SINGAPORE (Yosefardi) – Ramba Energy Limited has on January 22, 2014 commenced well testing at the Akatara-2 appraisal well at the Lemang block, located in South Sumatra, Indonesia.
The objective of the current well testing is to further prove up the Akatara structure for potential additional hydrocarbon resources. This decision followed the Company’s initial discovery at the Akatara-2 well (which was announced on 28 August 2013) in which the Company had drilled to 7,090 feet MD (6288’ TVD) and encountered potential reservoir layers.
The Akatara-2 well is the third well at the Lemang block drilled and tested by the Company, having successfully encountered hydrocarbon resources in previous exploration and appraisal drilling at the Lemang block.
On 28 December 2012, the Company announced the successful discovery at the Selong-1 exploration well, in which the Company encountered 222 feet of gross pay, with initial flow rates of 790 barrels of oil per day (bopd) and 16.8 million standard cubic feet of gas per day (mmscfd).
On 6 May 2013, the Company announced the successful discovery at the Akatara-1 exploration well, encountering 274 feet of gross pay, with initial flow rates of 11.0 mmscfd and 380 barrels of condensate per day.
The Company is currently testing flow rates of the potential layers encountered in the initial appraisal drilling at the Akatara-2 well. The Company expects to take approximately 30 days in total to complete well testing.
With the test results from the Selong-1 and Akatara-1 exploration wells, the Government of Indonesia has mandated that the Company transitions from its exploration work program to the plan of development (POD) in preparation for commencement of commercial production (COCP) at the Lemang block.
Ramba, through its local subsidiary, PT Hexindo Gemilang Jaya, holds a 51 percent working
interest in the Lemang block.
Oil and gas exploration is an expensive, high-risk operation. Shareholders are therefore asked to exercise caution when dealing in shares of the Company, and should consult their legal, financial tax and other professional advisers if they have any doubt as to the action to take.