Asia-focused natural gas exploration and development company Conrad Asia Energy Ltd has completed its first assessment of the prospective resources in its two production sharing contracts (PSCs) in Aceh, Indonesia.
The Offshore North West Aceh (Meulaboh) and Offshore South West Aceh (Singkil) PSCs have shown promising potential for natural gas resources.
The company has identified 38 leads in the two PSCs, with a combined prospective resource exceeding 15 trillion cubic feet (Tcf) of recoverable gas (100 per cent P50) — and approximately 11 Tcf (P50) of these resources are net attributable to Conrad.
Four of these leads individually possess over one Tcf of recoverable gas (100 per cent of P50).
Seismic studies have revealed the presence of direct hydrocarbon indicators (DHIs) — including gas chimneys, in many leads.
The leads are situated 20 to 60 kilometres offshore, in water depths ranging from less than 100 metres to over 1000 metres.
Conrad has made four gas discoveries in the shallower water areas of the same PSCs, confirming the existence of a working petroleum system.
These areas hold an estimated gross 2C contingent resource of 214 billion cubic feet (Bcf) of sales gas, with 161 Bcf net attributable to Conrad and an independently assessed net present value (NPV) of US$88 million.
Conrad plans to conduct a 3D seismic survey and 2D seismic reprocessing in the shallow-water areas, with resource estimates and success chances to be provided subsequently.
ONWA and OSWA offer higher contractor takes than the Indonesian default, which presents attractive fiscal terms for commercial development.
Conrad Managing Director and Chief Executive Officer Miltos Xynogalas said: “The ONWA & OSWA PSCs continue to evolve into a major project area for Conrad.
“The CPRs of the discovered resources in the shallower waters increased Conrad’s net 2C contingent resources by 75 per cent (increased from 215 Bcf to 376 Bcf) and now the world-class deeper water exploratory potential has added an enormous quantum of prospective upside.“