Cue Energy spuds Naga Utara-I well in Kutei

Australia listed energy firm Cue Energy Resources Ltd is scheduled to spud the Naga Utara-I well, located in the Mahakam Hilir production sharing contract (PSC) within Kutei basin, on January 4th, 2012.

The company announced in Jakarta on Tuesday that the Naga Utara (Northern Dragon) prospect, which is operated by SPC Mahakam Hilir PTE Ltd (SPC), was situated adjacent to the Sambutan Gas Field which currently produces approximately 10 mmcfd.

It said that it would drill to a total depth of 5500 ft MD and it was expected to take approximately 30 days to complete.

The company noted that it farmed into the onshore Mahakam Hilir PSC in June, 2011, in line with its objective to acquire high quality exploration/appraisal opportunities within our SE Asian focus area. It specifically adds to and compliments its Indonesian acreage holding in the Sampang PSC.

The participants and their respective interests in the PSC are:
SPC Mahakam Hilir Pte Ltd (Operator) 60%
Cue Mahakam Hilir Pty Ltd 40%.

Editing by Benget Besalicto Tnb.