PetroChina strikes oil in West Papua

Chinese oil giant PetroChina may have made significant oil discovery in its recent exploration drilling in Salawati PSC, West Papua, an official with upstream oil,gas authority BPMIGAS said on Monday.

BPMIGAS Deputy Chairman Eddy Purwanto told Petromindo.Com that the South Walio well contained ?significant oil discovery?. He did not elaborate.

Meanwhile, BPMIGAS Exploration Division Head Bob Yulian said that the well is now being tested.

Another BPMIGAS official told Petromindo.Com that the well flowed 5,000 BPD during test and may be brought to production next year through ?put-on production? mechanism as the PSC has all facilities already installed. The official said that the well might have some 400 feet of net oil pay.

PetroChina operates Salawati Basin with 30 percent interest, while state-owned oil and gas PT Pertamina, Pearl Oil, and Lundin Petroleum hold 10 percent, 34.064 percent, and 25.936 percent, respectively.(godang)