Gas Discovery Offshore Vietnam
Eni, with partner Essar E&P, has appraised a large gas find with the Ken Bau-2X well in Block 114, offshore Vietnam. The well was drilled 2 km away from the discovery well Ken Bau-1X in 95m of water and reached a TD of 3,658m in July 2020. Gas pay in excess of 110m was logged in several intervals of Miocene sandstones. Eni carried out ‘mini’ DSTs as well as the usual logging and fluid samples. The results of these suggest initial in-place volumes of between 7 and 9 Tcfg, along with an impressive 400–500 MMb condensate. The 1X discovery well was reported to have TD’d early, due to technical problems, and deeper targets were due to be drilled, but the TD of the 2X well suggests it is only 52m deeper.
The partners intend to continue the appraisal drilling as far as possible, considering Covid-19 restrictions. The group also have a second prospect, Dan Day, they plan to drill in due course on the same block.
The discovery lies within the Song Hong Basin, and Eni also have 100% of Block 116 immediately to the south, where they are carrying out seismic surveys. Eni reports that Vietnam is experiencing increased gas demand, for both domestic consumption and GTP, and are planning LNG imports, so the discovery comes at a good time for both operator and host government.
Kris Energy, operator of the block east and adjacent to Block 115, might have expected a fillip in its fortunes with this news of nearby large gas reserves, but having suspended trading since August 2019 and entering into a 100% farmout on the block to an undisclosed company (possibly Eni), the firm may not benefit from this drilling campaign.