Why do you say that my good doctor.? Plenty more oil to be found there with modern drilling techniques and a great market. Hey, the chances of PPP going there are minimal. But I like NZO's chances.
Printable View
Love the waiting.Romania or certainly somewhere on the globe as we are not space drilling yet. Definatly got the speculation in full swing. I had picked the Aus opening today as the most likely time for the news but it is not yet.
OK i do not like the waiting.Wonder if the directors had reservations about this acquisition/exploration and gave the dividend as a sweetner.
well if its worth anything big bids on the asx are moving up on the buy side. I guess we will all find out soon enough.
STOCK EXCHANGE ANNOUNCEMENT
12 May, 2009
Pan Pacific Petroleum joins Premier in oil exploration
drilling in Vietnam
Pan Pacific Petroleum (“PPP”) and Premier Oil are pleased to announce that Pan
Pacific Petroleum (Vietnam) Pty Ltd (“PPPV”) has entered into a farmin agreement with
Premier Oil Vietnam South B.V. (“Premier”) to earn a 15% interest in the Block 07/03
Production Sharing Contract, offshore, Vietnam (see map below). This agreement
includes funding part of Premier’s costs of the planned drilling program.
Other partners in the block are Vietnam American Exploration Company, LLC.
(“Vamex”), and PearlOil (Ophiolite) Ltd (“Pearl”). Upon completion of PPPV’s farmin
obligations, the participating interests will be;
PPPV 15%
Premier 30% (operator)
Vamex 40%
Pearl 15%
PPP* will participate in the current well at the 15% level subject to Vietnamese
Government approval, and waiver of pre-emptive rights by PetroVietnam.
Block 07/03 covers 4,915 km2 in the prospective Nam Con Son Basin, and is adjacent
to block12W which contains the Chim Sao and Dua Oil Fields, also operated by
Premier, which have found oil in Dua sand fault traps. An extension of this successful
play concept is interpreted to exist in block 07/03, and is currently being evaluated by
drilling of the Cá Rồng Đỏ (Red Emperor) prospect. The well spudded on 6th May 2009
and is being drilled using the semi-submersible drilling unit “Hakuryu-5".
This well is projected to reach the main objective within a few weeks. The operator,
Premier, has designated this a “tight” (i.e. confidential) well, and hence weekly progress
reports will be limited to drilled depth, until the completion of the well. This is the first of
a 2 well program, with the second well planned for the end of the year.
PPP* are delighted to join the Block 07/03 joint venture, and to have immediate
participation in the drilling of an attractive prospect estimated by the operator to have
significant potential. The block has multiple additional prospects and material upside in
the event of success.
This farmin is the first step in the execution of PPP’s stated growth strategy which
includes participation in selected exploration in proven basins in the Southeast Asia
region.
For further information please contact:
Tom Prudence
Chief Executive Officer
Pan Pacific Petroleum NL
Telephone: + 61 2 9957 2177
__________________________________________________ _______________________________
*Notes:
1. References to PPP, and the company, are to be read as inclusive of the subsidiary companies within the
consolidated PPP group.
What i can not believe this.We have waited for two days to see what PPP is up to and with the announcement no comment.
See ASX PPP for more detail.
Oil exploration drilling in Vietnam
Taking 15% from Premier for some cost of drilling
Operator Premier Oil
more info
UK-based Premier Oil said its exploration focus in South East Asia this year is Vietnam as well as progressing work programmes towards drilling in all its Indonesian licences.
During the second quarter the outfit plans to drill in Vietnam’s Block 07/03, in which the company holds a 45% stake.
If the programme is successful, Premier said it will high-grade a large number of follow-on prospects on the block and adjacent acreage held by the company.
Premier operates two other blocks in Vietnam, the Offshore 12W and 104-109/05 licences.
Meanwhile in Indonesia, Premier is working up interpretations of newly shot 2D seismic over the Tuna Block, ready for drilling two wells in late 2009 or 2010.
The outfit is also planning to drill a deep Lama sandstone reservoir target beneath the Anoa field during the third quarter in the Natuna Sea Block A, this follows encouragement from the company’s 2007 Pancing discovery in the poorly-explored reservoir in the adjacent Kakap Block.
The outfit said it plans to mature its other Indonesian licences for further exploration in 2010.
Premier operates both the Tuna Block and Natuna Sea Block A, and holds stakes in each of the Buton, Kakap and North Sumatra A licences.
During 2009, the operator of the Buton Block, Japex, will finalise studies to determine a site to be drilled in 2010.
In Pakistan, following the success of its Qadirpur Deep well, Premier is drilling similar deep reservoirs below the Badhra field with the Bado Jabal well. This has the potential for several trillion cubic feet of gas. They are also drilling another new fault Block in the Kadanwari licence, where the outfit has drilled similar opportunities that were successful in the recent past.
Block 07/03
Highlights
• Opportunity to test proven low risk plays in a largely
unexplored block with a relatively modest work
commitment
• Multi-hundred MMBOE potential, in the Nam Con Son
basin in Vietnam adjacent to Premier’s Dua and Chim
Sao oil discoveries
• Good inventory of large prospects including Nam Con
Son (Terumbu) reefs and Dua (Arang, Barat) & Cau
(Gabus) sandstone targets
• Prospects identified with direct pathways to mature oil
source kitchens with analogies to Chim Sao Field to the
west
• DHI’s and amplitude anomalies present
• Short time frame to first exploration well in May 2009.
Second exploration well in Q4 or early 2010.
• Tight 2D seismic programme recently completed which
has greatly improved prospect structural definition
• Core area for Premier Oil, exploration success and
considerable development and operational experience
(Block 12W Chim Sao & Dua development, multiple
developments in West Natuna Sea)
• A portion of Premier’s participating interest available
• Good stand-alone portfolio addition or strategic first
entry into a highly prospective, multi play trend
Block 07/03
Nam Con Son Basin, Vietnam
Investment Opportunity
Premier Oil is seeking a partner in the
highly prospective and under explored
Block 07/03 PSC in the Nam Con Son
Basin. Premier Oil entered the 07/03
PSC in 2004 through a farm-in and
has since acquired three 2D seismic
surveys to develop the prospectivity of
the block. Under the PSC a
commitment of two exploration wells is
outstanding for the Initial Exploration
Period. Premier Oil seeks a partial
carry of its commitment on the first well
of a two well drilling programme in
2009 in return for a portion of its
participating interest in the PSC.
In the 1970s and 1980s the Nam Con
Son Basin and East Natuna Sea were
the subjects of pioneering exploration
efforts and a number of significant
discoveries, including the super giant
Natuna D Alpha Field, were made.
Delays in the resolution of the
Indonesia-Vietnam maritime boundary
resulted in a two decade hiatus but a
2004 Indonesia-Vietnam boundary
treaty has reopened the area for
exploration.
The current large inventory of prospects and leads for the Block 07/03 PSC is
based on high quality modern seismic and reprocessed vintage data in a number of
2D data sets. A newly acquired tightly spaced 1,537 km 2D seismic survey over the
most prospective areas of the block has recently been integrated into the seismic
data set. The new seismic programme has increased structural definition and
strengthened the prospect inventory in preparation for a two well exploration drilling
program planned to begin in May 2009.
The Nam Con Son Basin / Natuna Sea is a core area for Premier Oil. In Vietnam
Block 12W Premier Oil has discovered and is developing the Chim Sao and Dua oil
fields with first production targeted for 2010. Premier Oil also operates the Tuna
PSC in the East Natuna Sea and the highly successful Anoa Gas field in West
Natuna where the Naga, Iguana & Garah Baru fields are also under development.
Recent West Natuna successes also include the Macan Tutul, Lembu Peteng &
Lukah discoveries. With its extensive experience in the region Premier Oil brings a
high level of technical expertise and logistical capability to the Block 07/03
exploration program.
Very favorable license and fiscal terms, combined with a large prospect inventory,
including multiple reservoir targets, with a short time frame to drilling make Block
07/03 a very attractive opportunity for companies looking for near term value add
through exploration success.
Block 07/03 PSC
Location Nam Con Son Basin, Vietnam
Awarded 26th July, 1999
Operator Premier Oil (45% interest)
Area 4,915 km2
Water Depth 100-200m over most of block
Seismic Data AGIP 1970’s
GFB 1990’s
Vamex and Premier 2004
Premier 2008
Wells AD-1X (AGIP 1971)
AM-1X (AGIP 1974)
AW-1X (AGIP 1976)
Arca-1X (AGIP 1977)
Play type Fault dependent footwall traps,
hanging wall rollovers, reefs
Prospects/Leads 21 defined prospects and leads with
multiple reservoir targets
Work Programme:
Initial Exploration Period (3 years, 2008-2010) : 2 wells
Second Exploration Period (2 years, 2011-2012) : 2 wells
Extension Period (1 year, 2013) : commitment negotiable
12W
07/03
Tuna
Kakap
Natuna Sea
Block A
Petroleum System
Adjacent to Premier’s Block 12W, Vietnam Block 07/03 is situated on the southern flank of the Nam Con Son Basin. In the South NCS area large
grabens form sub-basins which contain mature source rocks with seismic character indicating the presence of thick Oligocene syn-rift coaly
lacustrine intervals. Due to shallower depth of burial these sub-basins are less thermally mature than the main basin depocentre to the north making
them more oil prone as demonstrated by the Dua, Chin Sao, Chim Ung and Chim Cong oil discoveries in Block 12W. Block 07/03 has access to five
source sub-basins. The NW corner of Block 07/03 has access to charge from the proven Hoa Tim Sub-basin. The Northern Sub-basin is well
situated to charge traps along the Arca-Tu Chinh High, the AD High and the AW-1X Spur. Traps in the southern and eastern areas of the block have
access to charge from the Eastern, Southeastern and Southern sub-basins.
in the 1970s AGIP drilled four wells in Block 07/03 under an Indonesian PSC. All of these wells targeted large late Miocene-Pliocene Nam Con Son
(Terumbu) reefs. These reefs are now understood to have fundamental sealing problems due to the late emplacement of the Mekong pro-delta Bien
Dong (Muda) sands and shales which overlie the reefs. Only one well, Arca-1X penetrates a significant section of pre-NCS Carbonate clastics (the
“pre-Terumbu”). Arca-1X shows the clastic reservoirs of the Thong/Mang-Cau and the Dua formations to have good reservoir properties but the well,
targeted at the reef, was drilled off structure for testing the deeper clastic reservoirs.
Potential reservoirs characteristic of the NCS Basin/Natuna Sea area are developed at several stratigraphic horizons. Late Oligocene Cau (Gabus)
sands are well developed in nearby well AS-1X and Arca-1X shows that the Early to Mid Miocene Dua Formation which forms the reservoir for Chim
Sao and Dua fileds extends across the block. The Nam Con Son Terumbu reservoir reef facies is proven as an excellent reservoir and contains gas
and oil accumulations in several nearby wells and fields including the giant Natuna D Alpha gas field immediately to the east.
Northern Sub-basin
Eastern
Sub-basin
Southern
Sub-basin
AS-1X High
AW-1X Spur
North AS-1X Terrace
Arca High
Red Grouper High
A R C A - T U C H I N H H I G H
AD High
NW Terrace
Sillago High
Southeastern
Sub-basin
AS-1X
AW-1X
ARCA-1X
AM-1X
AD-1X
Hoa Tim Sub-basin
Top Basement image showing structural configuration of Block 07/03 including source sub-basins
Prospects & Leads
Interpretation of reprocessed vintage and spec seismic data and Premier’s recent 2008 seismic data has resulted in a large inventory of prospects
& leads. Closures have been mapped in the Late Miocene NCS Carbonate, the Miocene Dua, and the Oligo-Miocene Cau Formations. The main
plays in Tuna PSC are multi reservoir targets contained within foot & hanging-wall fault closed traps, independent dip closed hangingwall rollovers,
and Miocene carbonate reefs. All are associated with the main fault systems bounding the deep source kitchen grabens. Mean potential reserve
estimates for the eleven largest prospects range from 50 to 200 million of barrels. Large follow-up and upside potential is available for a discovery
in most targets. The recent 2D seismic survey has matured several of the best prospects to drillable status.
PRIMARY PROSPECTS
THONG / MANG-CAU LEADS
HANGING-WALL LEADS
Block 07/03 Prospect and Lead Inventory
New (2008) 2D Seismic Data is a major improvement over 2004 & 2006 data
2004 Survey Red Grouper Area 2008 Survey
Example seismic from the Silver Salago and Red Groper Prospects
Farm-in Process
Following signing of a Confidentiality Agreement, access will be granted for a maximum 3-day period to a physical data room located in the
Saigon Finance Center building, Ho Chi Minh City, Vietnam.
A full technical, commercial and legal database is available in the data room along with a full set of digital G&G data loaded on an SMT
Kingdom work station.
To obtain further information or to arrange a CA and data room booking please contact:
This information is provided only to assist parties to establish whether they wish to further evaluate the property. It does not contain all the
information required to evaluate the property and no representations are made about the accuracy or completeness of the information. Premier Oil
has no obligation to provide the recipient with any additional information and retains the right, at any time, without subscribing any reason therefor
to amend any details relating to the proposed divestment.
Summary & Conclusions
•All play elements of the successful oil-productive adjacent Block 12W are believed
to be present in Block 07/03.
•Most recent wells drilled 30 years ago – all targeted for shallow reefs – all have
critical failure elements at that level – only one, Arca-1, penetrated the full clastic
sequence but it was off structure
•Mean probabilistic reserves 50-200 MMBO per prospect with corresponding P10
135 MMBO to over 500 MMBO
•Water depths are favourable over most of the block
•PSC contract terms are very favourable, amongst the best in Vietnam
•The block is operated by Premier Oil – successful in establishing a commercial oil
play in this part of the Nam Con Son Basin by challenging old beliefs
•Incoming farminee will benefit from 3 modern 2D seismic surveys acquired by
Premier and partners in this block as well as 3 years of interpretive and analytical
work with no contribution for back-costs required
Steve Thompson
Farm-Out Coordinator
Tel: +84-3910-5788 ext. 401
Mob: +84-9080-89250
E-Mail: sthompson@premier-oil.com
Premier Oil
7+11Fl. Saigon Finance Centre
No..9 Dinh Hoang Street
Da Kao Ward
District 1
Ho Chi Minh City, SR Vietnam
Wayne Spencer
New Ventures Manager - Asia
Tel: +65 6838 0115
Mob: +65 9177 0192
E-Mail: wspencer@premier-oil.com
Premier Oil
435 Orchard Road
#22-02 Wisma Atria
Singapore
I like vietnam play
M
lots of upside in this play by the looks of it this is much bigger than hector ever was by the look of things. could be a company maker and the drilling is already underway will be interesting as to how the shareprice reacts tomoro.
How so?
Hector was a 1 billion+ target in a much more politically stable region + closer to infastructure