Unocal to drill more wells in West Seno, plans more deepwater development projects

US independent oil, gas company Unocal Corp. expects to drill an additional 14 development wells by the end of this year and expects to achieve a gross exit rate at the end of 2004 for Phase 1 of 35,000 barrels of oil equivalent per day (BOEPD).

The first Indonesian deepwater oil, gas project commenced production in August last year, but technical problems made the field deliver less crude than expected. West Seno is expected to reach its peak production of 60,000 BOPD and 150 MMCFD of gas by the end of 2005 with the completion of the field?s second phase development.

Unocal is developing West Seno in two phases with two tension leg platforms (TLP) and a floating production unit (FPU). Phase 1 includes 28 development wells to recover resources in the northern section of the West Seno field.

The company also said in its quarterly filing to The Security and Exchange Commission (SEC) released Friday that it was starting to solidify development plans for the first Deep Water natural gas development.

According to the company, development will likely be around two major hubs: first production is expected to come from the Gendalo field to the south where eight appraisal wells have been drilled with first gas production seen late 2006 or early 2007. The second complex will probably be the Ranggas-Gehem oil and gas development and will follow with production in 2007 or 2008.

?A third appraisal well is currently drilling on Gehem's northern edge, which is very near to the southern part of the Ranggas field. The Company will also be drilling a deep Ranggas well to target oil in formations similar to those in deep Gehem,? said the company.

Unocal said that exploration and appraisal drilling would continue in 2004 in the deep water Kutei Basin. The drilling would test for crude oil in deeper horizons below the Company's past natural gas discoveries. (alex)