Mitra Energy of Malaysia and joint venture partner Total E&P Philippines B.V plan to conduct a 2D seismic acquisition program in the fourth quarter as part of preparations for drilling in South Sulu Sea.
Mitra Energy said in a statement a minimum of 1,000 kilometer of 2D seismic data and 2,000 square kilometers of high-resolution seabed data would be acquired in service contract 56 area “to evaluate the additional prospectively.”
Mitra holds a 25-percent interest in SC 56, in partnership with operator Total.
Four wells have previously been drilled on SC 56 by operator Exxon, resulting in the Dabakan and Palendag discoveries.
Total farmed into SC 56 in September 2012 and assumed a 75-percent interest, with Mitra remaining as operator.
Total on Aug. 28, 2014, formally confirmed its intention to drill an exploration well in the Halcon prospect.
“This well is expected to be drilled during third quarter of 2016, and in preparation for this, operatorship was transferred to Total effective Oct. 25, 2014,” Mitra said.
Total will carry Mitra’s 25-percent interest in the well up to a gross well cost of $75 million.
“The discovered and future gas resources are expected to be either sold via pipeline to Sabah [Malaysia] or via a floating liquefied natural gas facility to be operated by Total,” Mitra said.
The Energy Department last year approved an exploration period extension of five years from Aug. 31, 2015, resulting in a continuing exploration period until Sept. 1, 2020.
“In October of 2014 we have taken operatorship and now we are studying the development of the first well,” Fabien Colmet Daage, general manager of Total E&P Philippines, said earlier.
“We have more time to access the potential of the site…You all know that the probability of not finding is higher than the probability of finding… but we are not discouraged,” the official said.
“Total is back.. I said Total is back because in the 70s and until the early 80s Total was actually in exploration in the Philippines,” he said.
The official said new technologies would help Total and other exploration firms get access to oil and gas.