Pan Orient Energy Corp. reports that the deviated well L44H-D1 is flowing at a sustained, stabilized rate of approximately 3,940 barrels per day of 35.5 degree API oil with a water cut of 0.05%. The well is free flowing through casing and tubing with restricted choke setting of 38/64" and 26/64" respectively.
Pan Orient serves as operator of the well with 60% working interest. The company has been informed by the Thailand Department of Mineral Fuels that this is the highest flow rate ever achieved by any oil well drilled onshore Thailand.
L44H-D1 reached a total measured depth (MD) of 1,217 meters, 866 meters true vertical depth (TVD), at a subsurface location approximately 700 meters north of the oil producing L44-H well location within the central fault compartment of the NSE field. The top of the main volcanic was penetrated at a depth of approximately 1,016 meters MD (755 meters TVD) with over 200 meters measured thickness (111 meters true thickness) of the target volcanic reservoir penetrated. L44H-D1 is the structurally highest volcanic reservoir penetration within the NSE field encountered to date.
These test results at L44H-D1 confirm an oil column at Na Sanun East (NSE) of a minimum of 150 meters. L44H-D1 was a highly deviated well (approximately 51 degrees) at the time it intersected the top of the main volcanic objective. Based on these results, consideration is being given to full NSE field development utilizing up to 12 horizontal wells.
Sidetracked well, NS6-D1A is free flowing 35.5 API oil at a stabilized pre-cleanup rate of 615 bopd with choke setting of 18/64" on both casing and tubing. NS6-D1A is located within the south fault compartment of the NSE structural closure approximately 400 meters north of the original POE-9 discovery well. The well penetrated approximately 23 meters of the main volcanic target.
The Aztec #14 rig is drilling ahead at a depth of 900 meters after setting 9 5/8" casing at 362 meters. Drilling is anticipated to take approximately 8 days to reach total depth. WB-1 (Deep) is targeting an approximately 220 meter thick volcanic at a depth of 1,503 meters.
Current field production capacity is now greater than 10,000 bopd gross with average deliveries to the refinery of between 5,500-6,000 bopd gross, limited by the capacity of the tanker fleet. Delivery is anticipated to increase to 7,000 bopd gross in late December 2007. The current refinery capacity is approximately 10,000 bopd gross; a second refinery contract is anticipated to be signed, bringing the total refinery unloading capacity to more than 20,000 bopd gross.
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