Bass Oil Limited reported in end-April 2018 that the company continues to evaluate near-production assets in the onshore South Sumatra area, particularly those near to existing production facilities, to add to its current oil producing asset portfolio, in 2018.    As of late June 2017, the company had signed confidentiality agreements with several potential counterparts, and three opportunities had been identified for detailed due diligence.  Bass Oilâs strategy is aimed at acquiring low cost, value-accreting assets, in the vicinity of the Tangai Sukananti KSO which the company acquired from Cooper Energy in February 2017. Bass intends to leverage on the existing expertise and infrastructure at Tangai Sukananti to fuel further growth in the area.  In the Tangai Sukananti KSO, Bass plans to drill two development wells in Q3 2017. Work done on development and optimization in the block by the company has resulted in identification of two potential wells which could possibly add up the production rate by another 350 bo/d. As of early June 2017, production rate stood at approximately 600 bo/d. According to the operator, approximately 45% of reserves in the block remain undeveloped.  Bass Oil holds 55% operating interest in the Tangai Sukananti KSO. Mega Adhyaksa Pratama holds the remaining 45% stake.  On 13 February 2017, Bass Strait Oil Company received shareholdersâ approval for the acquisition of Cooper Energyâs stake in the Tangai Sukananti KSO, located in the onshore South Sumatra Basin. This was the final condition precedent to the completion of the deal. The sale was retroactive with effect from 1 October 2016.    Background Information    Bass Oil Limited (formerly Bass Strait Oil Company) is an ASX-listed company, initially focused on the southeast Australia region. With the acquisition of the Tangai Sukananti KSO, the company made its entry in Southeast Asian E&P business, also looking at additional opportunities for low-cost, low-risk opportunities in the region.    The award of the block, which involves the operation and development of the Sukananti, Tangai and Bunian oil fields, was announced on 25 March 2010. Cooper targeted to recover an additional 1 MMbbl of oil from the three fields which have produced around 1.08 MMbbl. Signature bonus for the contract amounted to USD 861,888 and commitments include acquisition of 24 sq km of 3D seismic data, drilling of one development well, workover of three existing wells and upgrading some of the infrastructures. Estimated cost for the commitments is USD 6.8 million.    Cooper Energy announced in late April 2010 that it had given Mega Adhyaksa Pratama (MAP) an option to increase its stake in the Sukananti KSO from 10% to 45% by payment of back costs. Cooper initially had a 90% interest in the block.    The Tangai field was discovered in 1992 and produced gas oil, gas and condensate from the Upper Oligocene to Lower Miocene sandstones of the Talang Akar Formation. The field commenced production in 1993 and ceased production in 1998. A total of 367,000 bbl of oil and 1.9 Bcfg were produced. The field has 2P recoverable reserves estimated at 570,000 bbl of oil, 2.9 Bcfg and 17,000 bbl of condensate.     The Sukananti field was discovered in 1996 with hydrocarbons encountered in the Talang Akar Formation. The discovery well was placed on production trial from 1998 to 2002 and it produced a total of 35,000 bbl of oil and 25 Mcfg. The field has 2P recoverable reserves of around 77,000 bbl of oil and 119 Mcf of gas.
Indonesia, Tangai Sukananti KSO