NuEnergy seeks to secure POD for Tanjung Enim PSC
Monday, May 1 2017 - 04:56 AM WIB
ASX-listed NuEnergy said that with the progress of the Tanjung Enim Pilot Production Program (TEPPP) performance, the company is ready for discussions with the Government of Indonesia for the Tanjung Enim PSC, in South Sumatra Province, plan of development (POD).
The company said its main focus in the next twelve months will be to prepare and secure POD for the Tanjung Enim PSC, and proceed with the development stage.
?As NuEnergy works to complete the required steps and obtain the necessary approvals for the POD, further increases in Reserves from Contingent Resources and from Prospective to Contingent Resources are expected,? the company said in a statement last week.
The company said dewatering and production optimization for the Tanjung Enim PSC Pilot Production Program (TEPPP) continued throughout the first quarter of this year. ?The production parameters have shown very encouraging results and continue to increase in line with the simulated model leading to the expected commercial rate.?
The company said it achieved a significant milestone in the company?s development and growth during the quarter when it received the independent initial certification of Reserves for the TEPPP.
The company successfully embarked on the TEPPP by drilling 5 wells (TE-10, TE-11, TE-12, TE-13 and TE-14) and carrying out production tests since early 2016. The focus of the company?s work program in Tanjung Enim PSC has been to generate the production data and parameters from the TEPPP to upgrade its reserves, NuEnergy said.
The initial reserves certification was completed by RPS Energy Consultants Limited (RPS), an independent consulting firm in accordance with the Society of Petroleum Engineers Petroleum Resources Management System (SPE PRMS). The reserves are summarised in the TEPPP Reserves Statement.
NuEnergy said the TEPPP 2016 work program and the independent initial certification of Reserves for the TEPPP will provide the platform for the company to prepare the POD for approval from the Government of Indonesia and to move towards commercializing its Tanjung Enim PSC gas asset in Indonesia.
NuEnergy has a 45 percent working interest in the PSC and is the operator of the PSC.
Editing by Reiner Simanjuntak