Rig Arrives at Brunei Block

The MBCentury Rig 104, contracted for drilling two wells in Block M onshore Brunei, arrived at the port of Muara on June 22. The rig is now being offloaded and importation documentation is being finalized.

Tap has secured the required regulatory approvals, equipment and personnel to commence drilling on the first well, Mawar-1. Mawar-1 is characterized as a moderate to low risk drilling opportunity due to the available offset well control and 3D seismic data set.

The rig is scheduled to be moved in sections by road from Muara to Tap's first drilling location over the next 10 days. Mawar-1 is approximately 80 km southwest of Bandar Seri Begawan and 30 km south of the giant Seria oil Field.

Block M is being explored under a Production Sharing Agreement signed with Brunei National Petroleum in August 2006.

Participants in Block M are:

  • Tap Energy (Borneo) Pty Ltd 39%
  • Kulczyk Oil Ventures Inc. 36%
  • China Sino Oil Co. Ltd 21%
  • Jana Corporation Sdn Bhd 4%

Tap Comment

Tap's CEO Peter Stickland said, "we are looking forward to getting the bit in the ground and drilling our first well in Brunei, Block M. Mawar-1 has significant oil potential at moderate to low risk due to the offset well control and interpretation on modern 3D seismic data. Brunei's established infrastructure means we will be able to quickly monetize any commercial discovery."