Lion reports slightly lower output from Seram PSC
Monday, May 1 2017 - 05:08 AM WIB
ASX-listed Lion Energy Ltd said that production from the Seram PSC located onshore Seram Island in eastern Indonesia continued to perform solidly during the quarter ending March.
The company said in a statement last week that average daily oil production was 3,480bopd (87bopd net to Lion) for the quarter, down marginally from 3,512bopd the previous quarter. Production at quarter end was 3,503bopd.
Gross crude oil production for the quarter was 313,181bbl (7,389bbl net to Lion), with operating costs for the quarter of US$11.78/bbl. Proceeds of US$519,345 from the December 2016 crude oil lifting were received in January 2017. A lifting of around 400,000bbl is expected in the current quarter.
The block contains the Oseil oilfield and surrounding structures that have yielded cumulative crude oil production of 16,019,443 barrels since production started in January 2003 through to 31 March 2017.
As previously reported by Lion, in 2015 the Lofin-2 appraisal well confirmed a highly material gas discovery in the PSC.
The PSC expires end October 2019 and the JV is working at all levels to secure an extension or renewal of the PSC over the area, Lion said.
Lion, via its wholly owned subsidiary Lion International Investment Ltd, holds a 2.5 percent participating interest in the Seram (Non-Bula) Block PSC, located onshore Seram Island in eastern Indonesia. The major equity holder and operator of the joint venture is CITIC Seram Energy Ltd (51%). Other partners are KUFPEC (Indonesia) Ltd (30%) and Gulf Petroleum Investment (16.5%).
Editing by Reiner Simanjuntak