Chevron to commence E. Kalimantan PSC exploration drilling

US oil giant Chevron Corp. will commence three-well exploration drilling program in its mature East Kalimantan offshore PSC.

Usman Slamet, Chevron East Kalimantan spokesperson told Petromindo.com that the first well called Waskita 1 will be drilled next week, followed by Jatmika 1. Both prospects are located in the southern part of the block with another one called Lahuni, which is located near Bontang, would be drilled afterwards. Usman said drilling of the three wells would be completed in 3 months time.

Usman said that the three wells were the first exploration wells in East Kalimantan PSC after being dormant for years. Usman said the drillings would target medium to small size reserves that had been long identified in the area. Usman said that the jack-up rig Shelf Explorer would arrive in Balikpapan Monday

Chevron has 100 percent working interest in the block, which currently produces around 87,000 BOEPD.

Usman also said that Sapi gas field, which is located within the PSC, would commence production in the second half of this year with peak production expected to reach 30 MMCFD. Gas from the field would be piped to Bontang LNG plant. (alex)