Medco fails to find gas at Senoro-4 well

Publicly-listed oil and gas company PT Medco Energi Internasional has failed in finding gas at Senoro-4 well in Toili, Luwuk, in Central Sulawesi, the Bisnis Indonesia newspaper reported in its Thursday edition.

In spite of this, Medco will continue its drilling operations at Senoro-5.

Medco?s director of business development Rashid I. Mangunkusumo said the results from the drilling operations conducted at the Senoro-4 well were not encouraging.

"The result was not that good. We didn?t close it but not according to our expectations. Senoro-4 has failed because it was located in between two accumulations of gas and oil", Rashid said on the sidelines of the International Conference on Coal Methane Gas in Jakarta on Wednesday.

However, Medco will continue its drilling operations at Senoro-5, where the company is confident that the gas will be found as per the expectations, this month.

According to the plan and based on the proven data, Medco will conduct drilling operation at three wells of Senoro-5 well and it is confident that it can produce gas from there soon.

?We'll directly commence drilling at three wells. In fact we have already made preparations for the production at Senoro-5 field. The cost for this (drilling) is around $3 to $4 million for each well,? Rashid said.

The gas produced from Senoro-5, as per the plan, would be supplied to Bontang LNG refinery. The proven gas reserves in the entire Senoro gas can reach 1.5 trillion cubic feet of gas. (*)