Medco participates in Sampang?s exploration program
Friday, December 5 2003 - 07:40 AM WIB
?Jeruk-1 in the Sampang PSC is being drilled by PT Medco Sampang and Santos Limited,? Santos?s Investor Relations staff Megan Carter told Petromindo.Com via email on Friday.
According to Santos?s weekly drilling report released on Thursday, Santos and Medco have 50 percent interest each in the exploration well. The report also said that the current depth of Jeruk-1 well was 1,515 meters.
Coastal Indonesia Sampang Ltd (Elpaso) and Cue Energy Resources Limited have elected not to participate in the drilling of this well, Carter said.
Meanwhile, Cue earlier said that Santos was drilling the well on a sole-risk basis. According to Cue, it has declined to join the sole-risk on the basis that, in its opinion, the reward in a most likely success case does not warrant, the very considerable well cost (Cue share approximately A$2 million on a dry hole basis) and the technical risk associated with both drilling the well and the viability of the potential trap.
The Jeruk-1 well is located 35 kilometers west southwest of Oyong discovery and 40 kilometers south east of Surabaya. The well, which was spudded on November 21, 2003, is programmed to a planned total depth of 5,172 meters to evaluate a carbonate objective and is expected to take around 50 days to reach total depth. Santos earlier said the prospect is oil prone with unrisked resource range of 6-207 million BOE.
Santos operates Sampang PSC with 45 percent working interest, while Elspaso and Cue hold 40 percent and 15 percent, respectively. (robert)