May 13 - Neon Energy Limited Announces Rig Secured for Vietnam Block 105

Source Press Release
Company Neon Energy LimitedENI S.p.A. 
Tags Service Contracts, Exploration, Upstream Activities
Date May 07, 2013

Neon Energy Limited is pleased to announce that the Ensco 107 jack-up rig has  been contracted to drill the Cua Lo prospect in the Company’s offshore Vietnam Block 105110/04.

Drilling is scheduled to commence during June 2013, with exact timing subject to rig release by the previous Operator, Mitra Energy. Pursuant to the terms of the farmout agreement with Eni Vietnam B.V., Neon will be carried through the drilling of the Cua Lo well up to a gross cost cap of US$25 million. Any costs in excess of the cost cap will be paid by the parties in accordance with their respective working interests.

Interpretation and analysis of the 3D seismic data over the Cua Lo prospect is nearly complete, and the joint venture is finalising the precise location of the exploration well based on the results. Cua Lo has excellent potential for gas pay at multiple levels within an extensive submarine clastic depositional system. The seismic data exhibits attribute characteristics, commonly referred to as Direct Hydrocarbon Indicators (DHIs), which are often indicative of the presence of hydrocarbons. These include anomalous seismic amplitudes and Amplitude vs Offset anomalies.

In May 2011 Netherland Sewell & Associates Inc. completed a Prospective Resource Assessment* of Block 105, confirming gross unrisked prospective recoverable resources forCua Lo of 3.9 TCF gas (best estimate) to 13.9 TCF gas (high estimate). Neon will update the market regarding the prospectivity of Block 105 when its seismic interpretation and analysis is complete, expected shortly.

Source: EvaluateEnergy® ©2022 EvaluateEnergy Ltd