Neon Energy Completes Testing of Offshore Vietnam Gas Well

Neon Energy has said that testing of Cua Lo-1 exploration well, located in Block 105-110/04, offshore Vietnam, has been completed.

“The presence of gas was confirmed with a peak flow rate of 400,000 scf/d through a 16/64” choke. Although gas flowed during the test, poor reservoir deliverability combined with high carbon dioxide content suggests development of the reservoir at this location is unlikely,” the company said.

The Cua Lo-1 well has confirmed the existence of a petroleum system in Block 105 and provides valuable data for deciding the joint venture’s future exploration strategy in the block, Neon added.

According to Neon, incorporation of the newly acquired data into the subsurface interpretation will determine if the additional prospectivity in the block warrants further exploration.

The Cua Lo-1 well was drilled in 76 meters water depth and reached a total depth of 2,867 metres (measured depth).

Operator Eni is now proceeding to plug and abandon the well.

Neon has a 25% interest in Block 105 while operator Eni holds 50%. The remaining 25% is held by KrisEnergy.

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