Eni has won the bid for a new license area in Indonesia near its existing discoveries in the Southeast Asian archipelago.
“The Sapukala offshore block covers a large area in the deep-water sector (1,000-2,500 m water depth) of the Kutei Basin, East Kalimantan”, the Italian state-controlled company said in a press release. “The acreage is adjacent to Eni’s existing operated and participated blocks and close to the future North Hub developments, now operated by Searah (Eni 50 percent, Petronas 50 percent), which include the Geng North, Gehem, Gula and Geliga gas and condensate discoveries (in total more than 14 Tcf of gas in place and 800 Mbbls of condensate)”.
“Based on the study conducted, the acreage is considered highly prospective”, Eni added, referring to a study it had conducted with an Indonesian academic institution. “Eni has recently completed a new high-quality seismic data acquisition program which covers also the Sapukala block, laying the basis for an accelerated further evaluation of the block”.
Petronas JV
Eni added its Indonesian-Malaysian joint venture with Malaysia’s state-owned Petoliam Nasional Bhd (Petronas) has reached production of about 350,000 barrels of oil equivalent per day (boed). The partners expect to raise the figure to over 500,000 boed by 2028. Searah comprises 19 gas production and development assets: 14 in Indonesia and five in Malaysia.
Announcing the completion of the joint venture’s formation, Eni said June 8, “A $6 billion revolving credit facility has been successfully secured, reflecting the strong confidence of the financial markets to fund Searah’s growth plans, which include a pipeline of expected investment for over $20 billion over the next five years”.
“These investments will support the development of more than three billion barrels of oil equivalent of discovered resources and unlock multi-billion boe of additional exploration potential”, it added.
In May Eni said a drill stem test (DST) had confirmed the preliminary assessment of about five trillion cubic feet (Tcf) of gas and 300 million barrels of condensate in the Geliga-1 discovery in one of the blocks now transferred to Searah, Indonesia’s Ganal.
The DST results showed the well could sustain a production rate of around 200 million cubic feet a day of gas and approximately 10,000 bpd of condensate, Eni said May 7.
“The new discovery is located next to the undeveloped Gula gas discovery, estimated at approximately two Tcf of gas in place and 75 million barrels of condensate. Early evaluations indicate that, when combined, Geliga and Gula could underpin incremental production of around 1,000 MMscfd of gas and 80,000 bpd of condensate”, Eni said.
Eni said at the time it was expecting to submit a plan of development (POD) to the government “in the coming weeks”.
“The POD aims to enable the fast-track development of a third production hub in the prolific Kutei Basin, alongside the Gendalo and Gandang gas project (South Hub) and the Geng North and Gehem fields (North Hub), by leveraging the development concept currently being implemented for the North Hub project”, Eni said.
Source: rigzone.com