Bass hopeful for increased production in Tangai-Sukananti KSO
Monday, April 24 2017 - 03:31 AM WIB
ASX-listed Bass Strait Oil Co Ltd is hopeful for higher future production at the Tangai-Sukananti KSO, South Sumatra Province, from the development of two wells.
?The Indonesian-based team has identified development and optimization opportunities capable of adding up to 350 bopd (100% JV) in production from two wells,? the company said in an update statement last week. ?Field work to implement these opportunities is scheduled to commence in early third quarter of 2017.?
Bass also reported that production for the month of March 2017 equaled 14,514 bbl oil (100% JV) at the Tangai-Sukananti KSO or 7,983 bbl oil (net to Bass). ?Production was impacted by the shutdown of the Bunian-3 well for a scheduled bottom hole pressure survey. The field is currently performing well with production in excess of 600 bopd (100% JV share) or 330 bopd (net to Bass).?
On February 13, 2017, Bass shareholders overwhelmingly approved the acquisition of Cooper Energy's 55 percent interest in the Tangai-Sukananti KSO. This satisfied the final outstanding condition precedent prior to completion of the transaction. The company subsequently completed the transaction on February 28, 2017 which marked the transformation of Bass from an Australian-focused company with exploration assets in the offshore Gippsland Basin to a company with production assets located in South Sumatra.
As a result of the transaction, Bass said it has now taken on an existing, well-credentialed, Indonesia-based team, providing the company with a solid foothold in the regional market. Bass believes that Indonesia currently presents significant growth opportunities. The company said it has recently commenced a focused search for additional acquisitions.
In line with the binding agreement, Bass has transferred A$500,000 cash consideration and issued 180 million fully paid ordinary shares in the company to Cooper Energy. Cooper Energy will also receive a further A$2.27 million cash payable in four instalments between December 31 2017 and December 31, 2018 as well as additional payments made up of existing receivables as they fall due.
Editing by Reiner Simanjuntak