Kalrez Gains Approval to Begin Drilling on Bula Block

Kalrez Petroleum (Seram) Ltd has received formal approval to commence drilling of commitment development well 18K-6 on the Bula Block in Indonesia and is presently mobilizing Rig 482 to the location in preparation for spudding the well. This is the second commitment well drilled in 2003 and follows on from production well 89K-5 drilled in January this year.

The well is located in the Bula Tenggara field which has two main reservoir intervals, the Pliocene Lower Fufa Basal Fufa sequence and the underlying Mesozoic Pre Fufa.

Well 18K-6 is a twin well to 18S-6 drilled in 1986. Subsequent remedial work in 1988 and 1989 damaged the well, reducing production from approx. 90 BOPD to less than 10 BOPD. Well 18K-6 is intended to penetrate the Basal Fufa sand encountered from 242.5 250 mKB in 18S-6, which was the productive zone in this well. Proposed Total Depth of the well is 260 meters and is expected to take 10 14 days to complete. The well is being completed so that as Basal Fufa production declines, the well can be deepened to test the Pre Fufa reservoir in the future.


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