Cue mulls further drilling in Mahakam Hilir PSC next year
Friday, April 22 2016 - 03:05 AM WIB
ASX-listed Cue Energy Resources Ltd said on Friday that following the successful drilling of the Naga Selatan-2 (NS-2) well in the Mahakam Hilir PSC, East Kalimantan, during the first quarter of this year, studies are underway to determine and optimal appraisal program, which could include further drilling in 2017 and a potential production test.
The company reiterated in a statement that the well has been suspended at a depth of 1,170 feet during the quarter, to allow for the production testing.
NS-2 is the first well to be drilled at the Mahakam Hilir block by Cue as the operator with a 100 percent ownership. NS-2 was designed to test a shallow anticlinal closure with potential hydrocarbons very near the surface.
Elsewhere, Cue said that planning is underway by the operator to drill one well and acquire 2D seismic in 2016-2017 in the Mahato PSC in Central Sumatra Basin. The Mahato PSC covers a highly prospective area close to several large producing oil fields. Multiple appraisal and exploration opportunities have been mapped. Cue Energy has 12.5 percent interest in the PSC, while Texcal Mahato EP Ltd as the operator holds a 62.5 percent interest, and the remaining 25 percent is held by Bukit Energy Central Sumatra (Mahato) Pte Ltd.
Editing by Reiner Simanjuntak