Petronas Carigali plugged and abandoned wildcat Shwesitaw 1 in block IOR-7, located onshore in the Pyay Embayment (Central Burma Basin), as a dry well, around late January 2019. It is understood that a stuck pipe incident occurred during drilling, causing the loss of logging tools. By late December 2018, the well was being drilled at a depth of approximately 2,500 m, having exceeded the reported PTD of 2,450 m.  The well was possibly targeting multiple sandstone intervals of the Lower Miocene Pyawbwe Formation and Middle Miocene Kyaukkok and Obogon formations. Elite Drilling is the drilling contractor for the well, using the âE-09â rig.  Shwesitaw 1 was spudded on 4 November 2018. An official spud-in ceremony was held for the occasion, with attendance by Myanmar Minister of Electricity and Energy, regional government officials and PSC representatives. Petronas initially estimated approximately one month to complete drilling operations at Shwesitaw 1. In case of successful drilling, the operator planned to conduct a testing campaign at a later stage, using a different rig. The drilling location was likely matured following the interpretation of approximately 140 sq km of 3D seismic data acquired in 2016.  Shwesitaw 1 is the first of a two-well drilling campaign in the block, with both wells planned to be drilled from a single well pad location.  Petronas Carigali is the operator (82.25% interest) for block IOR-7, with partners PetroleumBrunei (5%) and local company UNOG Pte Ltd (12.75%).    IOR-7 contains the Shwepyitha field in which the primary reservoir is within Miocene sandstones of the Obogon Formation. As of 2015, the field was producing approximately 145 bc/d and 0.8 MMcfg/d. It is understood that around April 2017, Petronas commenced a pilot project to increase production from the field.    The contract for block IOR-7, together with IOR-5, was signed between Petronas and MOGE in mid-September 2014. Block IOR-5 is governed by conventional Production Sharing Contract while IOR-7, which contains the Shwephyitha gas field, is under the Improved Petroleum Recovery Contract. The award was part of the 2013 Onshore Myanmar Bid Round, which was launched in January 2013 and the result was announced in October the same year.    Background Information    On 17 January 2013, the Ministry of Energy of the Republic of the Union of Myanmar announced the Second Onshore Bidding Round 2013 with 18 blocks offered. A total of 15 of the 18 blocks were offered as Production Sharing Contracts (PSC), while the other 3 blocks were offered as Improved Petroleum Recovery (IPR) contracts. The Invitation of Sealed Bids for Petroleum Operations for Onshore Areas was closed 60 days after date of announcement, which was on 17 March 2013.    Block IOR-7, covering 246 sq km, is located in the Shwepyitha area, some 170 km north-northwest of Yangon. The block contains the Shwepyitha gas and condensate field, discovered in 1968 by Peoples Oil Industry. The Shwepyitha 01 well flowed 5 MMcfg/d from Middle Miocene sandstones. The main reservoir in the field is represented by the Obogon Formation, buried at a depth of approximately 1,200 m. The field structure is a northwest-southeast trending anticline, following the regional trend.    Field production commenced in November 1968, but reservoir pressure dropped rapidly and the field was temporarily shut-in in 1971. It was subsequently brought onstream again and the gas was supplied to cement mills and a methanol plant. MOGE conducted further exploration drilling in the field in 1991-1992, with at least two successful appraisal wells and one dry well.    The field was producing at rates of 1 MMcfg/d and 400 bo/d in 2006. Cumulative production as of end-2006 was 100 Bcfg and over 3 MMbc. Total recoverable reserves from the field have been estimated at 120 Bcfg and 4 MMbc (2007).    The last known development drilling activity in the field was conducted by MOGE in May 2011 with the completion of one well.
Petronas Carigali plugged and abandoned wildcat Shwesitaw 1 in block IOR-7, located onshore in the Pyay Embayment (Central Burma Basin), as a dry well,