Sound Oil PLC
14 May 2007
14 May 2007
SOUND OIL PLC
INCIDENT AT PASUNDAN-1 DRILLING SITE
Sound Oil plc (AIM:SOU) is a participant (through its wholly owned subsidiary
Mitra Energia Citarum Limited) as a 20% shareholder in BPREC, the operating
company (the "Operator") that is drilling the Pasundan-1 exploration well,
located approximately 50 km southeast of Jakarta, Java, Indonesia.
On 12 May 2007 at 0645 (Indonesian Western Time, 0030 BST) an incident occurred
on the Pasundan-1 drilling rig that led to cessation of drilling activities.
While operating below the 30-inch conductor, damage occurred to surface
facilities of the rig caused by uncontrolled movement of equipment. There were
no injuries to any personnel on the rig or the wellsite, downhole conditions
remained stable and there was no impact on the environment.
Currently the Operator is dealing with the incident according to its agreed
accident investigation procedures and is preparing the necessary report to
BPMigas, the regulatory authority. A full inspection of the damage to the rig
and an estimate of repairs are being undertaken. The Operator's preliminary
estimate is that repairs will take approximately 10 days. During this period
BPREC will not be liable for rig contract costs.
Gerry Orbell, Chairman of Sound Oil commented, "This incident is an unfortunate
start to the drilling of Pasundan No 1 but at least no one was hurt. Apart from
the delay, the incremental cost of this incident to Sound Oil is expected to be
minimal".
Contacts
Gerry Orbell, Sound Oil plc
Tel +44 (0) 7903 861145
Azhic Basirov/David Jones, Smith & Williamson Corporate Finance Limited
Tel: +44 (0) 207 131 4000
Tim Thompson/Nick Melson, Buchanan Communications
Tel +44 (0) 207 466 5000
This information is provided by RNS
The company news service from the London Stock Exchange
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