By the OGJ Online Staff
HOUSTON, Feb. 21�Phillips China Inc. plans to develop its Peng Lai 25-6 discovery in China's Bohai Bay as a satellite to its Peng Lai 19-3 field.
Phillips recently confirmed the Peng Lai 25-6 find, 3 miles east of Peng Lai 19-3. The 25-6-2 well, in 75 ft of water, found 354 ft of net pay in the Guantao. It was drilled to 5,853 ft TD.
A drillstem test over a 79-ft interval with 43 ft of net pay flowed 21�-gravity oil at a stabilized rate of 425 b/d through a 24/64-in. choke with flowing wellhead pressure of 180 psi.
The appraisal well was 1 mile south of the field's discovery well, which found a gross hydrocarbon column of 1,493 ft with 377 ft of net pay in the Guantao.
"With this successful appraisal, we can move forward to evaluate developing this satellite field in conjunction with Phase II of the planned PL 19-3 development," said Dodd DeCamp, senior vice-president of worldwide exploration.
The first phase of PL 19-3 will come on stream in the first half of 2002 at 35,000-40,000 b/d, with half of that net to Phillips. The second phase, due on stream in 2005, will generate peak production of 120,000-150,000 b/d, to which Phillips may add production from PL 25-6.
Phase I of the Peng Lai 19-3 development will come from a wellhead platform and a floating production, storage, and offloading vessel. Phillips is continuing feasibility planning and design for Phase II.
Phillips plans more exploration wells in Bohai Bay in 2001. It is continuing commercialization studies of other discoveries with China National Offshore Oil Corp. (CNOOC).
Phillips has 100% of the 2.3 million-acre Block 11/05 which holds the Peng Lai fields. CNOOC can acquire up to 51% interest in any development and has opted to do so for the Peng Lai 19-3 Phase I development (OGJ Online, Dec. 1, 2000).