AWE to commence drilling of a well in Titan PSC in April
Tuesday, January 31 2012 - 05:18 AM WIB
Australia-listed oil and gas firm AWE Limited said Tuesday that it is expecting to commence drilling of the Atlas-1 well in the Titan PSC offshore East Java Basin in April this year. The decision was made after they completed the site surveys.
?Planning for the drilling of the Altlas-1 well in the Titan PSC has accelerated following the execution of the drilling contract in November 2011,? it said. The drilling of the well as initially set on March 2012.
The Atlas well target a sizeable gas prospect located approximately 35 km north east of the Lengo gas discovery, which tested gas at rates of 12.8 million cubic feet per day from the discovery well in 2008.
The participants in the Titan PSC are: AWE Limited (via subsidiaries) (Operator), 40.0 percent , Baruna Oil and Gas Ltd, 25.0 percent, Mitra Energy (Indonesia Titan) Ltd, 25.0 percent and PT Sillo Maritime Perdana, 10.0 percent.
AWE also said that seismic reprocessing has been completed on the 2D surveys in both the Terumbu and North Madura PSCs. ?This work is being undertaken in parallel with farm-out discussions,? it said.
AWE continues to pursue new ventures activities in a number of prospective oil and gas regions in an effort to identify additional exploration opportunities. The current focus by the new ventures team is the review of conventional and unconventional opportunities across Asia.
The company has lodged an initial joint study area proposal for the exploration of shale gas in Indonesia. However, it did not provide further detail.
On January 23, 2012, it signed a Sale and Purchase Agreement (SPA) with a subsidiary of Genting Berhad whereby a wholly owned subsidiary of AWE will acquire a 100 percent interest and operatorship of two Production Sharing Contracts (PSCs) offshore Indonesia for US$39 million.
The two PSCs, the North West Natuna block (NWN PSC) and the Anambas PSC are located in the Natuna Sea in 70 meters to 90 metres of water. The NWN PSC contains the undeveloped Ande Ande Lumut oil field which is estimated to contain 76 million barrels of recoverable heavy oil. Three exploration and appraisal wells have been drilled in the field.
Editing by David Mustakim