KrisEnergy, operator of Block A, located in the Khmer Trough, offshore Cambodia, continued offering a farm-in opportunity in the block in April 2019, with up to 47.5% interest available. The company is seeking suitable partners with financial and technical capabilities to participate in the development of the block (Apsara oil field). It is understood that the company intends to retain operatorship, given its expertise in developing small to mid-sized oil fields in the Gulf of Thailand.  KrisEnergy received approval for the development from the Cambodian government on 23 August 2017, obtaining a 25-year production license. The Apsara field will be the first petroleum development in the country.  The block will be developed through multiple phases. The Final Investment Decision (FID) for Phase 1 development was announced by KrisEnergy on 20 October 2017, with first oil targeted 24 months after the FID.  Phase 1, focusing on the Apsara area, is subdivided into three sub-phases (1A, 1B and 1C). The initial Phase 1A will consist of one wellhead platform and 20 development wells, producing approximately 8,000 bo/d. Phase 1B comprises three further platforms with 20 wells each, targeted onstream by 1H 2020. Peak production from phases 1A and 1B is expected to be 25,000 bo/d. The platforms will be tied back to an FSO.  Phase 1C will involve 3D seismic acquisition and new exploration drilling, and up to six potential new platforms, in case of positive results from the initial developments. The seismic acquisition is planned for 2019, covering approximately 1,200 sq km. The survey will improve existing seismic coverage and quality to define new prospect and leads, and will also support development planning and well design for the Apsara field.  Phase 2 and 3 will develop different areas in the western and southern part of the block, contingent to commercial success of Phase 1 and positive results from future exploration.  Block A is estimated to hold recoverable 2P reserves of approximately 55 MMbo, with approximately 10 MMbo recoverable from the initial stages of development (Phase 1A and Phase 1B). The block is estimated to contain upside potential of approximately 240 MMbo.  KrisEnergy is the operator of the block with 95% interest. The remaining 5% interest has been formally transferred to the Cambodian government, via the General Department of State Property and Non Tax of the Ministry of Economy and Finance.  For further information, interested parties may contact:    James Parkin    Vice President Exploration    james.parkin@krisenergy.com   or     Mike Whibley    Vice President Technical    mike.whibley@krisenergy.com    Background Information    Block A was officially awarded in 2002 to Chevron (70%, operator) and MOECO (30%). The contract block covers an area of 3,083 sq km over the Khmer Basin in the Gulf of Thailand, where water depths range from 50-80 meters.    In 2010, Singapore-based KrisEnergy Ltd, an independent oil and gas company acquired a 25% participating interest in block A from Chevron.     In November 2011, the former Cambodian petroleum regulator, Cambodian National Petroleum Authority (CNPA), notified the Block A joint venture of its intention to exercise its right to assume a 5% participating interest in the block.    On 11 August 2014, KrisEnergy acquired an additional 30%, plus operatorship, from Chevron, which exited the block. The transaction was valued at USD 65 million and subject to working capital adjustment. The other partners MOECO and GS Energy withdrew from the block in October 2016, leaving KrisEnergy as sole rightholder (pending the 5% transfer to Cambodian government).  A production permit application (PPA) for the Apsara discovery was initially submitted in 2010 and updated in 2012 by Chevron. A further updated PPA was submitted by KrisEnergy in November 2014.  As of December 2016, the PAA was still under review by Cambodian Ministry of Mines and Energy (MME). Likewise, negotiations between KrisEnergy and the MME were ongoing regarding the 5% interest transfer and the renegotiation of fiscal terms for the Block A contract.  On 23 August 2017, KrisEnergy signed a series of agreements with the Royal Government of Cambodia, including revisions of the Petroleum Agreement for the Block A PSC, and approval of the Block A development plan. The agreements also formalized the transfer of a 5% participating interest in Block A from KrisEnergy to Cambodian government.
KrisEnergy, operator of Block A, located in the Khmer Trough, offshore Cambodia, continued offering a farm-in opportunity in the block in April 2019, with up to 47.5% interest available. The company is seeking suitable partners with financial and technical capabilities to participate in the development of the block (Apsara oil field). It is understood that the company intends to retain operatorship, given its expertise in developing small to mid-sized oil fields in the Gulf of Thailand.