Nido Petroleum Ltd. starts evaluation of project expansion

Nido Petroleum Ltd. starts evaluation of project expansion

Australian oil and gas firm Nido Petroleum Ltd. has begun the evaluation of a possible expansion its project in the Galoc oil field following the completion of the drilling of a second well.

Nido said the drillship Deepsea Metro I met the depth target in the Galoc Clastic Unit reservoir interval, and is now in the process of plugging and abandoning the Galoc-7ST-1 in the Galoc Central Field Area.

Preliminary data revealed the reservoir unit has hydrocarbons, Nido said in a disclosure to the Australian Stock Exchange. Hydrocarbons signify the presence of a petroleum system in the area.

“At this stage the Galoc-7ST-1 well results, in combination with the Galoc-7 results, are being evaluated by the Company and the results of both wells will be incorporated into the relevant sub-surface models to assess the commerciality of a potential Phase III development,” the firm said.

Last month, Nido finished its drilling works at the Galoc Clastic Unit reservoir and found hydrocarbons and water. However, these results were inconclusive, they said.

As Galoc’s operator, Nido holds a combined 55.88 percent participating interest in Block C1 of SC 14 through its subsidiaries Nido Production (Galoc) Pty Ltd and Galoc Production Company WLL.

Other members of the consortium are the Galoc Production Company No. 2 Pte. Ltd. with a 26.84 percent share; Oriental Petroleum & Minerals Corp. and Linapacan Oil Gas & Power Corp. with 7.79 percent; Philodrill Corp. also with 7.79 percent, and Forum Energy Philippines Corp. holding 2.28 percent.

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