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South Africa

Pioneer has participated in two major developments offshore South Africa. The Sable oil field has been producing since 2003, and gas and condensate production from the South Coast Gas project was initiated in September 2007. The gas project will get a significant production boost when Sable gas that is currently being reinjected to support oil production is tied into the gas pipeline system.Pioneer has participated in two major developments offshore South Africa. The Sable oil field began producing in 2003, and Pioneer became the first foreign oil company to participate in oil production from South Africa in partnership with PetroSA, the national oil company. In September 2008, gas and condensate production from the South Coast Gas (SCG) project was initiated to provide feedstock for Petro SA's onshore gas-to-liquids plant in Mossel Bay.

pipe workers - South Africa operationsThe Sable oil field was shut-in during the third quarter of 2008 after producing oil much longer than originally forecast. After the shut-in, the field started producing gas that had been re-injected over the years when only oil was being produced. The gas production is included in the SCG project.

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