Peter Tang
Singapore
Malaysia's Bunga Kekwa continues to prove itself
In the PM3 commercial area in the Malay Basin, International Petroleum Corporation's appraisal/development well, Bunga Kekwa -A2 has recorded a flow of 1,546 b/d oil (38° API) and 1.02 million cf/d gas from two zones between 1,975 and 2,083 meters. This is the third well out of five in the program as part of the early production plan for the field. The Bunga Kekwa Field is slated to be in production by July 1997 at the rate of around 15,000 b/d.
The PM-3 contractual area has had a chequered history since its award in 1989. Several companies, including Hamilton/BHP, Enterprise, and Norcen have entered and subsequently withdrawn from the contract. Following IPC's better than expected results so far, those companies must now be regretting their decisions to leave the PSC. The PM-3 contract will, if all goes as planned, be the first to produce hydrocarbons of all the PSCs awarded under the 1985 PSC regime.
Myanmar slows as human rights issues flare
Total has abandoned wildcat M-6-D-1 in Block M-6 in the Martaban Basin. No DSTs were conducted and the Parameswara jackup then spudded M-5-B-1 in adjacent Block M-5 with a PTD of 1,500 meters. This is Total's last well in its 1996 drilling program in Myanmar.
Meanwhile, human rights groups have increased their opposition to the development of the Yadana gas field which straddles M-5 and M-6. An opposition Burmese group is suing Total's partner, Unocal, alleging that troops are destroying villages, torturing residents, and forcing people to work without pay. A pipeline is being constructed from the offshore gas field taking the gas to Thailand.
Malay-Thai JDA proves major gas pool
In September, the Carigali-Triton Operating Company (CTOC) announced that Suriya-2, located in Block A-18 in the Malay-Thai JDA of the Malay Basin, had flowed 56 million cf/d gas and 268 b/d oil from flow zones between 1,102 and 2,084 meters. The well has confirmed another sizable gas accumulation in the block. CTOC plans a 530 sq km 3D survey across the structure starting this month. The Suriya Field lies directly east of Cakerawala, where initial production will begin in 1999 at 300 million cf/d gas. Gas from Suriya is expected to be part of the second phase development of the fields in Block A-18.
CTOC has two rigs active in the block. The Falcon, which drilled Suriya-2 has now moved to Bulan-2, while the Actinia is drilling Buni-1.
CTOC has had remarkable success since it started drilling in the block in April of last year. It has completed six wells, each flowing hydrocarbons at impressive rates, discovering three commercial fields.
Cambodia activity on the increase
On 27 August, Campex spudded Puolo Wai-1 in Block 3 in the Khmer Basin. the well has a PTD of 3,600 meters and is designed to test Miocene and Oligocene sands. This is Campex's third well offshore Cambodia since award of the contract in December 1998. Meanwhile, Ampolex has indicated that it is to withdraw from Premier-operated Block 4 to the north. It holds a 33.3% equity. A well is planned in the block in early 1997.
Vietnam operators making discoveries
In Block 17 in the Mekong Basin, Enterprise has abandoned 17-VT-1X as an oil discovery. It reached TD at 2,389 meters and flowed around 750 b/d oil from a pre-Tertiary granite.
Other recently completed wells in Vietnam include BP's 05-2-HT-2X (gas discovery), Canadian Petroleum's 12W-HA-1X (gas/condensate discovery), Petronas's 01-F-1X (oil discovery), and JVPC's 15-2-RD-5X (oil well).
Talks concerning the future of BHP's Dai Hung Field continue with no apparent decisions. Production is below the economic threshold of around 13,000 b/d oil. Total, one of the original partners, has withdrawn from the PSC and it's equity was split between Petronas and the Dai Hung Oil Company, a Japanese consortium.
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