Drilling begins at A-1 and A-3 in Myanmar

Vol 9, PW 21 (09 Feb 06) News in Brief

Drilling has begun at Myanmar exploration blocks A-1 and A-3, where GAIL and ONGC Videsh have a combined 30% in each block.

In late December, Chinese semi-submersible Nanhai-II arrived on block A-3 and began drilling its first well in January. Jack-up rig Galaxy Searcher arrived at the same time to spud a well on block A-1.

Water depths at both locations are less than 200 metres and TD is around 4000 metres. Both rigs have embarked on a two-month drilling programme at each location.

Daewoo (60%) is operator at both blocks and plans to drill seven wells at A-1 and one at A-3 during 2005-06. KOGAS of South Korea has 10% participating interest on each block.

In December, reserves consultant Ryder Scott said the Shwe discovery made in December 2003 on A-1 could hold between 2.88-tcf and 3.56-tcf in-place gas. Myanmar believes two other prospects: Shwe Phyu and Ngwe on A-1 could hold up to 14-tcf in-place gas.