Drilling/Production news briefs, May 21

May 21, 2001
Esenjay Exploration ... Woodside Energy ... Apache ... Phillips Petroleum ... Chiles Offshore ... Diamond Offshore Drilling ... Hydril ... Unit


Esenjay Exploration Inc., Corpus Christi, Tex., said its Runnells No. 5 well in Matagorda County, Tex., which blew out May 12, has been capped and is under control. Esenjay is evaluating the well.

Woodside Energy Ltd., Perth, and its partners are producing 25,000 b/d of oil from the initial production well at Legendre field in the Carnarvon basin off Northwest Australia, said field partner Apache Corp., Houston. Apache expects the field's production to reach approximately 40,000 b/d in the third quarter as additional production wells are brought on stream.

Phillips Petroleum Co. has awarded Chiles Offshore Inc., Houston, a 600-day, $60 million contract for the use of the Chiles Discovery jack up, now under construction at Keppel FELS shipyard in Singapore. The jack up will be delivered in the second quarter 2002 and will begin work by end June 2002 on the Bayu Undan gas recycle project, in Area A of the Timor Gap Zone of Cooperation between Australia and East Timor.

A subsidiary of Diamond Offshore Drilling Inc., Houston, has awarded Hydril Co., Houston, an $11 million order for a blowout preventer multiplex control system. Hydril will deliver in fourth quarter 2002.

Unit Corp., Tulsa, has acquired three drilling rigs, bringing its fleet to 55. Unit said demand remains strong and day rates are rising. Unit bought two of the rigs for $6.5 million combined, and the third for $1.4 million.