New Zealand Oil & Gas subsidiary, Cue Energy Resources, has announced a new gas field discovery at the Paus Biru-1 exploration well offshore East Java in the Madura Strait, Indonesia.

An initial Drill Stem Test (DST) undertaken over the 576-605 mMD interval flowed gas at a rate of 11.2 MMscfd sustained over a 5 hour period through a 64/64” choke at 525 psia well head pressure. The well was then shut in for 9 days for pressure build up before a maximum flow test which produced 13.8 MMscfd through a 120/64” choke for 55 minutes. Preliminary gas sample analysis indicates low inert content.

Paus Biru-1 is located in the Sampang PSC approximately twenty seven kilometres east of the producing Oyong Gas Field. The well was drilled as an exploration well to a total measured depth of 710 metres and intersected estimated net gas pay of 29 metres across the primary Mundu Limestone Globigerina reservoir target.

A plan of development with commercialisation through the existing Oyong facilities will now be prepared for submission to the regulator for approval.

The well is currently being plugged and abandoned as planned.

Participants in the Sampang PSC Indonesia, are Santos (Sampang) Pty Ltd (An Ophir Energy Group company) 45% (Operator); Singapore Petroleum Sampang Ltd 40% and Cue Sampang Pty Ltd 15%.