Proposal VICO Indonesia is an Oil and Gas Company operating the Sanga-Sanga PSC inEast Kalimantan. This PSC comprises of four operating assets: Nilam, Mutiara, Semberah and Badak. The depositional environment consists of fluvial-deltaicsands with oil and gas bearing sandstone formations stacked on top of eachother, there are on average ten to twenty zones per well. Exploiting thesereservoirs to their maximum potential to meet the gas delivery to Bontang LNGplant is the object of the asset teams. Maximizing asset value by increasingproduction with lower investment is very important within the VICOorganization. In order to achieve the above objective at optimal costs, a lot of emphasisis being given to rigless activities. The main activity is to open thesestacked gas bearing sandstone formations by adding perforations either bywireline or by utilizing extreme under balanced perforating techniques. This paper focuses on the utilization of state-of-the-art software, perforation performance module (PPM) in conjunction with extreme under balanced(EUB) perforating technique for maximizing gas production from the deep lowpermeability and low porosity gas bearing reservoirs. This paper presentsvarious cases showing how effectively and economically these deep sandstoneformations can be completed to maximize the return on investment (ROI). The PPMwas utilized to predict the performance from these reservoirs. The actualpost-job results were then used to verify the predictions. This was essentiallyto assist VICO in making the decisions in line with the economic benefits forvarious perforating techniques. Reservoir Description VICO Indonesia's Oil and gas fields are located in the Kutai Basin, EastKalimantan, shown in Figure 1. The sedimentary system starts fromMiocene age until recent. At the end of the Miocene period the ancient deltawas formed. The delta was formed and moved from west to east, uplift createdfolds. Two of the most common sandstone facies recognized in the Miocenesediments are fluvially dominated, distributary channel and tidally dominated, delta front bar deposits. Commercial hydrocarbons can be produced from highlyquartzitic channel sandstone to a maximum depth of burial of 15,000 ft. Ingeneral, distributary channel facies have a relatively higher porosity comparedto a front bar. The sedimentary system is divided into three sequences. The upper and middlesequences identified have good reservoir quality (porosity and permeability)while the lower sequence has poorer reservoir quality. The lower sequence (deepgas sand) exists in all VICO fields and offers a significant volume of gas tobe exploited. From the petrophysical calculation, permeability is less than 5md and porosity is less than 12% while the pressure is slightlyoverpressured.

A common horizontal well completion design, in recent times, in tight gas reservoirs includes the ability to place multiple hydraulic fractures along the length of the wellbore. This practice provides a better drainage pattern and the required flow capacities for the gas to flow making tight gas reservoirs economically viable producers. This is the customary completion practice for clastic rock development, which has shown good results. However, in many cases especially when stepping out in regions beyond the established boundaries, completion design by itself is not sufficient to ensure desired production. The standard protocol to get the best chance of placing the horizontal section in good quality reservoir is to first perform petrophysical evaluation of the preferred pay interval, drill a pilot hole through the potential reservoir section and then place the lateral section in the zone of interest. The pilot hole provides a control point and helps reduce uncertainties in drilling laterally through the target pay zone.This typical completion procedure however does not guarantee identical production even in offset wells. In a conceptual case where two offset wells(A & B) with similar pilot hole petrophysical attributes drilled horizontally in the same maximum horizontal stress direction but in diagonally opposite azimuths produce at widely differing rates. Uncertainties in far-field geology, areal limits, pore pressure distribution, rock property distribution, etc.are well known challenges that can contribute to making well delivery predictions difficult. To help in such situations and better understand the differences in well behavior a detailed workflow based study that includes reservoir characterization, well placement, stimulation design and production history matching is required. The objective of such a study would be to address questions regarding reservoir quality and identifiable "sweet spots," the absence of which could result in poor well performance. The workflow study discussed here is a review of well accepted practices with the objective of highlighting challenges and providing insights into the best and most effective ways to develop complex and highly heterogeneous plays. The workflow loop (Figure 1) is an iterative study process where well performance puts the final seal of approval on the pre-job modeling and executionplanin the well delivery process. In cases where the wells fall below expectations the iterative loop would look for additional information to refine the earlier assumptions. This study considers examples where palynology helped improve geological understanding and played a critical role. The workflow sequence is mapped in this paper.