MELBOURNE, Australia – Cue Energy has completed the funding requirements for the Ironbark-1 exploration well on the WA-359-P permit offshore Western Australia.
New Zealand Oil & Gas (NZOG) has agreed to take a 15% interest, free-carrying Cue for 2.85% of the costs of the well on the potentially giant Deep Mungaroo gas target, close to the North West Shelf LNG infrastructure.
BP, Beach Energy, and NZOG have each agreed, subject to certain conditions, to form a joint venture to drill Ironbark-1.
The partners have agreed on the well location:BP as operator is proceeding with drill rig tendering and environmental approvals.
Cue also executed an agreement giving NZOG the option to take a 5.36% stake in the WA-409-P permit, with associated free carry costs or cash equivalent if a well is drilled.
Elsewhere, Cue has a 5% interest in the OMV-operated PMP 38160 in New Zealand’s offshore Taranaki basin which contains the producing Maari and Manaia fields.
Here recent production enhancement work included increased water injection through the MR1 and MR5 water injector wells.
The MR6a well was offline at the end of 4Q 2018, with a workover performed subsequently to replace the electric submersible pump with a larger-capacity unit to increase oil production.
At the Sampang PSC off Indonesia (Cue 15%), studies are under way to develop the recentPaus-Biru gas discovery through the existing Oyong facilities for submission to the regulator for approval.