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Published: Friday January 18, 2013 MYT 11:00:00 AM

Petronas: O&G found near Miri town, first time onshore in 24 years


KUALA LUMPUR: Oil and gas has been discovered at the Adong Kecil West-1 Well, 20km northeast of Miri town, and Petroliam Nasional Bhd (Petronas) said this was the first onshore discovery after 24 years.

It said on Friday the well in Block SK333, was drilled by JX Nippon Oil & Gas Exploration (Onshore Sarawak) Ltd, the operator for Block SK333, together with joint venture partner Petronas Carigali Sdn Bhd.

"The well was drilled to a depth of 3,170 meters and encountered a total of approximately 349 metres of net hydrocarbon thickness.

"Two drill-stem tests achieved flow rates of about 440 barrels of crude oil per day and 11.5 million standard cubic feet of gas per day," said Petronas.

It added technical assessments are currently being undertaken by the operator to determine the resource volume of the field, said Petronas, pointing out this was the first onshore discovery in 24 years.

The last onshore discovery was Asam Paya Field in 1989, also in Sarawak.

Petrona pointed out based on the drilling results, the deeper sections in the onshore area may hold additional upside potential for hydrocarbon accumulation.

However, with the higher borehole pressures expected, drilling operations will be more challenging for the deeper reservoirs and rigs with higher specifications will be required to test such intervals.

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