Saka begins drilling in South Selulu

By Godang Sitompul

PT Saka Energi, an upstream subsidiary of IDX-listed gas distribution firm PT PGN Tbk, spudded the SIS G#1 well at the South Sululu block, offshore East Kalimantan, on April 5.

Saka Director Tumbur Parlindungan told Petromindo.com on Tuesday that the drilling activity has now reached the upper section at a depth of 2,600 feet. He added that if everything goes well, drill stem test (DST) is scheduled at the end of May.

He said that the company deploys rig owned by Chinese Oil and Gas Services Ltd for the drilling program.

Saka has previously drilled only one exploration well in the block, SIS-A#1, in December 2014, where it struck gas reserve which is estimated at 500 bcf. The firm has said it plans to drill at least another two wells, and hopes to get a PoD approval in 2017. Saka owns a 100 percent interest in the block.

A source, however, told Petromindo.com that Saka would not be able to submit PoD for the Selulu block this year. The company, however, is preparing to submit PoD for the Sidayu field instead.

Editing by Reiner Simanjuntak