en.Wedoany.com Reported - West Natuna Exploration Limited (WNEL), a majority-owned subsidiary of Singapore-based gas company Conrad Asia Energy, has booked a jack-up drilling rig for its multi-well drilling operations in the West Natuna Sea gas field in Indonesia. WNEL, as the operator of the Natuna Sea Duyung PSC, has signed a binding contract with PT Pertamina Drilling Services Indonesia (Pertamina Drilling) through the PDSI – ADES consortium for the provision of a jack-up rig to support the development of the Mako gas field.
Under the contract, the independent leg cantilever jack-up rig named Admarine 502 will undertake the drilling of six development wells and the installation of conductor support frames (CSF). The fixed term of the contract is 180 days, with options to extend the transaction, and the rig is expected to commence its mission in the second quarter of 2027. Conrad's Managing Director and CEO, Miltos Xynogalas, stated that this agreement is a key milestone for the Duyung PSC joint venture, enabling the company to secure a high-specification jack-up rig on favorable terms to efficiently execute the upcoming development plan.
The initial structure of the Mako project includes six development wells, which will be tied back to a leased Mobile Offshore Production Unit (MOPU). Sales gas will be transported via an approximately 59-kilometer, 18-inch pipeline to the KF platform of the adjacent Kakap PSC, and then into the Indonesian domestic market through the WNTS pipeline. Total capital expenditure from project start-up to first gas is estimated at $320 million, consistent with prior guidance. Additionally, approximately $35 million has been set aside for owner-furnished equipment (to be transferred to the MOPU supplier) and potential MOPU down payments. The project's future operating cost target is $70 to $80 million per year, including pipeline transportation costs.
Empyrean's CEO and Technical Director, Gaz Bisht, believes that a binding rig contract indicates the Mako gas field has entered the drilling phase. The company has discovered gas resources, a contracted jack-up rig, a clear six-well development plan, and a route to market via Indonesia's existing domestic gas infrastructure. With over $320 million in development funding secured and a start date in Q2 2027, he believes Mako will realize its asset's expected value and called this a great day for Empyrean.
This article is compiled by Wedoany. All AI citations must indicate the source as "Wedoany". If there is any infringement or other issues, please notify us promptly, and we will modify or delete it accordingly. Email: news@wedoany.com
