Sunwing Energy Ltd. has spudded the first exploratory well on Block XVI in the Kherulen subbasin of the Nyalga basin in Mongolia 100 km southeast of Ulaanbaatar.
The N16-1E-1A well is projected to 2,500 m as an oil test on a 32 sq km structure. Daqing Exploration Co., which has the drilling contract, has drilled to 437 m and cemented surface casing.
The 12,679 sq km block contains parts of several subbasins. Sunwing, a subsidiary of Ivanhoe Energy Inc., Calgary, plans to drill a second exploratory well on a separate structure and has an option to drill as many as three more wildcats.

Alan Petzet | Chief Editor Exploration
Alan Petzet is Chief Editor-Exploration of Oil & Gas Journal in Houston. He is editor of the Weekly E&D Newsletter, emailed to OGJ subscribers, and a regular contributor to the OGJ Online subscriber website.
Petzet joined OGJ in 1981 after 13 years in the Tulsa World business-oil department. He was named OGJ Exploration Editor in 1990. A native of Tulsa, he has a BA in journalism from the University of Tulsa.