SK Earthon Hits Oil in Vietnam’s 15-1/05 Block
SK Earthon, the exploration and production (E&P) subsidiary of SK Innovation, has recently announced a significant oil discovery at the Lac Da Hong-1X (Pink Camel) well in Vietnam’s 15-1/05 Block. This discovery is situated near the Lac Da Vang (Golden Camel) development, which is slated to begin oil production in the second half of next year. The find is not only a key milestone for SK Earthon but also highlights the company’s growing success in Southeast Asia’s energy sector.
The Lac Da Hong-1X (Pink Camel) well is located in the Cuu Long Basin, off Vietnam’s southeastern coast, and its discovery marks the second successful oil find for SK Earthon in just three months. In January, the company made another major breakthrough in Vietnam’s 15-2/17 Block, where exploratory drilling confirmed oil reserves and led to trial production. These consecutive successes are a testament to SK Earthon’s strategic focus on resource development in core regions, particularly in Southeast Asia, which continues to show promise for oil and gas exploration.
Murphy Oil Corporation, the operator of the 15-1/05 Block, shared the news of the Pink Camel discovery during an earnings call on May 7. According to Murphy, the drilling at the Pink Camel well revealed a 32-meter oil column at a depth of about 4,100 meters, located just 5 kilometers away from the Golden Camel field. The oil discovered at the Pink Camel structure is high-quality light crude, with trial production rates reaching 2,500 barrels per day. Murphy’s announcement not only confirmed the quality of the oil but also highlighted the potential of the 15-1/05 Block for further exploration and development.
The proximity of the Pink Camel well to the Golden Camel field is a key factor in the development strategy for the 15-1/05 Block. This close distance, along with the recent discovery in the 15-2/17 Block, is expected to result in synergies that will enhance the efficiency and technical integration of the development process. This clustering strategy, which focuses on concentrating resources in high-potential areas, has been a core part of SK Earthon’s approach to resource development in Vietnam and other regions.
SK Earthon has had a presence in the 15-1/05 Block since 2007, holding a 25% stake in the project. Murphy Oil holds a 40% interest, while Vietnam’s state-owned PetroVietnam Exploration Production (PVEP) owns the remaining 35%. The collaboration between these stakeholders has been essential to the successful exploration and development of the block, particularly in the Golden Camel field, which was confirmed as commercially viable in 2019. With the upcoming production from Golden Camel scheduled for the second half of next year, the recent discovery at Pink Camel adds to the positive momentum in the region.
The success in Vietnam is part of SK Earthon’s broader strategy to strengthen its position as a global energy resource development company. The company’s focus on Southeast Asia, a region rich in oil and gas resources, has proven to be a wise decision, with multiple discoveries and ongoing projects that continue to drive growth. SK Earthon’s representative commented on the company’s commitment to expanding its presence in the region, noting that the clustering strategy has already led to consecutive successes, with the potential for even more in the future.
This discovery adds to SK Earthon’s already impressive track record in the oil and gas industry. Since entering the resource development business in 1983, SK Earthon has participated in a total of 11 blocks across eight countries. With an average production rate of 58,000 barrels of oil and gas per day (in oil equivalent), SK Earthon is a key player in the global energy market. In addition to its exploration and production efforts, the company is also involved in three liquefied natural gas (LNG) projects, further diversifying its portfolio and strengthening its position in the energy sector.
Looking ahead, the successful drilling at the Pink Camel well and the continued development of the Golden Camel field represent significant opportunities for SK Earthon to expand its oil production capabilities in Vietnam. The synergies between these fields, combined with the ongoing exploration activities in other regions, position SK Earthon for continued success in the energy industry. As the company prepares to begin oil production at Golden Camel next year, it remains focused on advancing its global resource development strategy and maximizing the potential of its existing assets.
The discovery at Pink Camel is also important for Vietnam’s energy sector. As one of the fastest-growing economies in Southeast Asia, Vietnam is increasingly relying on domestic energy resources to fuel its development. The successful exploration and production efforts by SK Earthon and its partners contribute to the country’s energy security and help reduce its dependence on imported oil. With continued investment in exploration and development, Vietnam’s oil and gas industry is poised for growth, and companies like SK Earthon will play a crucial role in this expansion.
