EMP strikes oil at Kangean PSC

JSX-listed oil and gas company PT Energi Mega Persada Tbk (EMP) said Friday that its subsidiary, EMP Kangean Ltd., had successfully flow tested oil from the SED-1A appraisal well on Sepanjang Island in the Kangean PSC, East Java at depth of 7,916 feet.

EMP said the well began flowing oil on Wednesday 22 November 2006 afternoon. A subsequent flow test produced clean, 30.4 API gravity crude at facility constrained rates of approximately 9,000 BOPD at a wellhead pressure of 560 psig. No water production was recorded after clean up and there were only minor quantities of gas accompanying the oil.

SED-1A is being drilled employing Under Balanced Drilling (UBD) technology to maximize the productive potential of the Ngimbang Carbonate Reservoir.

The well is now drilling ahead to a total measured depth of approximately 9,800 feet to further appraise the reservoir.

Early production facilities have already been installed on the island. The well is expected to start production on early December 2006. (denny)