Nido starts drilling in Palawan

MANILA, Philippines - Australia-based Nido Petroleum Ltd. has started the drilling of its Gindara-1 well in Northwest Palawan.

In a report, Nido said the Atwood Falcon deepwater semi-submersible drilling rig has started drilling the Gindara-1 exploration well on Friday. The Atwood Falcon rig arrived over the Gindara-1 location on May 18, 2011.

“Following the setting of the primary and secondary anchors, the 36-inch hole opener was picked up and the well spudded,” Nido said.

Nido said the hole will be drilled to approximately 396 meters measured depth (MD) equivalent to 374 meters in total vertical depth below sea-level (TVDss).

The Gindara-1 well will be drilled to a total depth of 3,672 meters MD (3,650 meters TVDss).

The well, Nido said, is expected to reach the primary objective Nido limestone reservoir in approximately 16 days from spud.

“Mobilization of the Atwood Falcon rig from Labuan to the Gindara-1 well location went very smoothly. With the rig anchors successfully set and the well now spudded, the SC 54B joint venture is looking forward to drilling to the reservoir objectives in a safe and efficient manner. For Nido, the Gindara-1 well marks an important milestone for the company as it represents the first well in our planned five well NW Palawan drilling program,” Jon Pattillo, Nido head of exploration, said.

At present, Shell Philippines Exploration BV controls 45 percent of the prospect, with Nido Petroleum controlling 33 percent as operator and Kairiki Energy Ltd., formerly Yilgarn Petroleum, holding 22 percent.

The Gindara prospect lies approximately 50 kilometer south of the Malampaya gas field.