Oilex, partner submit PoD for Sumatra oil field

Australian oil firm Oilex Ltd reported on Wednesday that a Plan of Development (POD) including an updated resource assessment for the Pendalian oil field located in the West Kampar PSC onshore Central Sumatra is being submitted to the Indonesian Government for approval.

The POD is based on a Best Estimate Contingent Resource of 13.7 million barrels oil in place, which represents an increase of 14% on the resource announced previously which was based on a single oil reservoir, the company said.

The objective of the POD is to bring Pendalian Field into production in 2 phases comprising 2 wells in phase 1 and full field development of 3-4 wells in phase 2.

The previous plan was to start production at a likely rate of about 1,200 barrels of oil per day (BOPD) from a single well, Pendalian-3 and that first phase has now been expanded to include a second well, Pendalian-4 with a corresponding increase in the likely production rate to 1,800 ? 2,000 BPOD anticipated in Q4 2008, the company said.

The company said in April 2008 that the field is expected to produce 4,500-6,000 BPD when fully developed.

?Plans are in place for early drilling of Pendalian-4 well and tenders have been received for conducting both 2D and 3D seismic in the block in 2008. Ongoing mapping has confirmed the exploration potential in the block, which will be delineated by additional seismic coverage and investigated with the drilling of three exploration wells in a campaign scheduled to commence later this year,? the company said.

Oilex has 45 percent interest in the block, with operator PT.Sumatera Persada Energi controlling the balance. (alex)