Vietnam Operations Update

RNS Number : 7298P

Soco International PLC

22 July 2010

 



SOCO International plc

('SOCO' or the 'Company')

Vietnam Operations Update

The Company has been informed by the Hoang Long Joint Operating Company, Operator of Block 16-1 in the Cuu Long Basin offshore Vietnam, that the jack up drilling rig PV Drilling-1, owned and operated by PV Drilling, has been secured to commence the first phase of the Te Giac Trang ('TGT') Field development and appraisal well drilling programme. The contract commitment is for seven wells with four six month extension options. The first well is scheduled to spud in mid August after the Phase 1 platform jacket and drilling deck have been installed. These units have now been loaded out onto barges and will be installed offshore over the next few weeks. The first phase of the development drilling programme will be continuous.

First oil from the TGTField is targeted for mid-2011 with production from this first phase of development expected to be approximately 50,000 barrels of oil per day ('BOPD').

Drilling of the Te Giac Den ('TGD') 2X appraisal well is continuing. The well is currently at approximately 3,761 metres and is setting an intermediate casing string.  With the difficulties encountered in the prior TGD drilling campaign and with safety being the paramount concern, this well has been designed with a very fundamental "belt and braces" approach. The well is now expected to reach total depth in mid-August.

The Ca Ngu Vang ('CNV') Field is currently producing at  approximately 11,000 barrels of oil equivalent per day ('BOEPD'), comprised of 7,500 BOPD and 20 million standard cubic feet of gas and gas liquids per day. The reservoir has reacted very well to the pressure maintenance programme initiated with the completion of the first water injector well drilled earlier this year. The Hoan Vu Joint Operating Company, operator of the CNV Field, is now considering drilling an additional producing well in Q4 2010 or Q2 2011 which would eventually beconverted to a water injector

22 July 2010

ENQUIRIES:

SOCO International plc

Roger Cagle, Deputy Chief Executive and Chief Financial Officer

Tel: [phone]

Pelham Bell Pottinger

James Henderson Tel: [phone]

Evgeniy Chuikov Tel: [phone]

NOTES TO EDITORS:

SOCO is an international oil and gas exploration and production company, headquartered in London, traded on the London Stock Exchange and a constituent of the FTSE 250 Index. The Company has interests in Vietnam, Thailand, the Republic of Congo (Brazzaville), the Democratic Republic of Congo (Kinshasa) and Angola, with production operations in Vietnam and Thailand.

SOCO holds its interests in Vietnam, all in the Cuu Long Basin offshore, through its 80% owned subsidiary SOCO Vietnam Ltd. ('SOCO Vietnam') and through its 100% ownership of OPECO Inc. SOCO Vietnam holds a 25% working interest in Block 9-2, which is operated by the Hoan Vu Joint Operating Company and holds a 28.5% working interest in Block 16-1, which is operated by the Hoang Long Joint Operating Company. OPECO Inc. holds a 2% interest in Block 16-1.

 

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