Eni confirms and expands gas and condensate potential in the Ken Bau discovery in Block 114, Song Hong Basin, offshore Vietnam

San Donato Milanese (Milan), 27 July 2020 - Eni announces that its exploration well, Ken Bau-2X, located in Block 114, Song Hong Basin, offshore Vietnam, has confirmed a significant hydrocarbon accumulation on the Ken Bau discovery, further expanding its potential.

Ken Bau 2X was drilled 2 km apart from the discovery well in 95 m of water depth till a  total depth of 3658m below sea level and encountered a pay in excess of 110m in several intervals of Miocene sandstones interbedded with shale.  

Two mini drill stem tests (DST) were conducted, coupled with an extensive data acquisition campaign comprising fluid sampling. Preliminary estimates of Ken Bau accumulation provide a range between 7 and 9 trillion cubic feet (Tcf) of raw gas in place with 400 – 500 million barrels (Mbbl) of associated condensates. The well will now be plugged and abandoned.

Ken Bau 2X results confirm the importance of the discovery made in 2019, and Eni Vietnam’s and its partner Essar E&P efforts to swiftly appraise the full extent of the accumulation despite the significant operational challenges posed by the COVID-19 pandemic during these months.

Eni Vietnam is the Operator of Block 114 with a 50% share; Essar E&P holds the remaining 50%. Eni Vietnam with its partner is currently planning additional drilling and testing on Ken Bau discovery coupled with new drilling and seismic activity in the Song Hong basin, where Eni operates with a 100% share the neighbouring Block 116.

The gas market in Vietnam is rapidly growing, driven by the Country’s consistent GDP progression and consequent development of gas-to-power plants supplied by domestic resources and, in the future, imported LNG. Ken Bau discovery will potentially provide a fast-track solution to meet the increasing energy demand.

Eni has been in Vietnam since 2013, and currently operates four blocks all located in the underexplored Song Hong and Phu Khanh basins, offshore central Vietnam.