Coro Energy to conduct joint technical study with Petronas
Coro Energy announced on Monday that it has agreed to conduct a joint technical study over Block 2A, offshore Malaysia, with with Petroliam Nasional Berhad, which trades as Petronas.
The AIM-traded firm said that under the terms of the study, it would have permission to conduct an “extensive” technical analysis of the acreage.
Thereafter, Coro would have the option to apply for a production sharing contract for the block, subject to the approval of Petronas.
Block 2A is located in offshore Sarawak, Malaysian Borneo, with the block yet to be drilled, located in a deepwater area.
The nearest discovery is located around 70 kilometres to the east of the block.
Coro said work to date on the block had identified a number of “very large” structural closures at prospective levels, consistent with known regional plays in the “prolific” part of the basin.
The board described the Central Luconia Province as “one of the most prolific” hydrocarbon basins offshore Malaysia, which is home to “numerous” large and giant oil and gas fields.
It said the early shallow water gas discoveries in the 1970's and 1980's resulted in the commissioning and subsequent expansion of the world-scale Bintulu LNG plant.
More recently, the province had been a “standout” exploration success story in southeast Asia, having seen a string of successful exploration results from the deeper water, resulting in multi-Tcf volumes of gas being discovered during the past five years.
“We would like to thank Petronas for giving Coro the opportunity to work on this exciting acreage,” said Coro chief executive officer James Menzies.
“This is a fantastic opportunity for Coro to use its technical skills in firming up these very large structural leads to drillable prospects using the very high quality data now at our disposal.”