Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

PNOC Spuds Baragatan-1 Exploration Well Off Philippines

|Includes: Nido Petroleum Ltd. (NIDOF)

Nido Petroleum announced that PNOC has commenced drilling operations at the Baragatan-1 exploration well located in Service Contract 63 (SC63) off Philippines. The well is currently drilling ahead in the 36" hole section prior to setting the 30" conductor as planned.

Service Contract 63 (SC63) covers an offshore area of 1,067,000 hectares and is contiguous to the southern portions of SC58 and SC54B. In addition, the block contains a gas discovery at the Aboabo A1-X well located in the southern sector. The discovery is reported to have flowed gas at an estimated rate of 50 MMcf/d on test.

SC63 ownership: PNOC Exploration Corporation (50%, operator) and Nido (50%).

In Jun-2013, Nido Petroleum secured a six month extension to defer the 'election to drill' from its JV partner PNOC Exploration for the Service Contract 58 located on Palawan islands, Philippines.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.