The Ujung Pangkah North and Ujung Pangkah West appraisal wells were drilled approximately 3 km and 5 km respectively from the nearest existing well, using the jack-up drilling rig 'Ocean Sovereign'. Both wells encountered gas overlying oil in the Kujung limestone formation at a depth of approximately 4,800 feet below sea level. The gas-oil contact and oil-water contact in the wells are both at a depth consistent with that observed in the previous wells drilled on the eastern part of the structure, indicating the discovery of a significant extension to the previously proven area of the Ujung Pangkah field.
The northern well encountered an oil column with a thickness of 77 feet underlying a gas column spanning 78 feet. Production testing of the oil zone resulted in a stabilized flow rate of 2,300 barrels per day. A separate test of the gas zone achieved a flow rate of 14.4 million cubic feet per day.
The western well encountered a similar section of oil bearing limestone underlying a larger 117 feet gas column. Production testing of the oil zone in this well resulted in stabilized flow rates of 2,100 barrels per day and a separate test of the gas zone achieved a flow rate of 31.4 million cubic feet per day.
Planning for Phase 1 of the Ujung Pangkah development project is at an advanced stage and sanction is expected in the near future. The large amount of data obtained from these two new wells will now be analyzed to determine the likely increase in oil and gas reserves, beyond Phase 1. The encouraging production tests of the oil and gas bearing zones within these wells will be utilised in assessing the feasibility of further development of the Ujung Pangkah reservoir.
Commenting on the news, Tom Cross, Dana's Chief Executive, said:
'We are delighted that these two wells have confirmed a significant western extension of the Ujung Pangkah field.
Following the positive production tests of oil and gas in both wells, the joint venture group has extended the rig contract to proceed immediately with the drilling of a well on the West Sidayu prospect, to the north of the Ujung Pangkah field, within the same PSC area. This third well in the program will explore an area west of the currently undeveloped Sidayu oil field, which was discovered by the Pangkah joint venture group in 2000.'
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