JX Nippon-led group makes oil find offshore Malaysia

Santos Ltd., a recent member of the JX Nippon Oil & Gas Exploration-led group in deepwater Block R offshore Sabah, Malaysia, has reported an oil discovery in the permit with the drilling of the Bestari-1 wildcat.

Preliminary findings from the well indicate a 70-m column of oil-bearing sands across multiple horizons, Santos said.

Santos acquired a 20% interest in the permit in February by taking 10% from each of Nippon and Inpex (OGJ Online, Feb. 2, 2015).

The block lies close to Murphy Oil’s existing Kikeh oil field and Shell’s Gumusut-Kakap oil field. Bestari-1 is the first of three wildcats planned for the permit early this year.

JX Nippon and Inpex now have 27.5% each, with Petronas 25% and Santos 20%.