Mako gas field resource estimates upgraded

The resource estimate update has been prepared by the operator of the Mako gas field, Conrad Petroleum, and follows a highly successful appraisal drilling campaign in 4Q19 at the Mako gas field, which saw the Tambak-1 and Tambak-2 wells demonstrate the presence of well-developed, high quality reservoir sandstones with a common gas water contact across the Mako structure. The updated operator estimate follows a previous, post-discovery and pre-appraisal drilling, independent resource assessment which was completed by Gaffney Cline & Associates (GCA) and released in January 2019. GCA is currently in the process of conducting a new independent reserves audit for the Mako field.

The partners in the Duyung PSC are Conrad (76.5%), Coro Energy plc (15%) and Empyrean (8.5%).

Highlights

• Gross (full field) 1C (Contingent) Resource estimate of 323 billion ft³ of recoverable raw gas, representing an increase of 76% on the pre appraisal estimate of 184 billion ft3 in the 2019 GCA Assessment.
• Gross (full field) 2C (Contingent) Resource estimate of 493 billion ft3 of recoverable raw gas, representing an increase of 79% on the pre appraisal estimate of 276 billion ft3 in the 2019 GCA Assessment.
• Gross (full field) 3C (Contingent) Resource estimate of 666 billion ft3 of recoverable raw gas, representing an increase of 70% on the pre appraisal estimate of 392 billion ft3 in the 2019 GCA Assessment.
• Appraisal drilling in 4Q19 confirmed the presence of a thicker and better quality reservoir with a gas water contact measured (from electric logs) to be 5 ft deeper than previous contact, which was estimated from pressure data.
• Revised development scenarios are under review that may be able to achieve a plateau production rate of 150 million ft3/d, significantly higher than the previously modelled 44 million ft3/d.

The full field resources above are classified as "contingent" given key commercial milestones have not yet been achieved, such as execution of a Gas Sales Agreement (GSA) and a Final Investment Decision (FID).

The Mako field is located close to the West Natuna pipeline system and gas from the field can be marketed to buyers in both Indonesia and in Singapore. A Heads-of-Agreement (HOA) with a gas buyer in Singapore is already in place. Approval of a revised Plan of Development by the Indonesian Authorities and the conclusion of GSA negotiations will mark an important step toward the FID to develop and commercialise the field.

Read the article online at: https://www.oilfieldtechnology.com/offshore-and-subsea/14042020/mako-gas-field-resource-estimates-upgraded/