Saka Energi has likely completed operations at exploration well West SIS-A1 well in the South Sesulu PSC, located in offshore East Kalimantan, around late November 2018, with results unreported. The well was drilled using the âCOSLPowerâ jackup rig. PTD of the well was approximately 3,000 m, likely targeting the Sepinggan Formation and the Balikpapan Group.  West SIS-A1 was spudded on or around 17 August 2018, as reported by local media. The well was likely drilled with the purpose of appraising the South Sesulu 1ST1 (SIS-A) discovery.  In early April 2018, Saka Energi released tender invitation to source for potential drilling service contractor. Estimated cost for the well prior to drilling has been reported at approximately USD 15-20 million.  In late July 2017, the company completed exploration well South Sesulu G1 (SIS-G1), as a possible gas discovery. The well was drilled using COSLâs âHYSY 937â J/U. Well testing was possibly ongoing as of late June 2017. According to earlier local reports in mid-April 2017, drilling was underway in the upper section at a depth of approximately 790 m. Upon successful drilling completion, the operator was reportedly planning to commence testing operations in late May 2017. The well was spudded in early April 2017.  SIS-G1 is located approximately 5 km southeast of the South Sesulu 1ST1 (SIS-A1) discovery well, and possibly targeted Upper Miocene turbidite sandstones of the Sepinggan Formation. The well could have a PTD of approximately 2,900 m, similar to the previous well. SIS-G is one of the multiple prospects identified in the block in addition to SIS-A.  The 2017 drilling programme followed a successful exploration campaign that resulted in the South Sesulu 1ST1 gas discovery, in early 2015. The new drilling campaign is needed to further assess reserves in the block and this could lead to a submission of Plan of Development in 2018.  PT Saka Energi Indonesia is the operator and sole right holder of the block.  Background Information  Saka Energi acquired operatorship and 100% interest in the block from Hess in October 2013. In January 2016, Saka offered up to 40% farm-in interest in the block.  According to local reports in April 2015, Saka was considering options to commercialize the gas from the 1,906 sq km block. Commercialization scenarios could involve selling the gas to the fertilizer plant in Bontang or delivering the gas via existing pipeline, owned by Mubadala, to the Bontang LNG facility.  The operator completed drilling operations at the South Sesulu 1 ST1 as a gas discovery on or around 30 March 2015. According to companyâs report, the well tested 18 MMcf/d of gas through 40/64 inch choke. It was spudded using âRowan Gorilla IIâ J/U on 24 December 2014. According to Saka, the discovery contains potential gas resources up to 500 Bcfg.  The previous activity in the block was a 580 sq km 3D seismic survey conducted in October 2010 using Western Geco's 'Western Patriot' M/V. Eight prospects and leads, mainly situated in the area between the Paternoster Platform and Kutei Basin, have been identified from this survey.  The South Sesulu block was offered during the Phase II 2008 Tender Round under the direct tender mechanism. The Domestic Market Obligation (DMO) fee was set at 25% and FTP was set at 20% (shareable).
Saka Energi Indonesia (SiNERGI) South Sesulu PSC - West SIS-A1 exploration well likely completed, result unreported