PetroChina, partners to drill four exploration wells in Jabung PSC

China oil giant PetroChina Limited said it would drill four exploration wells in Jabung block onshore Jambi this year in a bid to increase gas reserve in the block.

?We are analyzing 2D seismic study results which we just completed to determine wells locations. We are hoping to be able to commence drilling around April, May this year,? said Zhu Jiucheng, vice president PetroChina International Jabung, which operates the block.

Zhu said that Jabung block is planned to produce around 30,000 barrels of oil equivalent by the end of this year, up from around 2,2000 BOE currently. Zhu said the Jabung gas output will gat a boost when the Block starts to pipe gas to Singapore.

Zhu added that PetroChina and Jabung PSC partners will spend around US$ 100 million this year on the block.

PetroChina, Malaysia?s Petronas and US oil company Amerada Hess each have 30 percent working interst bin the block, while thebremianing 10 percent interst is held by state oil and gas company Pertamina. Amerada Hess is planning to sell its 30 percent interst to a consortium of its Jabung PSC partners. (alex)