Premier delays spudding date of northeast well

Vol 8, PW 21 (26 Jan 05) News in Brief

Premier Oil has pushed back the date of its first exploration well in northeast India (Jaipur) block AAP-ON-94/1 to 14th February Valentines Day! A source confirms that Oil India rig S-7 will begin moving from its present location north of Digboi, some 25-km from the Premier drill site, within the next week.

Premier has completed construction of the road leading up to the well site and is waiting for the rig to move in. Target depth is 4200 metres and drilling is expected to last two months.

Estimated in place oil at AAP-ON-94/1 is 100m barrels with 40m barrels recoverable. Premier holds 38% of AAP-ON-94/1 and is operator.

Indian Oil holds 27%, Hindustan Oil Exploration holds 25% and Oil India holds 10%. Separately, Indian Oil this month won formal government approval to acquire 35% of CR-ON-90/1 where operator Premier owns 49%, Essar Oil holds 16% and ONGC is the licencee.

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