(Source: Datamonitor)
Newfield Exploration Company has announced its second drilling success on Block 16/05, located in the Pearl River Mouth Basin in South China Sea. The LF 7-1 well, located in approximately 350ft of water, was drilled to a total depth of nearly 10,000ft and encountered more than 75m of high-quality oil pay in multiple sands.
The LF 7-1 well tested a single zone at 6,000 barrels of oil per day, which was the maximum limit of the test equipment on location. The well was drilled to test a downthrown anticline and was an offset to Newfield's 2008 oil discovery, the LF 7-2.
William Schneider, vice president of onshore Gulf Coast and international at Newfield Exploration, said: "Our two successes on Block 16/05 confirm that we have a commercial oil development with considerable running room. We estimate that the gross reserves associated with our two discoveries to date are in excess of 30 million barrels.
"This development will provide significant new oil production for Newfield beginning in 2012. We are very encouraged by this discovery and its implications for our remaining prospects on this block and we expect an active drilling campaign here over the next several years."
A service of YellowBrix, Inc.
