Australian – based Nido Petroleum Limited is looking to drill a new well at the Galoc Oil Field in offshore Palawan, which could extend the life of the oilfield, by the end of March.
Nido said that the drillship “Deepsea Metro I” is now mobilized from Labuan, Malaysia to the Galoc-7/7ST well location in Block C1 of Service Contract (SC) 14 in northwest Palawan.
“Nido will update the market once the rig arrives on location at Galoc-7/7ST and commences drilling operations which is expected to occur on 31 March 2017,” the Australian oil and gas company said.
In January, Galoc Production Company W.L.L – a subsidiary of Nido – has signed a binding rig contract with Golden Close Maritime Corp. Ltd for the drillship “Deepsea Metro I” in drilling a new appraisal well.
The contract will last around four to five weeks and will consist of a firm well and an optional side track.
The drilling operations could unlock the potential for extending the oil field life, Nido managing director Mike Fischer said.
The Galoc oil field is comprised of the producing Central Field Area and the undrilled northern extension Galoc Mid Area where the drilling of Galoc – 7 appraisal well is considered to determine contingent reserves.
The oil field showed promise for expansion in 2019 after an independent assessment by the ODIN Reservoir Consultants Pty Ltd in August 2016, an update to the previous work of Gaffney Cline & Associates.
According to Odin’s study, the Galoc Field is estimated to contain contingent resources of as low estimate (1C), 13.3 MMstb as best estimate (2C) and as highest estimate (3C).
Other partners in the consortium include Galco Production Company No. 2 Pte Ltd., Oriental Petroleum & Minerals Corp. and Linapacan Oil Gas & Power Corp., Philodrill Corp., and Forum Energy Philippines Corp.