AWE commits rig for drilling of Atlas-1 well

Australia-listed oil, gas firm AWE Limited reported Tuesday that its wholly owned subsidiary, AWE (Titan) NZ Limited has executed a rig contract for the drilling of the Atlas-1 well.

Atlas-1 will be drilled in the Titan PSC, which is located in the offshore East Java Basin. On the current schedule, the Atlas-1 well is expected to be drilled in March, 2012.

The Atlas well will target a sizable gas prospect, located approximately 35 kms north east of the Lengo gas discovery, which tested gas at rates of 12.8 MMCFD from the discovery well in 2008, the company said.

In conjunction with Lengo, if successful, Atlas and Lengo have the potential to contain up to 1 TCF of recoverable sales gas, the company claimed.

The participants in the Titan PSC are: AWE Limited (via subsidiaries) (Operator), 40.0% , Baruna Oil and Gas Ltd, 25.0%, Mitra Energy (Indonesia Titan) Ltd, 25.0% and PT. Sillo Maritime Perdana, 10.0%. (romel)