Petroleum Geology and Exploration History of the Mergui Basin, THAILAND EPPM (P1) PROJECT

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Petroleum Geology and Exploration History of the Mergui Basin, THAILAND EPPM (P1) PROJECT KRABI, THAILAND 12 th May 2009

Contents of Presentation 1. Exploration History 1. Exploration History 2. General Hydrocarbon Potential 2. General Geology & Stratigraphy 3. Petroleum Geology & Petroleum Potential 4. Conceptual 3. Current Activities Play Types in the Mergui Basin 5. Challenges 6. Conclusion 4. Challenges 5. Conclusion Contents

Location Contents of Manora-1 Presentation 1. Exploration History 2. General Geology & Hydrocarbon Potential 3. Current Activities 20 4. Challenges o Source: DMF, Thailand, 2005 5. Conclusion 0 o Study Area 100 o 120 o

Exploration History Seismic Surveys in the Andaman Sea Operator Block Duration 2D (km) Amoco W2 1974 452.00 DMR Andaman Sea 28 Apr-23 May 1995 3,298.00 ESSO W9 1974-1975 11,785.00 Kerr-McGee W7/38 19 Apr - 10 May 1998 3,875.50 9-19 Feb 1999 1,332.30 Oceanic W7 1974 2,097.00 Pan Ocean W3,W4 1970, 1972 1,390.00 Placid Oil W8 1985 834.00 Union Oil W8 1973 7,163.00 Unocal W8/38, W9/38 29 Nov 1996-11 Feb 1997 11,737.00 Weeks W1 1973 910.00 Shell Seismic Data There are over 1,000 2D seismic lines, with total length approximately 45,000 km were acquired covering the main concession blocks. Total 44,873.80 Magnetic Survey in the Andaman Sea Kerr- McGee W7/38 1998 3,820.40

Exploration History OPERATOR WELL NAME BLOCK SPUDDED DATE RELEASED DATE RESULT ESSO W9-A-1 W9 15-Dec-75 01-Mar-76 DRY ESSO W9-B-1 W9 04-Mar-76 22-Mar-76 GAS&OIL SHOWS ESSO W9-C-1 W9 01-Jun-76 01-Sep-76 DRY ESSO W9-D-1 W9 03-Aug-76 02-Sep-76 DRY ESSO W9-E-1 W9 05-Sep-76 13-Nov-76 DRY UNOCAL TRANG-1 W8 11-Mar-76 28-May-76 GAS&OIL SHOWS UNOCAL TAI-1 W8 28-May-76 28-Jun-76 DRY UNOCAL PHANGHA-1 W8 30-Jun-76 13-Jul-76 DRY UNOCAL MERGUI-1 W8 16-Jul-76 02-Sep-76 OIL SHOWS UNOCAL PAYANG-1 W8 04-Sep-76 17-Sep-76 DRY UNOCAL SURIN-1 W8 20-Sep-76 02-Oct-76 DRY UNOCAL THALANG-1 W9/38 11-Oct-97 29-Oct-97 DRY UNOCAL KANTANG-1 W8/38 25-Oct-97 05-Nov-97 DRY UNOCAL KRA BURI-1 W9/38 06-Nov-97 23-Nov-97 DRY UNOCAL SI KAO-1 W8/38 05-Nov-97 03-Dec-97 DRY UNOCAL KATHU-1 W8/38 06-Dec-97 10-Dec-97 DRY PLACID YALA-1 W8 20-Sep-76 20-Oct-76 GAS SHOWS PLACID RANOT-1 W8 28-Jan-87 18-Feb-87 DRY KERR-McGEE MANORA-1 W7/38 22-Feb-00 13-Mar-00 DRY

Regional Framework 70² 90² 130² 150² E 60² N 50² 40² Major thrust fault Subduct ion zone Normal fault Displacement direction of m aj or cont. block s Region of extension Shear sense on strike-slip fault 60² S I B E R I A 150² 30² 50² 40² 30² 20² Herat fault Pamir I N D I A Burma fault M O N G O L I A? 1 2 Oceanic cr ust 140² 20² 10² 130² 0² Tectonic map of central-east Asia illustrating Extrusion model and its relationship with Cenozoic structures in the region. Numbers in white arrows indicate the relative order in which certain continental blocks were extruded toward the southeast. After Tapponnier et al. (1982). 10² 500 km Oceanic cr ust Kalimantan 10² 0² 120² 70² 80² 90² 100² 110² Figure 2.13 Tectonic map of central-east Asia illustrating Extrusion model and its relationship with Cenozoic structures in the region. Numbers in white arrows indicate the relative order in which certain continental blocks were extruded toward the southeast. After Tapponnier et al. (1982).

Physiographic map of the Mergui Basin 97 99 W7/38 W8/38 W9/38 8 = Low Area 6 MALACCA SHELF 97 99 = High Area = Concession Block of Study Area Source: Unocal Andaman (Thailand), Polachan 1988, and DMR s Petroleum Concession Map offshore Thailand, 2000

Plate motions and Simplified Structural Framework of Cenozoic basins in the Gulf of Thailand and the Andaman Sea Legend 90 o 95 o 100 o 105 o East Andaman FZ South China Sea Sagiang FZ Sumatran FS 15 o Bangkok 15 o Ranong FZ Khorat Plateau Mergui FZ Andaman Basin Mergui - North Sumatra Basin 10 o Gulf of Thailand Study Areas 10 o Study Area Thrust Indian Oceanic Plate 5 o Spreading Normal Fault 5 o Sunda Continent Mergui Basin Strik-Slip Fault Lineament Offshore area N 0 100 200km Plate Motion 90 o 95 o 100 o 105 o (Modified after Polachan,1988)

Seismic Vertical Sections across the Northern, the Central, and the Southern areas. W a) Mergui FZ E A Mergui Ridge Mergui Shelf B A Central High W b) Western Mergui Sub-basin Eastern Mergui Sub-basin E N Isochron Map Top Oligocene-Basement Mergui Ridge Central High Mergui Shelf B Seabed Top Upper Miocene UMU SIMF2 SIMF1_5 SIMF1 Seismic Basement NW c) Central High C Ranong Ridge Ranong Fault Mergui Shelf SE

Stratigraphic Correlation of the Mergui and N-Sumatra Basin

Contents of Presentation 1. Exploration History 2. General Geology & Hydrocarbon Potential 3. Current Activities 4. Challenges PETROLEUM GEOLOGY 5. Conclusion

Petroleum Potential Presence of Mature Source Rocks for Hydrocarbon Generation and Expulsion Presence of Good Reservoirs Characteristics Presence of Trapping Mechanism Presence of a Gas Accumulation

Source Rocks Gas Prone Basin Oligocene and L-M Miocene Shales with Landplant Derived Organic Matter Source Rock Potential is Poor to Fair Type II and III Kerogen Mature Source Rocks are Restricted in the Deep Part of the Basin Expulsion Began in the Late Miocene-Pliocene

Petroleum Source Rocks Depth vs. RO OI vs. HI 0 RO% 0 0.5 1 1.5 2 500 450 400 Type I 350 2000 HI 300 250 Type II Thalang- 1 Ranot- 1 Manora- 1 Kantang- 1 Depth 4000 6000 8000 Thalang Kantang Kra Buri 200 150 100 50 0 Type III 0 100 200 300 400 500 600 OI Kra Buri- 1 Yala- 1 10000 12000

Total Organic Content vs Depth Depth (ft) 0 2000 4000 6000 8000 10000 0 1 2 3 Total Organic Content (%) D-1 E-1 Phangha-1 Mergui-1 Kra Buri-1 Thalang-1 Kantang-1A 12000 14000 16000

Reservoir Rocks Oligocene Shallow Marine/Deltaic Sandstone Oligocene Mid Fan Turbidites Lower Miocene Sandstone Lower Miocene Carbonate Build-up

Traps and Seals Structural and Stratigraphic Traps are Defined Tilted Fault, Wrench related Anticline, Shale Diapirs, Draped Horsts, Reef, Buried Hill Types Miocene/Upper Miocene, Pliocene Marine Shale Seals

Conceptual Play Types in the MG Basin W E 8 7 9 8 7 7 2 1 4 3 5 6 Not to Scale Structural Traps 1) Drape over Basement High of Lower Oligocene Deltaic sand 2) Roll-over of Upper Oligocene sand 3) Crest of block of Oligocene sand 4) Drag fold of Lower Miocene sand Stratigraphic Traps 5) Oligocene Basin Floor Fan 6) Pinch-out of Lower Oligocene Deltaic sand 7) Lower Miocene Carbonate Buildups 8) Mid-fan Turbidite of Lower Miocene sand 9) Miocene Conglomerate reef

Challenges 1. Quantitative Petroleum Potential Assessment 2. Additional Resource in the north/west 3. Strengthen Academic Connection among geo-scientists 4. New Exploration Technology

Conclusions 1. Local tectonic activated periodically through time in the Mergui Basin, induced forming of various accommodation spaces for individual seismic packages, which are considered as a chance to find effective kitchen area 2. Outstanding petroleum reservoir was noticed by amount of sedimentary supply 3. Extensive Study of Seismic Interpretation in 2D data and Intensive Study in Local Source Areas are required 4. Petroleum charging from source to traps is expected 5. Additional Resource in the north remains undiscovered