Sun Resources NL (ASX: SUR) and partners have spudded Krai Thong #1, which is estimated to have a gross speculative potential resource of 37 million barrels.
Krai Thong #1 is the second of three potential well sites in onshore Thailand, with Sun holding a 42.5% interest, Carnarvon Petroleum (ASX: CVN) 50% and operator, with Peak Oil & Gas 7.5%.
The forward plan over the next week will be setting 13 3/8” casing, and then drilling the intermediate hole down to around 600 metres, before setting the 9 5/8” casing.
The well is planned to intersect the target objectives within the next 9 to 12 days, before reaching a planned total depth of around 1425 metres within two weeks.
Krai Thong is very strategically located in the Phitsanulok basin, around 350 kilometres northwest of Bangkok and 60 kilometres south of the Sirikit oil field.
A major benefit for potential early cash flow is any discovery at L20/50 can be very quickly commercialised with crude oil transported by truck to one of Thailand’s nearby oil refineries for sale.
A potential third well site for the joint venture, Chalawan, is estimated to have a gross speculative potential resource of 32 million barrels.