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Chevron to launch seismic survey in Block 7 in Jan

UNB, Dhaka
The US-based Chevron Bangladesh will launch its seismic survey in Block 7 in the first week January to delineate potential gas reserves and initiate subsequent exploration, officialssaid.
The company will continue the two-dimensional (2D) survey until mid 2009 in the block that covers the southwestern districts of Barisal, Patuakhali, Jhalakathi and Pirojpur.
"We've already completed mobilising our team to start the survey. We're hopeful of starting the work by January 7," a senior official oftheChevron told UNB.
“The proposed 2D survey will continue until end of the dry season." he added.
The Chevron Bangladesh Block Seven Ltd, a sister con-cern of the Chevron Bangladesh, signed an addendum in June to the production sharing contract (PSC) for Block 7 with the state-owned Petrobangla.
Petrobangla Director, for PSC Major (Retd) Muqtadir Ali said as per agreement
Chevron would conduct the seismic survey and then drill an exploratory well in the block area by 2011.
He said further development work in the field like exploration of hydrocarbon would depend on the findings of the seismic survey.
Chevron has already relinquished 25 per centofdieexploration acreage of the Block 7 to Petrobangla in accordance with the PSC, he said.
He said the seismic survey would cover both onshore and offshore areas even up to 20km of the Bay of Bengal.
The seismic survey would delineate features of interest that were identified by a regional seismic programme acquired in 2006.
The project will consist of 450km of two-dimensional seismic data acquisition fulfill -ingone ofthe work programme commitments by Chevron to the Bangladesh government.
Chevron Bangladesh has 90 per cent stake as the operator, while the state-owned Bangladesh Petroleum Exploration and Production Company Ltd (Bapex) owns the
remaining 10 per cent in block seven.
Chevron will undertake all exploration risks under the PSC. while the Bapex would be responsible for its share of costs only after commercial discovery of gas and initiation ofthe output.
Regarding the seismic survey the Chevron Bangladesh President Steve Wilson had said. "Seismic programme in Block 7 aims to identify new reserves in order to increase the energy supply to Petrobangla."
He said Chevron is committed to continuing effort to expand its exploration programme to ensure future energy security of the country.
"We look forward to working closely with Petrobangla and Bapex with a view to devel • oping the energy sector safely and in an environmentally responsible manner."
Chevron is currently producing about 40 percent ofthe country's total gas consumption of 1800 million cubic feet per day from its three fields -Jalalabad. Moulavi Bazar and Bibiyana.