Unocal starts production

Unocal starts production

SINGAPORE (AFP): A subsidiary of U.S. oil giant Unocal Corp. has begun production in the new Seguni oil and gas field at the Mahakam Delta off East Kalimantan, Indonesia, the company's regional headquarters said yesterday.

The Seguni field is now producing more than 6,700 barrels of oil and nine million cubic feet (270,000 cubic meters) of gas a day from five wells, with two more set to start producing later this month, a Unocal Asia-Pacific Ventures Ltd. statement said.

The field was discovered in May 1995 and lies under about 32 meters (105 feet) of water about three kilometers (two miles) from another Unocal field, Sepinggan, to which Seguni is linked by two pipelines.

Unocal declined to give an estimate of the reserves in the new field, saying more three-dimensional seismic studies were being carried out.

Seguni was developed by a subsidiary, Unocal Indonesia Co. Under a production sharing contract with Pertamina, the Indonesian national oil company, it operates seven offshore fields in East Kalimantan.

Unocal holds a 100-percent interest in six of these fields including Seguni and a 50-percent interest in the "supergiant" Attaka field, the statement said.