First Langsa well completed for oil production

Australian listed oil firm Matrix Oil said Thursday that operations on the L-1 re-entry well, located in the Langsa Offshore Technical Assistance Contract (TAC) area in the offshore North Sumatra Basin had been completed and the well had been prepared for oil production.

Matrix said a sub-sea production tree had been run, installed and hooked-up to the flow lines and umbilicals ready for connection to the Floating Production Storage and Off take (FPSO) vessel, the MV8 "Langsa Venture".

According to Matrix, the project is on schedule for first oil by late November 2001.

Earlier Matrix announced a test of a 190 feet perforated interval over the reservoir section flowed at a stabilized rate of 4200 barrels of oil per day (46.3deg API) on a (7/8)" choke. The gas rate was 2.9 million cubic feet per day, with a gas/oil ratio of 697 cubic feet per barrel.

Upon completion of operations at L-1, the "Sedco 601" semi-submersible drilling rig pulled anchors and moved to the location of the L-2 well for re-entry and completion. Current operations there are focused on setting anchors.

Matrix Oil holds a 90 percent working interest in the project but will earn 100 percent of the initial oil production revenues through the Indonesian cost recovery system. (alex)