JX Nippon Oil & Gas Exploration Corp. announced an oil discovery in the deepwater Block R offshore Malaysia, the company said April 7.
Wireline and formation pressure tools confirmed about 70 m of total net oil pay in primary target Miocene-aged formation. Preliminary wireline evaluation highlighted good reservoir properties, JX Nippon added.
Reservoir depth ranges from 1,860 m to 2,702 m below sea level.
Block R’s surface area is about 672 sq km, and it is in about 100 m to 1,400 m of water. JX Nippon is increased its presence in Malaysia, the company added.
The Bestari-1 well is the first of three commitment wells in the block’s production sharing agreement, signed Jan. 17, 2012, with JX Nippon holding a 27.5% interest as operator.
Partners in the project include Inpex Offshore South West Sabah Ltd., with a 27.5% interest, Petronas Carigali Sdn Bhd., with a 25% interest and Santos Sabah Block R Ltd., with a 20% interest.
Tokyo-based JX Nippon is listed as JX Nippon Oil & Gas Exploration (Deepwater Sabah) Ltd. in the project summary.
Bahrain’s state-owned Tatweer Petroleum said it would sign agreements within a few weeks with Italian oil major Eni and Japan’s JX Nippon to develop the Bahrain Field.
Egypt expects investments of at least $750 million to $800 million in the first stage of exploration in the 12 concessions, Petroleum Minister Tarek El Molla said during a press conference.
Originally due to come on stream in 2017 and with an estimated 300 million barrels of recoverable reserves, the 4.5 billion pound (US$5.9 billion) project has been plagued by delays.