Interra Resources Limited (the Company or Interra) informed shareholders Monday that its joint venture entity, Goldpetrol Joint Operating Company Inc. (Goldpetrol), has completed development well CHK 1198 in the Chauk oil field in Myanmar as an oil producer.
Interra has a 60 percent interest in the Improved Petroleum Recovery Contract of the Chauk field and also owns 60 percent of Goldpetrol which is the operator of the field.CHK 1198 was drilled using hired ZJ 750 rig, and Interra’s share of the cost of drilling was funded from existing funds on hand.
CHK 1198 is the ninth well drilled by Goldpetrol in a continuation of the successful development program of directional drilling under the Ayeyarwaddy River from the east bank in northern Chauk field. The well was drilled to a measured depth of 2,850 feet as a highly deviated offset to CHK 1193 and CHK 1195, both of which were completed in 2014 as significant oil producers. CHK 1198 is the fourth well to be drilled in Myanmar under the approved 2015 budget.
Following four days of production testing, CHK 1198 has been completed through casing perforations over 17 feet covering two reservoirs for 110 barrels of oil per day. It should be noted that in an effort to gain a better understanding of separate reservoir mechanics and the related production characteristics, only the lower two reservoirs were tested at this time. The shallower zones, which look very prospective on wireline logs, will be tested at a later date.