Drilling approved for Indonesia’s South Block A

Indonesia has approved the Amanah Timur No. 1 (AT1) appraisal well, and ACL International Ltd.’s subsidiary Renco Elang Energy Ltd. said the well will spud before Nov. 30. Renco, the operator of South Block A, is drilling AT1 to test the Paya Bili prospect at TD of 700 m and to evaluate reservoir productivity in a pre-1940 oil field as well as deeper untested sandstones.

South Block A is onshore and offshore Aceh Province, North Sumatra, Indonesia (OGJ Online, May 18, 2009). The prospect lies within the North Sumatra basin and is one of the most productive hydrocarbon provinces in Indonesia with more than 80 known oil and gas fields. ACL acquired 38.25% interest in South Block A in July 2015.

South Block A is split into two portions. The West block covers 1,257 sq km onshore the North Sumatra. The East block covers 637 sq km, extending into the coastal area and offshore. East block also includes four exploration wells and 180 km of 2D seismic.

The operator estimates combined P50 unrisked resources at 442 bcf of gas and 47 million bbl of oil and condensate. The probability of success with identified leads range from 11% to 48%, the company said.

The JV recently completed 183 km of 2D seismic survey, which targeted the Simpang, Djerneh, Amanah, Sungai Lyu, and Paya Bili prospects. Lion Energy Ltd.’s operational update cites the Simpang Deep as the largest of the identified leads, which has more than 25 sq km potential areal closure with similar objectives as the Matang discovery (OGJ Online, Apr. 23, 2013). The JV may select this target for a planned late-2017 drilling campaign.

JV partner, Lion Energy, holds 35% interest in South Block A through its subsidiary KRX Energy (SBA) Pte. Ltd. According to the company’s web site, Renco holds 51% overall as operator of the block, and PT Prosys Oil & Gas International also holds a participating interest.

Contact Tayvis Dunnahoe at tayvisd@ogjonline.com.

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