Nido Petroleum Ltd. has abandoned an appraisal oil well in Palawan dubbed Galoc-7ST-1, saying it has let go of the drilling contractor and the rig demobilized after an inconclusive finding on whether the area has commercial quantity of petroleum.
The Perth, Australia-based company said the Galoc joint venture was able to drill 2,569 meters through the Galoc Clastic Unit reservoir interval.
Last April, Nido Petroleum said drilling passed through poor-quality sandstone and claystone, and that preliminary findings suggest that the reservoir contains hydrocarbons and water.
“At this stage the Galoc-7 well results are inconclusive in terms of the potential commerciality of the Galoc Mid Area of Block C1 of Service Contract 14,” Nido Petroleum said back then.
The Galoc joint venture includes Otto Energy, which owns the operator Galoc Production Co. W.L.L.; Nido Petroleum through Nido Production (Galoc) Pty Ltd.; Oriental Petroleum and Minerals Corp.; Linapacan Oil Gas and Power Corp.; The Philodrill Corp.; and Forum Energy Philippines Corp.