Offshore South East Asia 82 Conference GENERAL SESSION

9 ~ 12 February, Singapore
S Pi.( .1042.'7

Infil Drilling In Old Fields

by Rashid I Mangunkurumo, PT Stanvac Indonesia
For the past several yesl"St P.T. STANVAC INDONESIA has been adively engaged in an infilI
drilling program in its old fields onshore Sumatra. The primary purpose of this program is to identify
and recover remaining accumulatiom of oil which can not or will not be drained by existin& wells.
This paper reviews the results of such will driWng in Stanvac's Raja and Abab fields in South
Sumatra. The program has already provided a sizeable increase in oil production and reserves in both
fields while extendin& the produdive limits well beyond what had been considered to be the field
limit.
The program has shown that original field development drilling on 8O-acre spacing did not define all
of the hydrocarbon bearing zones nor establish aD of the drainage points required to efficiently
recover the moveable hydrocarbons in the stratigraphicaJly complex Talang Akar (onnation.
Improved economics resulting from Waher energy prices has provided the incentive required to
pursue the development of these incremental reserves.

Introduction
P.T. STANV AC INDONESIA or "Stanvac" is a company whose
shares are equally owned by Exxon and Mobil Oil. The company is
operated by Exxon and conducts its activities in the exploration for
and production of oil and gas onshore on the island of Sumatra.
There are two general areas of operations. In the south, near the city
of Palembang. Stanvac operates an area covering almost two
million acres under the tenns of a Contract of Work. This area has
produced over 640 million barrels of oil since production was
started in 1926. In the central portion of Sumatra, Stanvac operates
another two million acres under Contract of Work terms and this
area has produced over 220 million barrels of oil since initial
production in 1957. Stanvac is also opertor of areas in both south
and central Sumatra under Production Sharing Contract terms,
where it is actively engaged in exploration activities (Figure 1).
Total production from the Contract of Work areas presently
averages 36 thousand barrels of oil per day from 480 wells in 28
fields. Water-floods in four of the largest south Sumatra oilfields
and pressure maintenance by water injection in the larger central
Sumatra fields are in progress. In addition, Stanvac also delivers
about 100 million standard cubic feet of naturai gas from the South
Sumatra area to Pertamina and to the Pusri fertilizer plants in
Palembang Under various gas supply agreements.
The drilling of development wells has been and continues to be one
of Stanvac's major and most profitable activities. For the past five
years, the company has spent about 76 percent of its annual develop--
ment budget on the drilling of new wells and the construction of
associated producing facilities. In return, it derives about 14 percent
of its annual oil production from the new wells drilled during the
year. The profitability of the development drilling program is high-
lighted by very rapid payout times and high rates of return. A
typical well can be expected to generate about 200 thousand barrels
of additional oil reserves upon completion, but requires only a
fraction of that amount to payout drilling and completion cost.
The following pages review the results of such drilling in two
Stanvac's oldest oilfields.
Incentives For Infil DrilUng
Low drilling cost and high prices combine to make this type of
endeavor most attractive. The cost of drilling and completing a new
well by Stanvac averaged $ 38 per foot in 1977 and increased to $ 5S
per foot in 1980. The main reason for these low drilling cost is that
in accomplishing its annual drilling program, Stanvac uses three of
its own rigs on a full time basis and only where necessary makes use
of a contract rig to complement the three company rigs. High crude
oil prices during the late seventies further improved the economic
incentive for drilling development wells to the point where the
average 1980 well would payout after producing 20 thousand
barrels of oil. This means that a new well producing 100 barrels oil
per day would payout its drilling cost after just seven months. Since
inf111 drilling programs normally have their share of dry holes, an
"average" well would require a slightly longer period to payout,
depending on the success ratio of the program.
Prompted by the attractive economics, Stanvac has intensified the
search for infill drilling opportunities in its old, mature oilfields and
at present allocates about 50 percent of its drilling budget to this
effort. The rationale for drilling in mature oilfields is usually to
improve drainage of existing reserves or to accelerate the recovery
of such reserves, The former is applied when it becomes apparent
that existing drainage points will be unable to recover all of the
remaining reserves, while the later L"l done in the expectation of
improving the present value of remaining reserves without
necessarily changing overall recovery. Furthennore, where
hydrocarbon accumulations are highly stratigraphic in nature and
existing well spacing increases the likelihood of finding new sand
lenses not encountered by present wells, the incentive for infill
drilling becomes especially attractive because of the potential
reserve additions involved. It is this prospect which has been the
main reason for initiating an active infill drilling program in the
Raja field in 1976.
Geological Considerations
The stratigraphic nature of hydrocarbon entrapment in the Raja
and Abab areas has been well documented by analysis of cores and
correlations between wells. The cores indicate a series of
depositional environments in which potential stratigraphic traps
were created when Talang Akar sandstones were deposited in the
fonn of meandering-stream point bars (in a generally north-south
direction) and coastal beach deposits (in a generally east-west
direction). The well-to-well correlations further demonstrate the
onlapping nature of Talang A.kar deposits onto the pre-Tertiary
basement surface in a progressively northward direction.
Stratigraphic traps were formed as Talang Akar sandstones
pinched out up-dip against basement. The relief of pre-Tertiary
basement at the time of Talang Akar deppsition therefore is highly
significant, as it controls to a large extend both the undip
stratigraphic pinchout of fluvial sandstones as well as the trend of
coastal beach deposits, both of which fonn important hydrocarbon
traps in the Raja and Abab areas (Figure 1).
Stratigraphic type reservoirs are predominant in the old Raja and
Abab fields in :ilouth Sumatra and, as following discussions show, it
is in these two mature oilfields that infill drilling activities during the
past five years have generated new production peaks and significant
reserve additions. In the Raja field for example, the
stratigraphically complex Talang Akar formation, which contains
most of the major producing reservoirs in the South Sumatra area,
counts numerous individual sand lenses and pinchouts against
basement. As a result, adjacent Raja wells will rarely penetrate the
same sequence of reservoirs and sands. In part also because of the
8()..acre well spacing at the time infill drilling was started, it would
have been statistically almost impossible to drill a dry hole within
the productive limits of the Raja field.
The above considerations form the main basis for selecting infill
drilling locations in the Raja and Abab fields. In the Raja field, for
example, flank wells are predominantly positioned along the
southern slope of the structure where conditions for onlapping
deposits of the lower Talang Aka! sands against the basement have
been most favourable. In the Abab field, locations to pursue
extensions of the Talang Akar A sand are positioned on strike with
the basement in accordance with the coastal beach type of
environment believed to have existed during the deposition of that
sand body.
Where necessary, seismic surveys have been run to refme e~isting
data and improve the chances of fmding new sand developments
not previously known. In the Raja area. new seismic information
has indicated further potential for stratigraphic entrapment of
hydrocarbons on the eastern flank, while in the Abab field the
structural location of proposed wells is being tied to the basement
configuration as interpreted from recent surveys.
Raja Field InfiU Drilling
The Raja field is composed of some 60 distinct reservoirs which
occur in 28 sand lenses and one limestone lens, stacked vertically
and separated by beds of shale (Figure 3). Aquifers contact each of
the reservoirs, which appear between 6300 and 7400 feet subsea and
which contain gas, oil and condensates. The field was discovered in
1940 and started production one year later. A peak production of
5000 barrels per day was reached in 1953 after which the field
started to decline. Total oil produced amounted to 18 million
barrels from 36 wells in late 1976 when the first infill well was
spudded (Figure 4).
Reservoir studies conducted by Brinkman and Greene (1958), by
Dunn (1963) and by Hill (1969) reviewed depletion of reserves,
reservoir performance and workover potential. However, it was not
until a 1976 field study by Robinson and Whitson, that an extensive
infill drilling program was proposed. As explained earlier,
improved economics resulting from high energy prices provided the
main incentive for renewed drilling in a field which at that time had
been estimated to be well over 90 percent depleted. The Robinson
and Whitson study recommended six workovers and the drilling of
initially four wells with six more locations contingent upon the
results of the first four wells. It is significant to note that the study
concluded it would be virtually impossible to drill a dry hole within
the productive limits of the field as known at the time.
The first infill well, Raja-31, was spudded late in 1976 and
completed as an oilwell early in 1911. Subsequently, six other Raja
wells were drilled during 1911, five of which were successfully
completed as oilweils, while another well was abandoned due to
mechanical problems. The results of the 1911 infill program (Raja
31 through 42) have been reviewed in detail by M. Nahir Basuni in a
technical paper on Raja infill drilling presented at the Indonesia
Petroleum Association's Annual Convention of 1978 in Jakarta.
The paper concluded that (1) the original 8Q...acre spacing of the
wells was inadequate to economically recover in~place hydro-
carbons; (2) the most successful completions were made in sands
that straugrap"fiieally pinch out against basement; and (3) further
drilling should be done down the flank structure to pursue the
lower Talang Akar sands which could be trapped against basement.
This drilling program resulted in a reserve addition of 1.6 million
barrels which represented an improvement of 8 percent of the
E.U.R. for the Raja field at that time (Figure 5).
Subsequently, additional groups of Raja infill wells were drilled in
1978 (eight wells), 1919 (11 wells) and 1980 (six wells). The 1977 and
1978 programs basically pursued infill drilling opportunities and
succeeded in reducing well spacing to about 40 acres, while adding
3.1 million barrels of new reserves. Of eight wells drilled in 1978,
seven were successfully completed as oilwells and one was a gaswelL
As in the previous year, these wells discovered a number of new
sands not encountered by existing wells (Figure 6). At the end of
1978, field production had been raised to 2900 barrels per day for a
ten-fold increase since the first infill well was started at the end of
1976. By contrast, the 1979 program included several wells which
were drilled at the flanks of the field and technically were field
extension rather than infill wells (Figure 7). The success of these
flank wells in finding new sands in the lower Talang Akar
formation has extended the field limits to a significant degree.
Reserve additions of 1.5 million barrels were booked in 1979 as 9
out of 11 wells were successfully completed as oil producers. One
well was completed as a gas well as no liquid hydrocarbon bearing
sands were encountered. Another well, Raja 61, was the first dry
hole in the whole infill drilling program started in 1976. The well
was located on the northern flank of the field and- confirmed that
the chances of finding new reservoirs on that side of the structure
would be very limited.
The 1980 program focused on field extension work by drilling on
the southern flank of the structure. All of the six wells drilled wells
comoleted as oilwells and a total of 1.5 million barrels of new
reserves were booked that yea:(Figure 8). At the end of 1980, Raja
field production had climbed to 5000 barrels per day, almost
equalling the field's production peak of the early fifties (Figure 9).
The total campaign of 32 wells during the period of 1977-1980
resulted in reserve additions totaling 6.2 million barrels of oil of
which 3.9 million barrels already had been produced by September
1981. As table 1 show, quick payouts are typical for Raja wells
because of high initial production rates. expenditures for the infill
programs have gone up as drilling cost increased from $ 39 per foot
in 1977 to' $ 61 per foot in 1980.
Moreover, as wells are drilled increasingly down the flank of the
structure, well depth will also increase adding to the cost of the
wells. However, the increase in crude oil prices from $ 13.55 per
barrel in 1977 to $ 30.55 per barrel in 1980 has more than offset
any effect of the increase in drilling cost. As a resUlt. an average
Raja well in 1980 required only 34 thousand barrels of oil produc~
tion to payout which is 17 percent of the total new reserves antici-
pated from that well as compared to 60 thousand barrels of
production in 1978.
Abab Field Infill Drilling
The Abab field drilling program which has been conducted during
the past three years is directed towards development of the Talang
Akar A sand, one of the two most productive oil reservoirs in the
field. The A sand is a typical beach sand deposit which closely
follows the contours of the basement in a generally east·west
direction. The sand is found at about 5400 feet subsea and varies in
width from 600 to 1000 meters, while average thickness ranges from
15 to 20 feet (Figure 10).
Production from the A sand was initiated in 1951 upon completion
of the Abab 3 discovery well. The well produced from initial
completion until September 1969 at an average rate of 200 barrels
per day and accumulated 1.3 million barrels of oil with only a slight
decline in reservoir pressure. The excellent performance of the well
became the basis for additional drilling in the area during 1970,
which resulted in proving up a reservoir of about 8500 acre-feet with
a sniau gas cap. In the absence of a large" aquifer - as
substantiated by further drilling, - the main production
mechanism of the reservoir has been a solution gas drive aided to
some degree by a gas cap expansion. In an attempt to arrest the
rapid decline of pressures in the A sand, a waterflood was initiated
soon thereafter by water injection into one well located in the gas
cap. Further drilling in 1971 and 1912 approximately tripled the
reservoir volume, necessitating a substantial expansion of the
housandood, and brought Abab field production to a peak of 22
thousand barrels per day in1973 (Figure 11).
The current drilling program in the Abab field was started in 1978
and was based on the expectation of finding a field extension of the
A sand beyond the limits of that reservoir as interpreted at that
time. The economic incentive for the program was provided by the
low well cost and the high price of crude, on which basis it was
estimated that a typical Abab well would require about 26 thousand
barrels of oil production to payout. As the primary objective was to
flnd an extension of the A sand, the Abab fleld drilling program
cannot truthfully be tenned an infill program such as has been
conducted in the Raja field.
The 1978 program started off with the drilling of Abab 96 which
was a stepout to test a possible continuation of the A sand in the
northwestern side of the fleld. The well was successful, flowing 880
barrels oil per day from 8 feet of net sand, and provided new
support for further field extensions in that area. A direct offset well
was also successful, but two subsequent wells (Abab 98 and 99)
were not, indi:ating the stratigraphic nature as well as limited areal
extent of the reservoir. Although this program was credited with a
reserve addition of 500 thousand barrels of oil. total production
from the two successful wells already exceeds that amount by 60
percent (Figure 12).
Although the uuuccessful well at Abab 99 appeared to have found
the limits of the A sand, further drilling was done in truit area in
1979 and 1980. A stepout was drilled 600 meters beyond Abab 99
and this well produced excellent results - Abab 101 flowed over
1000 barrels oil per day from 12 feet of A sand upon completion and
produced over 244 thousand barrels oil in 1979. The next offset,
Abab 102, was drilled 600 meters to the north of Abab 101 and
found no A sand development. However, other wells drilled on
strike with the Abab 10 I well succeeded in finding a field extension
of the A sand to the northcllsL These included Abab wells 105 and
106, each of which flowed 300 barrels oil per day upon completion.
The success of this program in 1980, which added one million
barrels reserves, started another intensive drilling activity in 1981,
which so far has resulted in the completion of 11 oil wells and an
estimated reserve addition of almost two million barrels by the A
sand extension in that area.
As table 2 show, at the end of 1980 the overall field extension
program which was started in 1978 had resulted in an addition of
2.2 million barrels of new reserves. The program should add almost
the same amount in 1981 based on the wells drilled thus far this
year. This in effect represents a doubling of remaining reserves
booked at the end of 1977 when the field extension program was
initiated.
As was the case in the other Abab A sand reservoirs, a waterflood
will have to be instituted soon in the new northwestern A sand to
arrest rapidly declining pressures. Infill wells will be needed to
optimize sweep efficiency and artificial lift installed to maximize
production.
Summary Of Results
Prompted by the economic incentives provided by low drilling cost
and high crude prices in the mid seventies, Stanvac has embarked
on an active inf111 drilling and field extension program in its old
oilfields. Fields such as Raja and Abab which were about 90 percent
depleted, presented an excellent opportunity to improve remaining
reserves by virtue of the stratigraphic complexity of their producing
reservoirs. Although the program carried the usual risks associated
with stratigraphic traps, resulted have been most rewarding. Out of
32 wells drilled in the Raja field, 29 have been completed as oil wells,
two found only gas and one ws a dry hole. In the Abab field. out of
nine wells drilled to pursue the Talang Akar A sand. five were
completed as oil wells, while four were dry. The difference in success
ratio between the Raja and Abab programs illustrates the unusual
difficulty in locating a coastal beach sand deposit such as the A sand
reservoir in the Abab field.
The program has resulted in reserve additions of 6.1 million barrels
in the Raja field for a 30 percent improvement in ultimate recovery.
It has also identifled several workover prospects in old inactive
wells as well as further drilling opportunities on the eastern flank of
the Raja structure. A new production peak was established as a
result of the new wells and reactivation of old wells.
In the Abab field, reserve additions of 2.2 million barrels through
1980 and almost the same amount as a result of the 1981 campaign
will virtually double the remaining reserves booked at the end of
1977. Although no new record was set, Abab field production
nevertheless showed a marked increase as a result of the new wells.
Further improvements are likely with installation of artificial lift
and institution of watertlood activities.
Financially, the infill drilling and field extension campaigns in the
old Raja and Abab fields have produced extraordinary results. The
programs have in each case paid out within a few months. while
generating returns on investment in excess of 100 percent. Most of
this can be atrributed to low drilling cost and high crude oil prices,
complemented by relatively high production rates from successful
wells. In the Raja fleld, new oilwells averaged. almost 400 barrels oil
per day upon completion. This was more than adequate to payout
the entire program including the two gas wells and one dry hole
within six to nine months. Although the Raja wells decline rather
rapidly, the presence of ~eral oilbearing zones within the wellbore
usually provide sufficient recompletion prospects to maintain
decline rates within acceptable limits. The planned installation of
gaslift facilities should further insure optimum producing rates
from the new wells.
In the Abab field, the successful wells also averaged almost 400
barrels oil per day upon completion-and paid out all cost within 4
months. Similar to the Raja wells, producing rates from new Abab
wells also tend to decline quite rapidly, but the planned installation
of waterflood and gaslift facilities should alleviate this problem very
shortly_
Inasmuch as the geological conditions for successful field
extensions remain favorable, and as long as economic incentives are
acceptable, it is anticipated that drilling in old fields such as Raja
and Abab will continue for some time. In both fields. new locations
are being drilled to explore possible field extensions. On the eastern
flank of the Raja field, new seismic data has confinned the presence
of a small nose which presents further possibilities for the lower
Talang Akar sands to pinch out against basement. In the Abab
field, the prospect for further fleld extension of the A sand remains
very attractive, even though dry holes such as Abab 117 appear at
present to have located the limits of that reservoir.
Conclusions
Infill drilling and field extension programs in Stanvac's old Raja
and Abab fields have been most rewarding. The programs have
proved that with appropriate economic incentives. significant
improvements can be made in old oilfields by infill drilling and field
extensions. Specifically, the foUowing conclusion can be made:
1. Where hydrocarbon entrapment is mostly stratigraphic in
nature, 8()..acre well spacing will not adequately recover
remaining reserves nor accurately identify all producing
horizons.
2. Significant improvements In remammg reserves have been
accomplished in mature fields such as Raja and Abab.
Virtually all such improvements have been made by the dis-
covery of new sand lenses and reservoirs.
3. The infill drilling program has identified several new
recompletion prospects in old inactive wellbores. Workovers in
the Raja field based on infonnation obtained from new wells
have contributed significantly to the success of the program.
4. As long as economic incentives remain acceptable and similar
geological conditions prevail, it is anticipated that infill drill-
ing and field extension programs in mature fields such as the
Raja and Abab fields will continue.
References
1. Shannon. J.P., Jr.• "Regional Gelogical Studies of South
Sumatra", Esso Production Research Company, November
1969.
2. Brinkan, F.H. and Greene, H.W., "'Depletion Studies of the
Raja Field", The Carter Oil Company Research Department,
March 1958.
3. Dunn, H.P., "Raja Field Reserve Estimate and Depletion
Study", P.T. Stanvac Indonesia, May 1963.
4. Hill, R.R., "Study of Inactive Wells", P.T. Stanvac Indonesia,
1969.
5. Whitson, R.E. and Robinson, W.R., "Raja Field Review of 6. M. Nahir Basuni. ~uccessful Infill Drilling in Raja field
Workover and Drilling PotentiaJ., P.T. Stanvac Indonesia, Causes Ten-Fold Increase in Production"', P.T. Stanvac
July 1976. Indonesia. May 1978.

Table ~ 1

P.T. STANVAC INDONESIA

SUMMARY OF INFILL DRILLING
RAJA FIELD, soum SUMATRA
1977 1978 1979 1980 TOTAL
No. wells drilled 7 8 11 6 32
Results :
Oil wells 7 7 9 6 29
Gas wens - 1 1 - 2
Dry holes - - 1 - 1
Reserve Additions. 1.6 I.S 1.5 1.5 1.6
Million Bbls.
Average Drilling Cost, 39 57 46 61 50
S/ Foot
Payout Volume, 35 60 37 32
Thousand Bbls/ Well
Payout, months 3 7 9 6
Cum. Prod., MBbls 1.4 l.l 1.0 0.4 3.9
(as of Sept '81)
Ave. Crude Price, 13.55 13.55 18.42 30.55
S/Barrel

Table - 2
P.T. STANVAC INDONESIA
SUMMARY OF INFlLL DRILUNG
ABAB FIELD. SOUTH SUMATRA

1978 1979 1980 TOTAL

No. wells drilled 4 4 3 11
Results:
Oil wells 2 2 3 1
Gas wells - -2 - -4
Dry holes 2 -
Reserve Additions, 0.5 0.7 1.0 2.2
Million Bbls.
Average Drilling Cost, 30 26 39 31
S/ Foot
Payout Volume, 26 23 20
Thousand Bbls( Wen
Payout, months 3 4 4
Cum. Prod., MBbls 0.8 0.6 0.2 1.6
(as of Sept. 1981)

Ave. Crude Price, 13.55 18.42 30.55

S/Barrel
 INOEX MAP'

C.SUMArRA lOUATOR

DJAMBI

SUMATRA

4-00"

P.T. STANVAC INDONESIA

CONTRACT AREAS
I:-:-~.:I ·".PII ILOCK
c::J CENTRAL SUMATRA JAPURA BLOCK
~ SOUTH SUMATRA OLD AREA
c::=J SOUTH SUMATRA EXTENTIOH AREA
CJ. BARtSAN BLOCK
Q\\\\\\\1 R1M AU SLOC K
_ PERTAMINAACREAGE
r:z:J BLOCK MAq

o
ICAL«
10 'DO
II
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1.000,000,

FIG. I
 +

SCHEMATIC OIAGRAM SHOWNi FACIES RELATIONSHIPS

OF 1'RANSGRESSI\IE·CYCI..E OEPOSITS.f'Dn'H FLANK
a: SOUTH SUMATRA BASIN
(110_110111'''1. QIII WRTlCAI. tCAt., I<DI(:"n:OI

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Fig. 2
 NW - SE CROSS SECTION OF RESERVOIRS IN RAJA FIELD
~ Water [] Oil [j Gal
(~~EA)Ra6 RQ 12 Ra 26 Ro 15 Ro 19 Ro 29 Ro 32 Ro22
r-------------------~--------~~--------~--------~------------~------~~------_,

6200

4~r.a~====~ __________-+__-

BASEMENT

Fig. 3
 eo 60 10

RAJA FIELD
1948 -1980
YEARLY PROOUCTlON
(ST81 DAY)

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19150 1960 19615 1970 19115 1980 19815
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SOUTH SUMATRA
RAJA FIELD
DEPTH STRUCTURE MAP
ON TOP OF T.AKAR
C I ZO·
SCALE I :.~~.ooo
o O~ I
I ::..:=:1
t(u

fig.5 Rnay N. suPEIU. OCT 81

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·6268

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SOUTH SUMATRA
RAJA FIELD
DEPTH STRUCTURE MAP
ON 1'OP OF" T.AKAR
e I fO'
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i I ===::::J-====:f
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TRUCTURE M
DEPTH B
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10.000 I 0.000
RAJA FIELD
PROD ~CTIO~
1976-' ·RESE~ T'
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SUMATRA

ABAB AREA
ISOPACH MAP A SAND
A-I ...
c.J.s' A-,e
+
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+l1li0
 ABAB FIELD
PRODUCTION
1970 - PRESENT
(STB / DAY)

Fig. 11

I
~\
"'\
IO.oOOt-/-/"f:jY"'nv~-"t---+--~~d-~-__+..----i--+---+---r----r-----r----'r-----IIOtOOO

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1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980 1981 1962
 ·'&)01
. ZI"
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KARAN6A6UNG
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/ SOUTH SUMATRA

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... 2~. 000

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BY' AR. SUHENDAN
KM.

OCT.. 1981 .,..