Jadestone Energy has signed a rig contract with Ensco Australia for infill drilling on the Stag oilfield located offshore Australia.
The independent oil and gas production company Jadestone owns 100% of the Stag oilfield.
Under the contract terms, Ensco Australia will provide the Ensco 107 jack-up drilling rig to Jadestone.
The rig will be delivered to Jadestone after it completes its existing operation in Dampier, Western Australia.
The Stag-49H well will be drilled from the Stag wellhead platform by the company as a horizontal oil producer, targeting unswept pay in the Stag reservoir south-west of the platform.
Jadestone noted that the well will target 1.2mmbbl of incremental oil reserves from the Stag oilfield.
The company plans to spud the well early March this year. Drilling operations will be carried out over 34 days.
Jadestone Energy president and CEO Paul Blakeley said: “I am pleased to have signed the rig contract with Ensco to drill Stag-49H, the first infill well at the Stag field since 2013, and an important milestone for the company too.”
The company acquired the Stag oilfield through its wholly owned subsidiary Jadestone Australia on 11 November 2016.
Developed using a fixed-leg, 12 slot-manned central processing facility platform, the field produces a biodegraded oil with a gravity of 19 API.
Last month, Jadestone announced the restart of production at Montara oil field located offshore Australia after it was suspended by offshore safety regulator, the National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA).
Production stopped at Montara in August 2009 following the blowout of a wellhead and subsequent rig fire.