Premier reports record high gas export from Natuna to Singapore
Thursday, March 24 2005 - 06:44 PM WIB
In the fourth quarter, said the company, offtake by the gas buyer SembGas reached such high levels that at times gas was supplied above the contract maximum rate. Oil production from Anoa averaged 3,079 BOEP gross, down on the prior year as the oil reservoir continues to deplete.
The company said discussions with SembGas on a further gas sales contract continued in 2004 as gas demand and supply has increased above existing contractual maximum rates. ?We currently believe that Singapore will continue to take gas at these higher rates under the existing contract into the medium term. On this basis we have commenced discussions with Malaysia, and are looking at the domestic market in Indonesia, to develop further opportunities for long term gas sales,? the company said in a statement.
The company said that in 2004 three work-over wells were drilled in Block A and successfully re-completed as gas producers, which have since been brought on-line. ?These wells have under-pinned our deliverability capability. In addition engineering work has commenced on the West Lobe Wellhead Platform, which is planned to access gas reserves in the West Lobe area of the Anoa field. Front-end engineering and design was completed and followed by the award of an engineering, procurement, construction and installation contract. Development drilling is scheduled for 2006 with production from the new facility now planned to commence later in that year,? the company said.
The company also reported that The Gajah Baru-2 appraisal well was successfully completed in October 2004. The Gajah Baru field is located 25km from Anoa. ?The reserves were independently certified at an increased 372 billion standard cubic feet of gas, equivalent to 67 MMBOE. These reserves, being the lowest cost developable gas in the area, will either form part of deliveries under the existing sales contracts or be developed to fulfill future gas sales contracts, when agreed,? said the company.
Premier said in 2005, Block A partnership intended to drill the Macan Tutul exploration prospect of block A, and a second well on the block is under discussion with joint venture partners.
Premier holds a 28.7 percent interest and operatorship in the block, while the other participants, Kufpec of Kuwait, Amerada Hess, and Malaysia?s Petronas hold 33.3 percent, 23 percent, and 15 percent, respectively. (alex)