Santos in Indonesia spike

Santos has achieved an averaged stabilized flow rate of 828 bo/d, revealed in a drill stem test (DST) conducted on the G Sand reservoir at the AAL-4XST1 appraisal well in the Northwest Natuna permit area offshore Indonesia.

Joint venture partner AWE said the results exceeded pre-drill expectations and are 58% higher than the previous G-sand tests at AAL-3X of 525 bo/d.

The DST was conducted over a 3.5m perforated interval in the side-track well bore and was assisted by an electrical submersible pump (ESP) which is standard procedure in heavy oil fields due to the viscosity of the oil.

Bulk oil samples were recovered for further testing but wellsite measurements indicate the G-sand oil to have a specific gravity of 10.7 API at 60° F, consistent with previous samples from AAL-3X. Produced gas and water were at rates too low to measure.

AWE said its preliminary analysis of the wireline log data indicates an 8m oil column in the G-Sand and excellent quality reservoir, the best encountered in the field to date. No oil-water-contact was intersected in the well. Operations are now underway to commence a second DST test in the main AAL field K-sand reservoir.

“The positive results of the G-sand DST, together with a forecast lower cost environment and an improving long-term outlook for the oil price are all encouraging in respect of a decision to develop the AAL field,” said AWE CEO David Biggs.

The AAL-4X well has been drilled in water depth of approximately 72m using the Raniworo jack-up drilling rig and is forecast to be completed within the operator’s budget. The in the Natuna Sea includes the Ande Ande Lumut (AAL) oil project.

The AAL project comprises the K Sand reservoir and the underlying G Sand reservoir. The AAL-4X appraisal well’s primary target is the G Sand reservoir, which is estimated to contain 289 MMbbl gross oil in place with 36 MMbbl gross recoverable oil.

Appraisal of the G Sand will facilitate the preparation of a plan of development for this resource, which could be developed in conjunction with the already approved K Sand development. Both Santos and AWE hold 50% interest each in the Northwest Natuna permit. 

Image of Santos offices, from Santos. 

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