Exxon gas reserves expected to increase

THE ExxonMobil gas reserves are set to increase with an expected reservoir encountered in the drilling of P’nyang South-2 well in Western.
The drilling results were being evaluated and the resource potential would be developed in collaboration with joint venture partners, said Exxonmobil Development Company president Liam Mallon.
“We are currently evaluating the well results and together with our co-venture partners will assess the P’nyang field resource potential and development pathway,” he said.
“We will work with the government of Papua New Guinea as we undertake this work.”
Mallon said the well was safely drilled to 8940 feet (2725 metres), reaching high-quality, hydrocarbon-bearing reservoirs in the Toro and Digimu sandstones, consistent with pre-drilling expectations.
The well confirms the southeast extension of the field.
“When combined with our acquisition of InterOil Corporation, the increase in assessed reserves at Hides in the existing PNG LNG project and our recent Muruk discovery, this adds to our rapidly growing inventory of low-cost supply of natural gas in Papua New Guinea,” he said.
“We are continuing with our active onshore and offshore exploration programme in an effort to provide additional resources to expand existing and planned development projects.”
Oil Search began drilling the P’nyang South-2 well last October.
The well is located in Petroleum Retention Licence 3, which covers 425 square kilometres.
ExxonMobil affiliates operate the licence with a 49 per cent interest in the block.