Matrix to drill new wells in Asahan PSC and Glagah-Kambuna TAC
Friday, July 27 2001 - 04:12 AM WIB
According to the company?s quarterly report, the prospects exist at various structural and stratigraphic levels and are currently being high graded for selection of drilling targets.
The Company said it intended to drill up to two new wells by December 2001 in the Asahan and Glagah-Kambuna contract areas, aimed at increasing reserves in the Asahan and Glagah-Kambuna contract areas.
Matrix said that estimates of proven and probable reserves in the Kambuna oil/gas/condensate discovery are 24 million barrels of oil and condensate and 60 billion cubic feet of gas. Independent third party consultants acting for previous operators of the contract area calculated the reserve estimates.
The report further said that Matrix had been able to integrate the seismic work from both the Glagah-Kambuna TAC and the larger Asahan PSC and had identified a number of highly attractive oil and gas prospects within the two contract areas, which are located close to oil producing fields.
The semi-submersible drilling rig contracted for the re-entry holes at the Langsa TAC production field will be used to carry out the drilling programme in the Asahan and Glagah-Kambuna contract areas, according to the report.
Matrix said one well would be a step-out well approximately three kilometres west of the original Kambuna 1 discovery hole, which flowed at 14 million cubic feet of gas a day with 1,000 barrels of condensate from a high quality reservoir 82 ft thick.
The other well would be an exploration well on the western edge of the Asahan permit, targeting a shallow depth of between four and five thousand feet and a potential oil play of approximately 70 million barrels recoverable.
Matrix has 75 percent working interest in Asahan PSC and 90 percent in Glagah-Kambuna TAC and also operator for both contract areas.
Meanwhile, the company also said that it was on schedule to produce approximately 10,000 barrels oil per day (bod) in late November this year from its Langsa offshore TAC in the North Sumatran Basin where it holds 90 percent working interest.
The company estimates that the start of production at the Langsa Offshore TAC will generate gross annual revenue of US$70 million, assuming oil prices average US$20 per barrel.(alex)