Administrative issues delay Bualang exploration

Offshore staff

LONDON -- Salamander Energy’s planned exploration program offshore Thailand is being held up by red tape.

The jackup Ocean Sovereign, which has been contracted for the B8/38 drilling campaign, remains in Johor, Malaysia. Owner Diamond Offshore must first complete foreign business license paperwork to allow entry into Thai waters.

Once these issues have been resolved, Salamander says, the rig will mobilize to the Bualuang field to drill as many as three exploration wells and six development wells.

The first exploration effort, on the Bualuang East Terrace, should spud at the end of January. This prospect is thought to contain an estimated mean 7 MMbbl of oil, with upside potential of 14 MMbbl.

01/06/2011