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Buru Energy takes another step towards its major exploration program with Ensign Rig 963 being mobilised to drill site

"This program represents a new beginning for exploration in the Canning Basin with the potential for discovery of nationally significant quantities of oil if the drilling program is successful in a strong oil price environment,” says chairman.

Buru Energy Ltd - Buru Energy takes another step towards its major exploration program with Ensign Rig 963 being mobilised to drill site
The Currajong 1 well site in the Canning Basin of northern Western Australia.

Buru Energy Limited (ASX:BRU) (OTCMKTS:BRNGF) (FRA:BUD) has taken another step towards its 2021 exploration program at the Canning Basin Joint Venture with Origin Energy Ltd (ASX:ORG) (OTCMKTS:OGFGY) (FRA:ORL) with mobilisation of the Ensign 963 drilling rig underway.

The first 14 loads are expected to arrive today at the site of the first well, Currajong 1, from Kyalla in the Northern Territory. Mobilisation of all equipment is expected to take approximately two weeks.

Buru and Origin expect that the Currajong 1 well will be spudded in mid-June when the rig and ancillary services mobilisation are complete and the Ensign rig has been assembled and function tested.

“Drilling program on track”

Executive chairman Eric Streitberg said: “The drilling program is on track with the careful preparation and planning and contract negotiation and execution completed, and equipment being mobilised to the field.

"This program represents a new beginning for exploration in the Canning Basin with the potential for discovery of nationally significant quantities of oil if the drilling program is successful in a strong oil price environment.”

The Currajong 1 well is 30 kilometres west of Buru’s Ungani production facility with access to the site from the southern end of the Ungani access road.

Site preparation

Work on the Currajong well site was completed earlier this week with the installation of the rig pad impervious liner and the installation of the cuttings sump impervious liner and bentonite lining.

A contract for the rig was executed before the start of mobilisation and the contracts for ancillary oilfield contract services have all been approved and are being executed as required for mobilisation.

The Currajong 1 camp.

Camp nearing completion

The mobilisation of the camp to support the operation is nearing completion and the camp will be fully operational on June 1.

This camp is on the well pad for the drilling of the well rather than at the Ungani site in order to minimise travel times for the crew.

Exploration program

Currajong 1 is the first of the two exploration wells to be drilled under the farm-in agreement with Origin Energy.

The second well in the program, Rafael 1, is expected to commence drilling in late July or early August.

Initial work on the Rafael 1 well pad and access road has been completed and mobilisation of Buru and contractor personnel to complete the work will begin in the coming weeks.

Buru is carried by Origin for the first $16 million of the well costs.

Streitberg added: "We will be keeping shareholders updated through regular ASX releases and also through our Twitter and LinkedIn feeds.”

Quick facts: Buru Energy Ltd

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