimberley region and into the North Interior in Western Australia.

The cyclone was located over the western Kimberley, bringing intense rainfall, flash flooding and damaging winds of up to 100 kilometres per hour.

Buru said that while Ungani production operations have not been directly affected, road closures have resulted in oil transport operations being suspended.

The company said since making the call to halt work, operations personnel had been “safely demobilised” from the field.

Moving forward, Buru said it would monitor the impact of the weather system on regional infrastructure and an update would be provided on the restart of production once the situation is able to be fully assessed.

The Bureau of Meterology has forecasted up to 200 millimetres of rain today west of Fitzroy Crossing in the Kimberley and north of Telfer in the North Interior.

Dangerous flash flooding is also likely in the western and southern sectors, including the Dampier Peninsula and Broome area.

While the Bureau pointed out north WA typically experiences these types of weather conditions at this time of year, it warned the extended nature of this event and associated flooding is unusual and dangerous.

Severe weather is expected to ease in the Kimberley tomorrow, but could continue in the southern Kimberley, and the adjacent North Interior may experience another brief period of moderate to heavy rainfall during Friday morning.

Buru Energy has a 50 per cent operating interest in the conventional Ungani Oilfield, located around 90 kilometres east of Broome, which includes six production wells and associated production facilities.

Company shares dropped 3.16 per cent to trade at 9.2 cents as of 11:30am AEDT.

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