SK Innovation's Energy Resource Development Subsidiary
Oil Discovered in the 'Red Camel' Structure of Block 15-1/05
"Southeast Asia Synergy through Clustering Strategy"
SK EarthOn, the energy resource development subsidiary of SK Innovation, has discovered another oil reserve in Vietnam. This news comes three months after the previous oil find in January. With this latest discovery, SK EarthOn continues to achieve consecutive successes in its resource development business in Vietnam.
On May 7, SK EarthOn announced that it had discovered additional oil last month in the "Red Camel" structure of the Vietnam "15-1/05 block." This block is located near the "Golden Camel" structure, which is scheduled to begin production in the second half of next year. In the Red Camel structure, an oil layer with a thickness of 32 meters was identified at a depth of approximately 4,100 meters underground, and a test production of light crude oil at a scale of 2,500 barrels per day was also successfully conducted. Previously, in January, SK EarthOn had confirmed oil and achieved successful test production in the Vietnam 15-2/17 block.
The Vietnam 15-1/05 block is a block in which SK EarthOn has participated in development since 2007, holding a 25% stake. Murphy Oil of the United States and Vietnam's state-owned oil company PVEP hold 40% and 35% stakes, respectively. Murphy, as the largest stakeholder, is the operator of the block. In 2019, SK EarthOn and Murphy declared that the Golden Camel structure within this block was a commercially viable oil field. Both companies are targeting commercial production in the second half of next year.
A representative from Murphy stated, "The oil layer discovered in this Red Camel structure exploration is located about 5 kilometers from the Golden Camel structure, which is currently under development," and added, "This oil discovery marks the second resource development achievement this year, following the oil discovery in the Vietnam 15-2/17 block in January." An SK EarthOn official said, "We achieved this success through a cluster strategy that focuses on developing core areas," and added, "We aim to establish ourselves as a global resource development company in the Southeast Asian region."
Meanwhile, SK Innovation is currently participating in 11 blocks and 3 liquefied natural gas (LNG) projects across 8 countries worldwide. The company produces an average of approximately 58,000 barrels of oil and gas per day on an oil equivalent basis.
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