DRILLING

Cue on sidelines as Santos appraises Jeruk

Santos, has spudded the Jeruk-1 follow up well Jeruk-2 in the Sampang PSC, offshore East Java, 35...

The Jeruk -2 well is planned to a total depth of 5300m to evaluate the carbonate objective tested by Jeruk-1.

Jeruk-1 was drilled on a sole risk by Santos after partner Cue declined to join the well. Cue has also declined participate in the drilling of Jeruk-2 due to the substantial cost of the well to Cue and the risked potential of the Jeruk structure.

Cue has however retained its right to participate in any Jeruk development subject to sole risk premiums based on its share of the costs of the both wells.

Participants in the Sampang PSC are Cue Sampang 15%, Santos (Sampang) 45% (Operator) and Coastal Indonesia Sampang (El Paso) 40%.

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