Indonesia Energy to start production from new Kruh block wells

Indonesia Energy Corp. (IEC) discovered oil in its Kruh 26 well on its 63,000-acre Kruh block, onshore Sumatra, after announcing an oil discovery in Kruh 25 in July.

IEC plans to conduct stimulation work and commence production from both wells in October 2021. Additionally, Kruh 27 is expected to spud in the fourth quarter.

Kruh 26 took 18 days to drill to a total depth of 3,376 ft. About 111 ft of oil sands were encountered between 3,100 and 3,228 ft. This oil-bearing interval was thicker than expected, and total reserve potential could be larger than anticipated.

Both wells were drilled under the budget of $1.5 million per well and are part of the company’s plan to drill a total of 18 new wells on the block over the next 3 years (OGJ Online, Aug. 25, 2021).

Full production from Kruh 25 and Kruh 26 will increase IEC's overall daily revenues and oil production by over 100%.