Pertamina, PetroChina strike oil in Papua

Chinese oil giant PetroChina and state oil, gas company Pertamina had discovered oil in West Papua province, upstream oil, gas authority BPMIGAS said in a release on Monday.

According to the release, Bagong-1 exploration well in JOB Pertamina- PetroChina Salawati block, which completed drilling in December last year, flowed 1,206 barrels of oil per day with 222 feet of net oil pay.

The partnership planned to bring the discovery onstream this year through accelerated development program known as put-on production (POP). The partnership will also conduct delineation drilling in Bagong-2 well. BPMIGAS did not say the expected production rate from the discovery.

According to the release, the partnership had also completed 626-km 2D seismic on Sele Strait, which is located within the block in 2007 to prepare for exploration well locations. In 2008 the partnership will undertake 240 sqkms 3D seismic and 140-km 2D seismic in the block.

Participants in the Salawati JOB are: Pertamina (50%), PetroChina (16.8%), Lundin Petroleum (14.5%) and Pearl Oil (18.7%). (alex)