Mr. Jeff Chisholm reports
PAN ORIENT ENERGY CORP.: INDONESIA EAST JABUNG PSC UPDATE
The quarry permit that was required in order to commence construction of Pan Orient Energy Corp.'s Anggun-1X exploration well access road has been approved and road construction has commenced.
The operator now estimates the Anggun-1X exploration well will commence drilling sometime between March 15 and May 15, 2019.The variation in timing is almost entirely a function of possible issues relating to road building during the rainy season.Anggun-1X is anticipated to take approximately 30 days to reach total depth with testing to commence immediately thereafter, if required.
As per the requirement under the East Jabung Production Sharing Contract ("PSC") to enter into the four year exploration period extension, the joint venture has submitted the final acreage relinquishment to the Government of Indonesia oil and gas regulator ("SKKMIGAS") bringing the remaining PSC area to 1,254.54 square kilometers, representing 20% of the original PSC area.Once this relinquishment area has been reviewed and approved by the SKKMIGAS technical group, the joint venture will notify the Government of Indonesia of their election to enter into the four year exploration extension period that will commence when the six year exploration period ends on January 20, 2019.During the four year exploration extension period, the joint venture has the option of exiting or continuing with the PSC on an annual basis.
Pan Orient is a Calgary, Alberta based oil and gas exploration and production company with operations currently located onshore Thailand, Indonesia and in Western Canada.
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