Ophir Energy is to commission 2D and 3D seismic with a view to drilling on 2016-17 on four deepwater production sharing contracts (PSCs) in Indonesia it has now acquired from Niko Resources.
The PSCs, all in two core areas in Eastern Indonesia - West Papua and the Western Birds Head - are West Papua IV, Aru, Kofiau and Halmahera-Kofiau, all of which will be operated by Ophir now the deal has completed.
Ophir is also in the process of completing the acquisition from Niko of two additional PSCs – North Makassar Strait and North Ganal; a further update on these will be provided in due course. Ophir has separately decided that it will no longer be proceeding with the acquisition of the Obi PSC.
Nick Cooper, CEO, Ophir Energy, commented: “The addition of these blocks significantly expands Ophir’s exploration portfolio. This new acreage demonstrates the key characteristics of our exploration strategy: (i) low entry costs without drilling commitments, (ii) attractive economics at US$50/bbl.
These elements support a careful countercyclical investment in exploration at this stage of the commodity cycle. Ophir will now commission 2D and 3D seismic acquisition program on these blocks as we look to build our prospect inventory for high grading and then drilling in 2016-2017.”
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