AED to Plug, Abandon Lempuyang Well

AED advised that the Lempuyang-1 well testing operations are now complete. Continued mechanical issues resulted in the testing program being curtailed, due to safety concerns associated with unintended gas flowing into the well from perforations and/or damaged casing. This is believed to be due to failure of the packer in the well and/or damage to the well casing above the packer. As a result, the Lempuyang-1 well will now be plugged and abandoned.

The Lempuyang-1 well intersected excellent quality reservoir sands, with gas being flowed to surface from two test intervals. Some thin gas sands were interpreted at the lower reservoir test interval (3077-3131.5 mMD – of which 24 meters were perforated). The upper
reservoir test interval (2849-2867.5 mMD – of which all 18 meters were perforated) flowed gas to surface before AED was forced to cease testing due to a down hole mechanical failure and as a result no gas flow rates could be established. The gas analysis from the
upper reservoir test shows higher levels of C1-C8s and lower CO2 compared to the lower reservoir gas sample (<0.5 mole% compared to approx. 5 mole%).

While the testing results are inconclusive, AED notes that the data obtained supports the Joint Venture's optimism in relation to the Lempuyang prospect and surrounding acreage. AED has obtained valuable information regarding the onshore geology of Brunei, within an overpressured environment. As such, the Lempuyang-1 drilling and testing results will be integrated and used for future exploration assessment of the updip area within the eastern part of Block L, where 3D seismic is currently being considered. Further appraisal and
exploration well locations will be identified for drilling in late 2011.

Further to the Company's release of April 1, 2011, the Joint Venture currently anticipates that the following exploration activity will occur at Block L in the near term:

  • Seismic acquisition at West Jerudong. The Joint Venture plans to begin shooting 130km2 3D seismic over the Jerudong oil field in Q3 2011. This field was previously produced and was shut-in while still on production without being fully depleted. While the field was originally drilled on surface oil seeps and limited 2D seismic coverage; the Joint Venture intends to acquire 3D seismic to accurately map the known fault blocks and to identify additional potential oil prospects (having regard to current oil prices).
  • A 3D seismic patch (13km2) and 2D seismic line (13km) east of the Lempuyang-1 well will be acquired to confirm potential structural rollover. Depending on results, an extension to the 3D seismic program of up to 150km2 could be undertaken.

The Block L Joint Venture comprises AED South East Asia Limited (50% operating interest), Kulczyk Oil Ventures (40%) and QAF Brunei (10%).

Related Companies

Our Privacy Pledge

Most Popular Articles

From the Career Center
Jobs that may interest you
Logistics Coordinator & Optimization Analyst
Expertise: Logistics Management
Location: Billings, MT
Associate Category Manager or Category Manager Job
Expertise: Logistics Management|Purchasing|Supply Chain Management
Location: Denver, CO
Contracts Advisor
Expertise: Budget / Cost Control|Contracts Engineer|Supply Chain Management
Location: San Ramon, CA
search for more jobs

Brent Crude Oil : $51.78/BBL 0.77%
Light Crude Oil : $50.85/BBL 0.83%
Natural Gas : $2.99/MMBtu 4.77%
Updated in last 24 hours