Daewoo drilling programme ends at Myanmar block A3

Vol 11, PW 1 (17 May 07) Exploration & Production
     

Daewoo has completed its drilling programme for this year at offshore Myanmar exploration block A3, where OVL and GAIL hold a combined 30%.

“This year’s work programme has been completed,â€‌ says a source in Yangon. “From now till September Daewoo plans to carry out reservoir modeling as well as G&G studies.

â€‌ A source in Yangon tells PETROWATCH that Transocean semi-submersible Sedco 601 finished the drilling programme of one exploration well and three appraisal wells in mid-April and that the rig has been demobilised. Daewoo drilled each of these wells in about 500 metres water depth to TD of around 3700 metres before carrying out Modular Dynamic Tests on all four wells at a depth of around 3400 metres.

In two wells the MDT encountered hydrocarbons but only water in the other two. “Drilling confirms these wells sit over extensions of the reservoir encountered in the Mya well,â€‌ says a source.

Last year, Chinese semi-submersible Nanhai-II made the Mya discovery in the deepwater areas of A3, which like A1, sits in the Rakhine basin. Analysis of the successful MDT results shows the new wells to be gas bearing with 95% methane, dry, and no carbon dioxide.

Daewoo hasn’t yet released any reserves numbers from the just-concluded drilling programme because it still needs to appoint a consultancy to validate the results. “Daewoo might ask Gaffney Cline & Associates to analyse the results,â€‌ we hear.

Some reserves numbers should be available by August or September. Daewoo plans to hold a meeting of the A3 consortium in Yangon in September to draw up next year’s exploration programme.

On the more prospective block A1, the Daewoo-led consortium has not yet received any fresh gas price from Petrochina. “There’s still no official word from Yangon about gas sales,â€‌ we are told.

The exploration and appraisal programme at A1 is over and Daewoo has no plans for any more work.