Murphy spuds Serai-1 well at Semai II block

After a brief delay, Murphy Semai Oil Co Ltd has finally started drilling of the Serai-1 exploration well at the Semai II block offshore West Papua, upstream oil and gas authority SKK Migas said in a statement obtained Monday.

The statement said that Murphy deployed the COSL BOSS rig owned by China Oilfield Services Ltd in the vertical drilling of the Serai-1 well, offshore Fak-Fak Regency. Once achieving the target, drilling will move to the Bawang Putih-1 exploration well, the statement added.

?The two are wildcat wells to find for hydrocarbons both oil and gas in the Semai II block,? said SKK Migas.

Murphy initially planned to begin the drilling program in the first quarter of this year, but was delayed due to rig scheduling.

According to Murphy?s presentation in April, Serai-1 and Bawang Putih-1 are targeting hydrocarbon potential of 350 mmboe and 250 mmboe, respectively.

The Semai II Block covers more than 2,000 km2, with water depth ranging from 0 to 2,000m after relinquishment in early 2013. Murphy and its partners in the block had drilled the Lengkuas-1 well in the block in the first half of 2011 and turned to be dry hole.

Murphy Semai Oil Co, a subsidiary of US firm Murphy Oil Corporation, has 28.33 percent interest in the block, equal with partners Inpex and PTTEP. The remaining 15 percent balance is held by PT Pertamina Hulu Energi.

Editing by Reiner Simanjuntak