AWE, partners to drill E. Java appraisal well '11

ASX-listed oil and gas firm Australian Worldwide Exploration Ltd (AWE) said on Friday that it and partner would start drill in the second half of 2011 at Lengo gas appraisal well in Bulu PSC, offshore East Java.

The company said subsurface and engineering studies continue with the objective of implementing an appropriate appraisal and development plan to commercialise the field.

Evaluation of the Lengo gas discovery is an important focus for AWE and its joint venture partners in the Bulu PSC, it said.

The Lengo-1 well started drilling on March 8, 2008 and was drilled to a total depth of 987 metres. Strong gas shows were encountered in the main target reservoir section over a gross interval of 42 metres, which flowed gas at rates of up to 12.8 million cubic feet per day.

Participants in the Bulu Production Sharing Contract are: AWE Limited 42.5%; Pearl Oil (Satria) Ltd (Operator) 42,5%; PT Satria Energindo 10.0% and PT Satria Wijaya Kusuma 5.0% (denny)