Natuna Sea - Block A
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Premier reports that the Macan Tutul - 1 exploration well in the Natuna Sea Block A license has reached a total depth of 9950' in order to evaluate deeper reservoir objectives in the Middle and Lower Arang sandstones. Wireline logs have identified the presence of hydrocarbons in this section of hole, although preliminary evaluation suggests that these intervals are tight. As announced in January, the well had been drilled into the primary target in the Upper and Middle Arang sandstones where it encountered gas as prognosed. In accordance with the original drilling program, the well which is located approximately 12km southeast of the Premier operated Anoa field will now be plugged and abandoned. Premier believes that this addition to the portfolio will contribute to potential future developments in Block A. Premier is the operator of West Natuna Block A with a 28.67% interest, and the other partners in the block are Kufpec (33.33%), Amerada Hess (23%) and Petronas (15%).
After completion of operations at Macan Tutul, the Ensco 104 will be mobilized to the Lembu Peteng prospect. These two wells are part of a 7-well exploration and development program to be operated in Block A by Premier during the course of 2006.
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