ACL announces regulatory approval to drill on South Block A
Thursday, May 19 2016 - 01:24 AM WIB
Canadian firm ACL International Ltd. announced Wednesday that its subsidiary Renco Elang Energy Pte. Ltd. (REE), the operator of South Block A (SBA), has received regulatory approval to drill the Amanah Timur #1 well (AT1) before November 30, 2016.
The company said in a statement that AT1 is located within the SBA concession onshore and offshore North Sumatra.
?AT1 will test the Paya Bili Prospect at a depth not exceeding 700 m TD and will evaluate reservoirs productivity in a pre-1940 oil field as well as evaluate untested deeper sandstone reservoirs which are known to be well developed in the area. The prospect is located on a productive trend and has near term commercialization potential,? the company said in a statement Wednesday.
REE has identified an attractive portfolio of leads within SBA, with combined P50 an unrisked Prospective Resource of 442 BCF gas and 47 MMBBL oil/condensate. REE?s share of the resource is 169 BCF gas and 18 MMBBL oil/condensate. An estimate of probability of success of these leads range from 11 to 48 percent.
SBA lies within the North Sumatra Basin which is one of the most productive hydrocarbon provinces in Indonesia with over 80 known oil and gas fields. ACL acquired a 38.25 percent working interest in the SBA asset in July 2015. SBA is split into 2 blocks, the West block covers 1,256.5 sq km and East block covers 637 sq km. The East block extends into the coastal area and includes a portion offshore. The Assets block also includes 180 km of 2D Seismic, 50 km2 of 3D Seismic and 4 exploratory wells.
Peak Oil & Gas Pte Ltd is the holder of 75 percent of the shares in REE, the 51 percent participant and operator in South Block A PSC.
Through its wholly owned subsidiary Blue Sky Langsa Inc., ACL also owns 50 percent of the Langsa TAC (Technical Assistance Contract). The Langsa field is a 77 square km concession in 300 feet of water depth. Initially discovered by Mobil in 1980. Mobil drilled five wells and made two discoveries (L and H field). Current gross production from the Langsa TAC is approximately 884 bopd (gross) from two wells which results in net share to ACL of 330 bopd after adjusting for the government?s share.
Editing by Reiner Simanjuntak