The Doric-2 natural gas well located in Apache's Doric gas field in Permit TL/1 is on production at the rate of 65 million cubic feet (MMcf) of gas per day from the Flag sandstone.
The Lee-3 natural gas well, located in the TL/1 Permit area, is producing at the rate of 50 MMcf per day, flowing from the North Rankin, Brigadier and Mungaroo formations.
Both gas wells were completed in early January and flow through Apache's Varanus Island hub. This gas production will replace volumes from other Apache gas wells flowing into existing marketing contracts.
The West Cyad-2, located in Permit TL/9, was drilled as a sidetrack from Apache's Victoria platform to produce a 32-foot oil column discovered last fall more than 3.75 miles from the nearest infrastructure. Completed in early February, the well is producing at the rate of 6,000 barrels of oil per day from the Flag sandstone formation.
Apache operates all three wells through the Harriet Joint Venture with a 68.5 percent working interest. Partners are Kufpec Australia Pty Ltd with 19.28 percent and Tap (Harriet) Pty Ltd, with 12.22 percent. The Varanus Island hub is currently handling 18,500 barrels of oil and 310 MMcf of natural gas production per day. Varanus Island is a major producing center that Apache operates in Western Australia. The Varanus Island hub currently processes approximately 40 percent of the gas produced and sold into the Western Australia domestic markets.
Apache also is planning an additional Harriet Joint Venture oil well with multiple horizontal laterals in the Bambra field, located in permit TL/1. The extended-reach Bambra-7 well, which began producing natural gas in late 2005, recently started producing oil after a larger-than-anticipated gas cap was dissipated. The Bambra-7, which has produced 17 Bcf of gas, currently is producing 10 MMcf of gas and 3,170 barrels of oil per day.
Apache has 31 wells planned for the Carnarvon Basin in 2007, ranking the company the most active offshore operator in Australia. A significant portion of this drilling targets the Harriet Joint Venture area.
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