Mirach Energy provides operational updates of Kampung Minyak oil field
Tuesday, October 15 2013 - 01:37 AM WIB
SGX-listed Mirach Energy said that the KM 607 well at the Kampung Minyak oil field in South Sumatra has commenced production.
?Production had been delayed due to the need to enhance surface facilities, including the procurement and installation of a new well-head, which could be carried out only after obtaining PT Pertamina?s approval,? the company said in a statement obtained late Monday, referring to the Indonesian state-owned oil and gas firm.
Mirach said current daily production at KM-607 averages at approximately 220 barrels of oil per day, on natural reservoir pressure without the need for a lifting pump. The cost of drilling and completing KM-607 is estimated at US$0.85 million.
With the addition of KM-607, total daily production per day at KM is now tripled to an approximately 360 barrels of oil per day, the statement added.
The KM-607 infill well was spudded on August 9, 2013. On August 28, Mirach announced it had unexpectedly uncovered a new untapped oil zone at the Kampung Minyak oil field as it drilled deeper at the KM-607 well.
Elsewhere, Mirach said in the statement on Monday that drilling and well perforations had also been completed at KM-603, which reached a depth of 470 meters targeting the Suban-7 (S7) layer. Currently, well-testing is underway before recommendation for production on this well. Total drilling and completion cost for KM-603 is estimated at US$0.6 million.
KM-610 drilling was just completed to reach a depth of 460 meters and well-logging had commenced. This would be followed by perforations and well-testing and analyses, the company said.
The company added that KM-611, which was producing at around 36 barrels last month, is now producing at a slightly better rate of 40 to 45 barrels of oil per day.
KM-603, KM-607, KM-61- and KM-611 were the four wells that were approved for drilling by PT Pertamina. The company had received approval to drill the next five wells this year.
Editing by Reiner Simanjuntak