Premier updates Block A ops and Indonesia exploration plans
Friday, March 23 2012 - 08:54 AM WIB
Natuna Sea Block A
During 2011, the Premier-operated Natuna Sea Block A sold an overall gross average of 161 billion British thermal units per day (BBtud) (2010: 160 BBtud), including rates in excess of 200 BBtud as Gajah Baru came on-stream. The Anoa facility delivered 5 per cent over its contractual market share at nearly 42 per cent. The non-operated Kakap field contributed a further 42 BBtud (gross) (2010: 54 BBtud). Gross liquids production from the Block A Anoa field increased by over a third to an average 2,400 barrels of oil per day (bopd) (2010: 1,758 bopd) with a further 3,400 bopd (2010: 2,993 bopd) from Kakap. Overall, net production from Indonesia amounted to 11,450 boepd (2010: 11,650 boepd).
The Gajah Baru development involved the successful installation in 2011 of a new central processing platform connected to a new wellhead platform on schedule and budget. The gas export equipment was tied into the existing subsea West Natuna Transportation System pipeline to deliver additional gas to Singapore. During the year, five development wells were successfully completed, providing in excess of 200 BBtud of gas deliverability from this new facility.
Volumes from the Gajah Baru field are being supplied in accordance with the second Gas Sales Agreement (GSA2). Good progress has also been made on a swap agreement (GSA5) under which additional volumes of Gajah Baru gas supplied to Singapore will be swapped with existing supplies from Sumatra to Singapore. These Sumatra volumes will be re-directed to the Indonesian domestic gas market. The relevant agreements are expected to be completed shortly and physical supplies of up to 40 BBtud (gross) should commence in the second quarter of this year. GSA5 will replace gas previously contracted to be supplied to Batam Island, Indonesia, under GSA3 and GSA4 until at least December 2013, when GSA3 and GSA4 contracts are expected to commence.
On the Anoa field, workovers were performed on the A7 and A11 wells. These workovers added a further 30 million standard cubic feet per day (mmscfd) of gas deliverability. A new oil well (A22) was successfully completed which added around 1,500 bopd of incremental oil production. A three-well drilling campaign on the Anoa field's West Lobe platform has progressed well and included the discovery of new reserves in the deeper Lama reservoir below Anoa.
In order to upgrade the compression facilities and to increase production capacity on the producing Anoa field, a major 'brown-field' development project has been sanctioned, extending the assumed field plateau and developing some 200 bcf of gross field reserves. This project, known as Anoa Phase 4, will be completed in 2013.
Elsewhere on the block, tendering commenced for the engineering, procurement, construction and installation (EPCI) contract for two wellhead platforms and connecting pipelines for the development of the Pelikan and Naga fields. Final project sanction and contract award is expected in mid-2012, to provide future supply to existing Singapore and Indonesia sales contracts.
Exploration
On the Premier-operated Tuna PSC, exploration wells Gajah Laut Utara and Belut Laut were drilled to test the Miocene and Oligocene potential of two prospects on the block. Gajah Laut Utara spudded in May 2011 and was followed by Belut Laut which spudded in July. Both wells encountered good oil and gas shows in the Oligocene section, proving the existence of a working petroleum system in both of these previously undrilled sub-basins. Post-well studies will continue into 2012 with further drilling in the Nam Con Son Basin planned after integration of the 2011 results.
On Natuna Sea Block A, a block-wide prospect inventory review was carried out to characterise the remaining exploration potential on the block. Two exploration wells, Anoa Deep (WL-5X) and Biawak Besar, were scheduled for drilling in early 2012. In February 2012, it was announced that the Anoa Deep well had successfully encountered some 300 feet of fractured Lama Formation sandstone, which tested gas at a rate of 17 mmscfd from a 112 feet interval.
In North Sumatra, preparations are at an advanced stage for the drilling of the Matang-1 exploration well during 2012 on Block A Aceh. (end of the excerpt)