Premier Oil updates Indonesian ops
Thursday, March 24 2011 - 10:50 AM WIB
Production, development and reserves
During 2010, the Premier-operated Natuna Sea Block A sold an overall average of 160 billion British thermal units per day (BBtud) (gross) (2009: 153 BBtud) from its gas export facility, whilst the non-operated Kakap Block contributed a further 54 BBtud (gross) (2009: 42 BBtud). Gross liquids production from the Block A Anoa field averaged 1,758 barrels of oil per day (bopd) (2009: 1,920 bopd) and 2,993 bopd (2009: 3,540 bopd) from Kakap. The Kakap field experienced downtime during the year as a result of change out of the FPSO vessel. Overall, net production from Indonesia amounted to 11,650 boepd (2009: 11,050 boepd) on a working interest basis.
Significant progress continued to be made on the Gajah Baru project which remains on track to deliver first gas on schedule and within budget in October 2011. Gajah Baru is the first of a number of fields to be developed to supply additional gas to Singapore and to Batam Island in Indonesia under three new GSAs signed in 2008 and reported previously. Fabrication of the wellhead platform was completed and installation successfully achieved to support the start of development drilling in September, with the drilling rig on location during this period. Three of the first phase of five wells have been drilled, logged and tested with results that exceeded expectations. Meanwhile fabrication of the central processing platform at Batam continues as planned. The overall EPCI contract was 75 per cent complete at year-end. The central processing platform and export pipeline are due to be installed during the second quarter of 2011 and detailed hook-up and commissioning planning is being progressed.
Also on the operated Natuna Sea Block A PSC, accelerated development work on the Pelikan and Naga fields is in progress in order to be able to take on additional GSA market share from 2014. The project passed through the concept selection gate, front end engineering and design (FEED) is in progress and final project sanction is expected in 2011.
On the non-operated Block A Aceh, a fully termed extension to the Block A Aceh PSC was executed with the Government of Indonesia and the provincial Government of Aceh on 28 October 2010, with the extended PSC being effective from 1 September 2011. Sales agreements with the principal buyers of gas from the field have been completed and work continues towards optimising the project prior to the issuing of EPCI tender documents for the processing facilities in 2011. First gas is expected in mid-2013. Preparations also commenced for the drilling of the Matang exploration well during 2011
Exploration
On the Premier-operated Tuna Block, final plans were completed for the drilling of two exploration wells, Gajah Laut Utara and Belut Laut, in the first half of 2011. These wells will follow on from the nearby C? Rồng Đỏ (CRD) appraisal well in the neighbouring Vietnamese block as part of a three well programme using the same drilling rig.
On Natuna Sea Block A, plans were completed for the drilling of two near-field exploration wells, Anoa Deep and Biawak Besar, scheduled for drilling in the third and fourth quarters of 2011. A review is in progress to refine the remaining prospective resource potential of the entire block. This study is set for completion in the first half of 2011, for incorporation into a five-year exploration plan on the block.
On Block A Aceh, plans were completed for the drilling of one exploration well, Matang, scheduled for drilling in the third quarter of 2011.
Elsewhere, on the Buton Block in Sulawesi, plans were finalised for an exploration well, Benteng, now expected to be drilled in the second half of 2011.(end of excerpt)