First oil flows from Hibiscus’ North Sabah infill well

Malaysian operator Hibiscus Petroleum has achieved first oil in the North Sabah PSC located offshore Malaysia.

Hibiscus said on Wednesday that its subsidiary, SEA Hibiscus, drilled and completed the SJ‐105A infill well on July 16, 2019.

The well is the first of three infill wells being drilled as part of the St. Joseph infill drilling project in Malaysia under the 2011 North Sabah Enhanced Oil Recovery Production Sharing Contract (North Sabah PSC).

The SJ‐105A wellbore was drilled as a horizontal well consisting of approximately 2,400 feet of the horizontal section which encountered approximately 1,000 feet of oil in the targeted reservoirs of the St. Joseph oil field.

The well was subsequently brought online and achieved a stabilized production flowrate of slightly above 1,000 barrels of oil per day, with 0% watercut, exceeding expectations.

It is worth noting that SEA Hibiscus received the approval from Petronas for the St. Joseph infill drilling project field development plan on December 21, 2018.

The project entails the drilling of three infill wells intended to increase the total oil production rate and reserves of the field.

The St. Joseph infill drilling project is a production enhancement project which, together with the South Furious 30 (SF30) infill drilling project and SF30 early water injection project, is part of a seven‐well campaign being executed under the North Sabah PSC in 2019.

Two more oil production wells are currently being drilled at the St. Joseph oil field, which will be followed by three new oil production wells and one water injection well in the SF30 oil field.

To remind, SEA Hibiscus assumed operatorship of the North Sabah PSC on March 31, 2018, as a 50-50 joint venture with Petronas.

The North Sabah PSC consists of St Joseph, South Furious, SF30, and Barton fields offshore Malaysia, which collectively produce to the Labuan crude oil terminal.

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