Location Map
Carnarvon’s principal assets are the producing fields in the L44/43 and SW1A licences in the Phetchabun Basin onshore Thailand.
L44/43, SW1A & L33/43
A total of 25 wells were drilled in the SW1A permits, during the 2008/2009 financial year, resulting in 17 commercial oil production / testing wells, delineation of one new oil field, and several new oil pools. The remaining eight wells all contained promising oil shows and several have sidetrack potential.
A production license and environmental approval has been granted over the Na Sanun East (“NSE”) oil field allowing field development drilling to commence.
Exploration drilling in the northern exploration block L33/43 failed to intersect commercial volumes of hydrocarbons. However, the L44-W oil discovery, in the north eastern corner of L44/43, is interpreted to spill over into the southern end of L33/43. Appraisal drilling of the L44-W oil discovery is anticipated in both concessions over the next 12 months.
L20/50
Carnarvon, and partner Sun Resources, were granted the L20/50 exploration concession in January of 2007. The L20/50 concession is situated approximately 30 kms to the southeast and on trend with the largest onshore oil field in Thailand at Sirikit. The permit is around 60 km to the west of Carnarvon’s 40% owned Phetchabun Basin producing assets. The concession covers around 4,000 km2 and is lightly explored. Around 1,000 km of 1980’s vintage 2D seismic data is available in paper format and six wells have been drilled in the block (three shallow at around 500m and three deeper).
One previously drilled well in 1982 at Nong Bua-1 intersected oil shows which Carnarvon believes were not fully tested. Carnarvon is continuing to investigate the possibility of twinning or re-drilling this well.
Carnarvon has also digitized and reprocessed the bulk of the available 2D seismic data and the interpretation of that dataset showed the potential for a large number of structures of significant potential size.
500 km of new 2D seismic was acquired in September of 2009.
The processing and interpretation of the new data, incorporating the reprocessed data, will be fast tracked to allow for a decision on the location and number of exploration wells to be drilled in 2010.
Geological analysis of seismic and previous drilling data has concluded that a number of play types are apparent, including Sirikit style fans, Wichian Buri style sandstones, and Na Sanun style volcanics.
L52/50 and L53/50 Blocks
The Company was recently awarded by the Department of Mineral Fuels (“DMF”) in Thailand for concession rights in petroleum exploration and production the two areas described as Blocks L52/50 and L53/50 (“the Concessions”) onshore Thailand within the Surat-Khiensa Basin.
Pearl Oil (Petroleum) Ltd (“Pearl”), an independent oil and gas company with exploration and production (E&P) activities focused exclusively in South East Asia, submitted the bid as operator on behalf of Pearl and Carnarvon, each company participating at a 50% equity level. The combined area of the two blocks is large, comprising approximately 6,950 km2, however both are lightly explored with only two deep wells and limited seismic data available.
There has been minimal exploration over the area and little public knowledge is available about the Surat-Khiensa Basin, however work completed to date and Carnarvon’s regional knowledge suggests this is an area with good potential for hydrocarbon exploration.
Carnarvon and Pearl were together the sole bidders for this block and the Company anticipates award in late 2009.
Reserves
Carnarvon’s reserves base has been certified by an independent reserves auditor. Over the last few years Gaffney, Cline and Associates (“GCA”), one of the largest independent reserves certifiers in the world, has performed this service in line with end of calendar year requirements for the Department of Mineral Fuels (“DMF”) in Thailand. GCA certified 16.6 million barrels of oil of 2P oil reserves net to Carnarvon as at 31 December 2008, which is an increase of 46% percent compared to 31 December 2007 reserves.
| Net Carnarvon Reserves |
| | Proved 1P | Proved + Probable 2P | Proved + Probable + Possible 3P |
| GCA 31 Dec 2009 | 6.4(million bbls) | 24.5(million bbls) | 57.0(million bbls) |
This report is based on information which has been compiled by the Company’s Chief Operating Officer, Mr Philip Huizenga, who is a full-time employee of the Company. Mr Huizenga is qualified in accordance with ASX Listing Rule 5.11 and has consented to the form and context in which this statement appears.
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