Bass Oil’s Bunian 6 well has confirmed oil in a previously unproduced zone, with the company targeting a potential threefold increase in Tangai-Sukananti field production. August sales also improved as Cooper Basin exports resumed, while Vanessa and Kiwi advanced toward future gas development.
- Bunian 6 M Sand confirmed as a new oil discovery
- Tangai-Sukananti production targeted to rise from 250 to at least 750 bopd
- August group production reached 6,820 barrels, with 6,362 barrels sold
- Cooper Basin road closures disrupted exports but not production
- Vanessa recommissioning and Kiwi seismic work moved forward
Bunian 6 opens a new Indonesian production zone
Bass Oil Limited (ASX:BAS) has completed its Bunian 6 development well in Indonesia and confirmed oil in the M Sand, a zone that had not previously produced oil in the Bunian field. The well produced 1,264 barrels of oil per day during testing, according to the detailed announcement, and the rig was released on 7 September.
The result could materially change the near-term production profile of the Tangai-Sukananti KSO. Bass says field output is expected to rise from about 250 bopd to at least 750 bopd once testing and the flow-line connection are completed, equivalent to an increase from roughly 140 bopd to 410 bopd net to Bass. The company will quantify the effect on reserves after analysing the evaluation data and completing further well testing.
Indonesian output held up despite a monthly dip
Bass’s Indonesian production averaged 135 bopd in August, down 3.6% from July. Its share of production was 4,202 barrels, of which 4,157 barrels were sold at an average price of US$84.14 per barrel, a 13% increase on the previous month.
Across the group, production averaged 220 bopd and totalled 6,820 barrels for the month, while sales reached 6,362 barrels. The company reported August sales revenue of A$716,009 in its highlights, but later stated A$706,009 in the detailed operations section. Bass did not explain the discrepancy in the announcement.
Cooper Basin sales resume after rain disruption
Cooper Basin production totalled 2,618 barrels, or 84 bopd, with the Worrior and Padulla facilities recording uptimes above 99% and 98.6% respectively. Trucking restarted in early August and 2,205 barrels were sold at an average price of A$128.77 per barrel before further rain closed the roads.
The weather interrupted exports rather than production, which continued into onsite storage. Bass said Cooper Basin oil exports resumed in early September, leaving the timing of future sales partly dependent on continued road access.
Vanessa and Kiwi move toward gas investment decisions
At the 100%-owned Vanessa gas field, Bass has completed a scoping study for recommissioning the processing facility and pipeline and has shifted its focus to project execution. A pipeline coating integrity survey found no defects, while field work is continuing. The company estimates that recommissioning could enable first gas sales into the east coast gas market by year-end, although that remains dependent on the execution of the project.
GPA Engineering is also updating the pre-FEED study for the 100%-owned Kiwi development. Bass is assessing tie-in options with Santos before selecting the concept for a FEED study, a step it describes as critical to a final investment decision. Separately, reprocessed Dundinna 3D seismic has improved the imaging of the target reservoirs and early mapping has enhanced the Kiwi North prospect near the Kiwi discovery.
Execution now matters more than discovery headlines
Bunian 6 provides the clearest near-term operational catalyst, but the headline production target still depends on completing testing and tying the well into the production facility. Vanessa has moved beyond scoping, yet first gas also requires the recommissioning work to be delivered. The next disclosures should show whether the new Indonesian well converts its test result into sustained production and whether Bass can turn its Cooper Basin gas options into defined investment decisions.
Bottom Line?
Bunian 6 has improved Bass Oil’s near-term production case, but sustained output, the reserve impact and the timing of Vanessa gas sales remain to be demonstrated.
Questions in the middle?
- What production rate will Bunian 6 sustain after testing and flow-line connection?
- How much will the M Sand discovery add to Bass Oil’s booked reserves?
- Can Vanessa reach first gas sales by year-end while Kiwi progresses to a final investment decision?