Phillips announces fourth successful well; drilling continues on large anticline in China’s Bohai Bay

Petroleum News Alaska

Phillips Petroleum Co. said Nov. 10 that Phillips China Inc. has drilled and tested a fourth successful well on a large anticline in block 11/05 of China’s Bohai Bay.

The PL 19-3-5 appraisal well was drilled to a total depth of 6,094 feet and encountered a gross pay interval of 850 feet, with approximately 260 feet of net pay in the Minghuazhen and Guantao formations. The company drilled the well in a previously untested fault block on the western flank of the PL 19-3 field, nearly two miles from the PL 19-3-1 discovery well.

Phillips conducted two limited interval drill-stem tests in the well to evaluate differing sand packages for deliverability and hydrocarbon properties. The first test, conducted in a poorer quality, thinly bedded (sand/shale) section, produced at a rate of approximately 50 barrels of oil per day of 13-degree API oil. The second drill-stem test produced at a rate of 505 barrels per day of 17-degree API oil.

“The PL 19-3-5 well results are consistent with our pre-drill interpretation and establish the presence of oil on the field’s western flank fault block, in an area with the same oil-water contact as we have found in previous wells,” said Mike Coffelt, vice president of worldwide exploration. “This will add to the 400 million barrel reserves estimate we released last month for the field. We continue to be encouraged by the results of our appraisal program.”

Immediate plans are to drill three additional appraisal wells on the PL 19-3 field, utilizing two drilling rigs, to delineate the productive area of the southern portion of this large feature.

Phillips, in cooperation with China National Offshore Oil Corp., has begun surface and subsurface conceptual studies of the PL 19-3 field to evaluate development alternatives.