Ramba doubles gas production from West Java asset

Singapore-listed oil, gas firm Ramba Energy Limited has commenced gas production from the JRR-7 development well at its Jatirarangon block in West Java on 27 October 2011, after gas flow from the first of six zones total exceeded initial expectations.

The company reports gas flow of approximately 4 MMCFD; close to the expected total output for two new development wells combined.

The JRR-7 well is the first of two development well projects in the Western closure of the Jatirarangon block in the second half of 2011. The second well - the JRR-6 well - commenced drilling on 23 October 2011 and is expected to contribute to production by the end of the year.

The two development wells were initially expected to produce an additional 4 MMCFD of gas; however, this number is now likely to increase to approximately 6.0 MMCFD, the company said.

The Jatirarangon block currently produces approximately 6.8 MMCFD of gas and 80 barrels of oil per day (bopd); up from previous output of approximately 2.8 MMCFD.

Additional revenue for the block from new gas sales is expected to be approximately US$20,000 per day (based on a conversion rate of 1 MMCFD = 1,165 MMBTU and a fixed gas price of US$4.332/MMBTU).

Ramba Energy operates the Jatirarangon block with a 70 percent working interest with PT Wahana Sad Karya owns the remaining 30 percent working interest. (alex)