Santos Finds Oil Shows at AAL-4X Well in Indonesia's Offshore NW Natuna PSC

AWE Limited disclosed Monday that oil shows have been observed while drilling the AAL-4X appraisal well in the Northwest Natuna Production Sharing Contract (PSC) in Indonesia's Natuna Sea.

The firm said the AAL-4X appraisal well reached a total depth (TD) at 4,088 feet (1,246 meters) total vertical depth sub sea (TVDSS) as of 9am, Australian Eastern Standard Time (AEST) May 30 and wireline logging operations are underway across the target K Sand and G Sand reservoirs. Both reservoirs have been fully cored for further analysis and oil shows have been observed in both sands. Following wireline logging, each reservoir is planned to be Drill Stem Tested.

Operator Santos Ltd. deployed the jackup Raniworo (345' ILC) to drill the well, which is located in water depths of around 236 feet (72 meters), with completion expected to take approximately 48 days.

The Northwest Natuna PSC includes the Ande Ande Lumut (AAL) oil project, comprising the K Sand reservoir and the underlying G Sand reservoir. The AAL-4X appraisal well’s primary target is the G Sand reservoir, which is estimated to contain 289 million barrels gross oil in place with 36 million barrels gross recoverable oil.

"Appraisal of the G Sand will facilitate the preparation of a Plan of Development for this resource, which could be developed in conjunction with the already approved K Sand development, AWE said in Monday's press release.

AWE is a 50:50 joint venture partner in the Northwest Natuna PSC, with Santos acting as the field operator.



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