Kina Petroleum Prepares to Drill 2 Exploration Wells in PPL 337 in PNG

Kina Petroleum Limited (KPL) provided Wednesday an update in relation to exploration activity within certain of its licenses in Papua New Guinea.

PPL 337

The farmin agreement with Heritage Oil Ltd. (Heritage) provided that KPL would be carried through the drilling and testing of two wells in the license.

Preparation for drilling of these two wells is complete and a spud is imminent, with the rig in Madang awaiting mobilization to the drilling locations once weather conditions improve.

The heavy rainfall in January, February and early March has necessitated some repair work at the well sites, although these largely remain in serviceable condition as shown in KPL’s recent quarterly report. The rain has however resulted in repeated flooding and degradation of access roads making them temporarily unusable.

Weather conditions have improved and engineering crews have been deployed to the access roads to carry out the remedial work necessary to allow passage of the rig and other heavy equipment. The work includes use of cement stabilization, compacting and gravel, while synthetic material (Geofabric) has been able to be used in areas less impacted by the wet weather.

It is estimated that this work will take 1-2 weeks to complete. Upon completion, the rig, crew and other equipment for drilling will be mobilized immediately to site. It is intended that the Raintree well will be the first drilled.

PPL 338

Kina has recently commenced re-processing of vintage seismic data with a view to improving the integrity of Greater Triceratops, Mangrove, Nipa and Brown Lory prospects. Extensive testing of processing parameters were undertaken by 4 seismic processing companies and based on the results of the testing the contract was awarded to Velseis Processing based in Brisbane.


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