Eureka!: RH Petrogas discovers new gas reserves in Indonesia

The discovery was made in the North Klalin field, located close to its subsidiaries’ production fields.

RH Petrogas’ wholly owned subsidiaries Petrogas Ltd. and RHP Salawati Basin B.V. have made a new gas and condensate discovery in the North Klalin-1 exploration well drilled in the Kepala Burung PSC, located in the Sorong area, West Papua. Recent drill stem tests conducted on the well produced 5.867 MMSCFD (million standard cubic feet per day) of natural gas on a 24/64” choke, with 137 BPD (barrels per day) of condensate. The well was spudded in June 2011 and completed in September 2011.

In aThe new discovery is expected to increase the gas and condensate production of the RHP Group.

The Basin PSC is now producing around seven thousand BOEPD (barrels of oil equivalent per day). The discovery will be appraised by the drilling of delineation wells and if proven, will help to meet the increasing gas demand in the area.

The discovery in the North Klalin field is located close to existing production fields. It is therefore expected that development of the field could be accelerated with production commencing in early 2012.

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