EEC unveils its Singa-1 gas flow
EEC unveils its Singa-1 gas flow
SYDNEY (Reuter): Energy Equity Corp Ltd (EEC) said yesterday
the Singa-1 exploration well in South Sumatera, Indonesia, flowed
gas at the rate of 30.7 million standard cubic feet per day
during a production test.
"Based on these results and with more appropriately sized
completion tubing installed in the well, EEC expects Singa-1 will
produce in excess of 65 million (cubic feet per day) at the
likely required delivery pressure," EEC managing director Maurice
Brand said in a statement.
EEC holds a 20 percent stake in the concession, the Lematang
South Sumatra Production Sharing Contract.
The production test, after acid treatment, was carried out on
the primary objective, the Batu Raja formation limestone reef
reservoir.
Brand said it was expected that negotiations would be carried
out with Indonesia's national oil company, Pertamina, for an
early production scheme to product Singa-1 gas into the existing
local market. This would be either through the existing Harimau
field 40 km away in the Lematang PSC or directly into the
Pertamina pipeline some 20 km from Singa-1.
"It is possible Singa-1 could be in production within the next
12 to 18 months," Brand said.
"Preparation of a full field development plan and gas
marketing arrangements for the longer term have commenced and
will be undertaken concurrently with a proposed three dimensional
seismic program followed by a two or three well delineation
drilling program immediately thereafter," Brand said.
"Included in future exploration activity will be plans to test
a 14 meter porous interval in the Gumai formation intersected
during the drilling of Singa-1, which logs indicate contains
gas," Brand said.
"It is also expected that a future well will drill to the
deeper Talang Akar formation, the exploration potential of which
has been greatly enhanced by the success of Singa-1," he said.
"The Talang Akar is the primary hydrocarbon reservoir for much
of the South Sumatera region," he said.
Energy Equity is operator of the project.
Other shareholders are Amerada Hess Corp with 50 percent,
Novus Petroleum Ltd with 15 percent and Eurafrep International of
the Netherlands with 15 percent.