Serica updates Indonesian exploration ops

The following is an excerpt taken from Serica Energy?s quarterly reports published on Wednesday (ed).

Kutai PSC
Serica is the operator of the Kutai Production Sharing Contract ("PSC") and holds a 30% interest. The PSC is divided into five blocks located in the prolific Mahakam River delta both onshore and offshore East Kalimantan, adjacent to several giant fields.

The interpretation of the offshore 3D seismic data has revealed several exploration targets, of which the Dambus and Marindan prospects are the most significant. Serica has secured the Trident IX jack-up drilling rig to drill both prospects and expects the rig to be mobilised to the Dambus location in August. On completion of the Dambus well, the rig will move directly to the Marindan location.

The Dambus prospect is located in the northern offshore part of the Kutai PSC and its target is a sequence of Miocene age stacked sands in a dip and fault-closed structure on the up-thrown side of a major fault. The Marindan prospect is in the southern offshore part of the PSC and will be drilled as a deviated well in order to test a number of Miocene clastic and carbonate targets in the optimum locations. Both oil and gas discoveries have been made in the offshore Mahakam Delta and the Kutai PSC is immediately adjacent to several major producing fields.

East Seruway PSC
Serica holds a 100% interest in the East Seruway PSC offshore North Sumatra, Indonesia, adjacent to the Glagah Kambuna TAC. The PSC covers an area of approximately 5,864 sq km (2,264 sq miles) which is largely unexplored.

Serica is currently interpreting the new seismic data acquired earlier this year and plans to drill an exploration well in the block in 2011.(end of excerpt)