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Santos Group Announces New Indonesian Gas Discovery

Santos (Madura Offshore) Pty Ltd, as Operator of the Madura Offshore PSC situated southeast of Madura Island, East Java, announces a new gas discovery resulting from the Maleo-1 wildcat exploration well. Maleo-1, drilled on the flank of a large four-way dip structure, encountered a 48 metre gross gas column between 555 metres and 603 metres in the Early Pliocene Mundu Formation limestone. The reservoir is well developed and net pay is in excess of 95%.

Cased hole flow testing of Maleo-1 is currently being conducted. The well has been cased and perforated and is currently on clean-up flow.

Santos’ Managing Director, Mr John Ellice-Flint said “The Maleo discovery is well situated, approximately 7 kilometres from existing gas pipeline infrastructure supplying Surabaya, enhancing the chances of commerciality. Further appraisal activity is required to determine the resource potential of this discovery.”

Drilling of the Maleo-1 well follows the Oyong gas and oil discovery made in the Sampang PSC in August 2001 and the subsequent farm-in to the Madura Offshore PSC. Santos contributed 100% of the dry hole cost of the well to earn a 75% interest in the Madura Offshore PSC.

Maleo-1 is located approximately 140 kilometres east of Surabaya in 58 metres of water.

All reported depths are referenced to the drilling rig floor.

Participants in the Madura Offshore PSC are:

  • Santos (Madura Offshore) Pty Ltd 75% (Operator)
  • Talisman (Madura) Ltd 25%