Santos, partners may drill another exploration well in Sampang PSC late 2002

Australian oil and gas explorer Cue Energy Resources Limited said that two prospects, West Anggur and Wortel, in Sampang PSC in East Java might be drilled late 2002 after 2D seismic survey over the prospects was completed.

Cue said over 18 prospects and leads had been identified in Sampang PSC and a 2D infill seismic is planned for late 2002 to mature the prospects and leads.

Cue also said during July-September quarter Oyong development studies continued with a focus on refining the type of platform and floating facilities to be used on the field and on refining the geological and reservoir model.

Oyong field was discovered in mid 2001 by the Oyong-1 well, which encountered a 110 meter gas column underlain by a 38 meter oil column. The Oyong-2 and -3 wells successfully appraised the field and confirmed its potential for economic development.

Earlier, a Santos senior official said Oyong discovery had 100 million barrels of oil and 100 billion cubic feet of natural gas in place.

Cue added that during the quarter meetings with potential customers for Oyong gas were held and it was evident that gas production from Oyong could be absorbed by gas-hungry East Java market.

Australian oil company Santos Limited hold 45 percent working interest and operatorship in Sampang PSC, while Coastal Indonesian Sampang Ltd (El Paso) and Cue hold 40 percent and 15 percent, respectively. (alex)