SapuraKencana Discovers Gas Offshore Sarawak, Malaysia

SapuraKencana Energy (SKE) announced four significant gas discoveries in the SK408 Production Sharing Contract (PSC) area, offshore Sarawak, Malaysia.

All four wells have discovered non-associated natural gas within the primary target Late Miocene Carbonate reservoirs. The first well, Teja-1, located southeast of the Cili Padi gas field encountered 219 metres of gross column whilst the Gorek-1 discovery, southeast from F23 gas field encountered a gross gas column of 235 metres.

The third well, Legundi-1, located south of F23 gas field was drilled in a down-flank location and encountered a 139 metres gross gas column, and the fourth well, Larak-1, located south of F6 gas field, also drilled in a down-flank location encountered a gross gas column of 333 metres.

In line with the partnership philosophy of fast track, low-cost development, all four discovery wells have been suspended with the intention of completing as gas production wells in the future.

“The excellent results of the drilling campaign further confirms the exploration model developed by the team at SK Energy and, is a true testimony to the capability of the team in realising the full potential of the SK408 block,” said Tan Sri Dato’ Seri Shahril Shamsuddin, President & Group CEO of SapuraKencana Petroleum Berhad. “The four SKE discoveries from the first four exploration wells clearly reflect the quality of the assets acquired,” he continued.

SKE via SapuraKencana Energy Sarawak Inc. is the operator with a (40%) working interest with partners PETRONAS Carigali Sdn. Bhd. (30%) and Sarawak Shell Bhd. (30%) and holding the remaining interest.

SK408 Block is located in shallow waters, approximately 120 kilometres offshore Sarawak covering an area of approximately 4,480 sq. km in the prolific Central Luconia Gas Province. These are the first four wells of a 10-well commitment in the SK408 PSC.

Press release, June 09, 2014

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