Bass Oil Limited (ASX:BAS), an Australian-listed oil producer holding a majority interest in eight permits in the Cooper Basin and a 55% interest in a South Sumatra Basin KSO, has announced it has received approval from the Indonesian Regulator to award the drilling contract for the Bunian 6 oil development well. The selected rig, currently under contract to Pertamina EP, is anticipated to move to the Bunian 6 well location and commence drilling operations in May. All materials required for the drilling and completion of the well are already present on site.
The Bunian 6 well represents the final component of the firm work program commitment for the permit. Bass Oil operates and holds a 55% interest in the permit (KSO), which includes the Bunian oil field. Currently, the KSO produces 250 barrels of oil per day (bopd). Bunian 6 is projected to add an additional 500 bopd to production once it is online. The well is located southwest of the Bunian 3 well, which has produced over 1.2 million barrels of oil to date.
Bass Oil Managing Director, Tino Guglielmo, commented on the approval, stating, “We have been eagerly awaiting the approval to drill this well as it is expected to materially boost oil production, this, at a time of elevated oil prices. The well is expected online by mid-year as the flowline to site has already been installed and tested.” Further information regarding the well will be released prior to spudding.
Updates on the progress of the Bunian 6 well will be provided before drilling commences. The successful execution of this project is expected to significantly increase Bass Oil’s production capacity and revenue.
