آ‘Shwe-1آ’well flows 30m cf/d from 48/64-inch choke

Vol 7, PW 22 (22 Jan 04) Exploration & Production

Beneath the euphoria of last weeks announcement of a massive gas find in Myanmar is a simple truth: no one yet knows exactly how much gas has been discovered.

All we have are two announcements by GAIL, which owns 10% of the block, and ONGC Videsh, which has 20% of the block. Both statements lack any technical detail.

In separate press releases, OVL and GAIL said Daewoo struck a field of between 4-tcf to 6-tcf and that it is likely to hold in-place reserves of between 14-tcf and 21-tcf. Two days later on 17th January Daewoo president and CEO Lee Tae-Yong was more specific on a visit to Myanmar when he told the New Light of Myanmar newspaper that the well had struck deposits of between 4.2 and 5.8-tcf and that the field could hold reserves of up to14-tcf.

Separately, PETROWATCH is privy to some technical information that might help you make your own assessment. We learn for example that the successful wildcat Shwe-1 well at the 3,932-sq km A-1 block, located in the Rakhine Basin of the Bay of Bengal, tested 30m cf/d from a 48/64-inch choke at a pressure of more than 1,000-psi.

We also understand that the pay zone was discovered at approximately 3,060-3,080 metres depth and that side-track drilling began at a depth of 2,348 metres. Daewoos new Target Depth for the well is 3,223 metres with a TVD of 3,126 metres.

This is the first Wild Cat well on the block. Located in water depths of 150-metres, the well was spudded on 21st November last year.

Initial plans were to drill to a target depth of 3,900 metres with vertical drilling up to 2,550 metres before sidetracking. We think the deviated hole was drilled at a much lower angle than planned and that it only penetrated the edge of the objective reservoir section, reveals a source.

As for the geology, the well is located in the southeastern part of the block and that the gas is stacked in Pliocene Turbodite Sandstone developed over a low-relief broad anti-clinal structure. Daewoo has hired drillship Energy Searcher on a 45-day contract to complete the well and plans to carry out 700-km 3D immediately after the well is completed.