Newfield finds new gas offshore Sarawak

Offshore staff

THE WOODLANDS, Texas – Newfield Exploration Co. (NYSE: NFX) has a natural gas discovery in the block SK 310 production sharing contract 50 mi (80 km) offshore Sarawak in approximately 250 ft (76 m) of water.

The B-14 well encountered 1,800 ft (549 m) of gross column and 1,585 ft (483 m) of net natural gas pay in the main carbonate objective. A drillstem test has confirmed commerciality of the reservoir. Newfield estimates that gas initially in place (GIIP) ranges from 1.5 – 3.0 tcf.

This is Newfield's second pinnacle reef natural gas discovery in the region and is less than 3 mi (4.8 km) from the first pinnacle reef gas discovery, B-15, also on block SK 310. Recoverable reserves here are estimated at approximately 265 bcf and will be developed in conjunction with the B-14 discovery.

Newfield operates block SK 310 with a 30% interest. Partners Diamond Energy Sarawak, a wholly owned subsidiary of Mitsubishi Corp. and Petronas Carigali, have 30% and 40% interests, respectively.

“This is the largest conventional exploratory success that Newfield has made in its 25-year history,” said Lee K. Boothby, Newfield chairman, president and CEO. “Recent amendments to gas terms in Malaysia make natural gas developments economically competitive with oil developments. We have multiple ‘reef’ prospects to test along trend, and additional drilling is expected to resume in the third quarter with the drilling of our B-17 prospect.

“In December 2012, we signed a new PSC for block SK 408 and completed farming into block SK 319. Both PSCs are in offshore Sarawak. These areas provide a combined 1.7 million acres (6,880 sq km) and nearly double our acreage position offshore Malaysia. These blocks extend our successful pinnacle reef trend providing dozens of high-potential exploration targets, located in and around producing fields with existing infrastructure and pipelines in place.”

Block SK 408 covers 1.1 million acres (4,452 sq km) in water depths ranging from 200 – 400 ft (61 – 1122 m). The company has a 10-well commitment on the block over a three-year initial exploration period.

Newfield will operate the block with a 40% interest. Other partners include Shell (30%) and PETRONAS Carigali (30%).

Block SK 319 is adjacent to block SK 408. Water depths are 300 ft (94 m) or less. Newfield has identified several exploration prospects in the block and has a five-well commitment over an initial three-year exploration period. Block SK 319 is operated by Shell (50%). Newfield and Petronas Carigali each hold a 25% interest

4/04/13

Related Articles

Sharp drop expected in Norway offshore investments

Jan 18, 2015

High costs and lower oil prices could drive necessary readjustments that will strengthen Norway’s petroleum industry, according to the Norwegian Petroleum Directorate (NPD).

UK offshore production up, exploration declining

Jan 17, 2015

Activity levels in the UK and Norwegian offshore sectors continue to diverge strongly, according to the latest review from Hannon Westwood (HW).

Gazprom Neft expands Arctic presence

Jan 16, 2015

Gazprom Neft subsidiary Gazpromneft Sakhalin has received subsoil-use rights to two license blocks in the Russian Arctic.

BSEE solicits oil spill response research projects

Jan 16, 2015

The Bureau of Safety and Environmental Enforcement (BSEE) is soliciting proposals for oil spill response research projects and will invest up to $6 million to support these projects in 2015.

New year offers opportunity for political leadership on energy

Jan 15, 2015

After a year of seemingly endless political gridlock on the energy front, we at the National Ocean Industries Association are hopeful that 2015 will bring actual results, not just rhetoric.

Trending News

Another well goes onstream at Maari offshore New Zealand

May 22, 2015

Cue Energy says the Maari MR7A development well is onstream offshore New Zealand.

Subsea equipment monitoring technology to be trialed in North Sea

May 22, 2015

An unnamed sponsor of a joint industry project to develop the company’s V-IR subsea integrity monitoring system has committed to deploy V-LIM line insulation monitor units in various North Sea fields.

MEG flow meters head to Ichthys

May 22, 2015

Litre Meter has dispatched 45 positive displacement flow meters to the Ichthys LNG project in the Browse basin off Western Australia via the company’s South Korean distributor S-TEK.

Safe Bristolia returning to UK North Sea following repairs

May 22, 2015

BG Group has agreed to a revised schedule of work for the accommodation support vessel Safe Bristolia at the Everest platform in the UK North Sea.

Online exclusive: Oil and gas M&A activity on the uptick in 2015

May 21, 2015

While this year is likely to see a renewed level of mergers and acquisitions activity across the oil and gas sector globally, 1Q 2015 witnessed stalled activity due to a low oil price environment. 

  Offshore
Digital Magazine
Look Inside
Cover
Current Issue

Oil & Gas Jobs

Search More Job Listings >>