Triangle Energy updates Indonesian operation
Monday, January 30 2012 - 09:41 AM WIB
Pase production
Production during the December quarter was from three wells, A-1, A-5 and A-6. Total production was as follows:
| Month | MMcf |
| October | 77.39 |
| November | 76.99 |
| December | 84.01 |
| Total | 233.39 |
Pase development activities
The Company?s 201 1 work-over program continued during the December quarter.
A1: Reperforation of the upper reservoir zone has been completed and the well returned to production. Several attempts have been made to surge the well to clean up the new perforations and establish communication into the fracture system without any apparent success. In consideration of there being no improvement in the production from conventional perforating of the reservoir the option to reperforate using conventional perforating with propellant stimulation technology is being considered.
A2: The upper DST reservoir zone has been reperforated, unfortunately it was not possible to reperforate the lower DST reservoir zone due to debris in the well. An organic acid wash over the original perforations was also carried out and limited gas influx into the well has been established at rates insufficient to sustain natural flow and well below the rates achieved in the original DST in the well. In consideration of the apparent failure to establish effective communication into the reservoir fracture system from conventional perforating the option to reperforate using conventional perforating with propellant stimulation technology is being planned.
Pase operational activities
Significant effort during the quarter was on the 2012 work program and budget (WP&B) which was presented to BPMIGAS, the Indonesian upstream oil & gas regulator during November. Triangle Energy?s 2012 WP&B was approved in full incorporating additional investment in the PSC through new seismic acquisition and drilling activities planned for late 2012.
At the 2011 BPMIGAS Drilling and work-over summit in December 2011, Triangle Energy received accolades for achieving its work program in tell n a year when most Indonesian PSC achieved no more than 30% of their annual work programs.
Exploration activities
During the quarter the Company?s technical tea in continued its evaluation of all Pase wells for missed pay and remaining gas potential using PLT, borehole and fracture study data to understand the distribution of water and gas in the wells and development of potential exploitation programs. The team also continued its re-processing of seismic data for infill and near field well locations and has now awarded a contract to PT. Kreasindo Eratek Dinamika to re-process approximately 400 km of 2D seismic over the Rise field and generate PSDM lines and a velocity model that tics in with existing well data. Work has commenced to prepare drilling equipment and services tenders and preparations are underway to carry out prequalification of drilling rigs.
PSC renewal
Triangle Energy continued its efforts to renew the Pase PSC for 20 years ahead of its expiry on 23 February 2012. RPMIGAS reaffirmed its Support for Triangle and Pertamina has confirmed that it is not interested in acquiring the PSC. Positive meetings have been held with the Ministry of Energy. Migas is proceeding under protocol to process the application having received recommendation to renew the PSC from BPMIGAS in July 2010.
About Triangle Energy:
Triangle Energy is a gas production and exploration company based in Perth. Its wholly owned subsidiary, Triangle Pase Inc. (TPI) is based in Jakarta and is the 100% holder and operator of the Pase PSC which covers an area of 922km2 in Aceh Province, North Sumatra, Indonesia.
Most of Triangle Energy?s gas is at premium LNG price. The Pase PSC has considerable exploration and development opportunities which Triangle Energy will pursue commencing in 2012. Triangle Energy is continuing to review further acquisition opportunities in the area. (end of excerpt)