Forum Energy Begins Drilling Forum 1-X in the Philippines

Tracer Petroleum reports that drilling has commenced by Forum Exploration on a new exploration well, Forum 1-X. Tracer is in the process of acquiring 66 2/3% of Forum. The well is located in Barangay Maya, Daanbantayan, Cebu and will be drilled to a depth of 1,000 feet using a Hycalog HH3500 drilling rig, as part of a commitment to the Department of Energy (DOE) under Service Contract No. 40. It will test the Central Maya Bulge structure which was proven to have oil-bearing sands during previous drilling activity.

Forum 1-X is located close to the old MST-11 well, which flowed 540 boe during a test conducted by American Asiatic Oil Company (AAOC) in 1961. Other subsequent wells drilled in the 1960's and early 1970's by AAOC and by China National Petroleum Company of Taiwan also reported to have flowed oil on test, but sustained production at commercial rates was never established.

Aside from Service Contract No. 40, Forum's exploration program includes a new GSEC (currently being processed by the DOE) covering a total lease area of 1.28 million hectares in Manila Bay and West Central Luzon. Forum's continued interest in the area was brought about by the encouraging findings of a recent independent study by leading international petroleum consultancy firm, PGS Reservoir Consultants (UK) Ltd. of England.