Advance Energy
Perth-based Advance Energy yesterday reported the fourth successful completion on its Totem Prospect in Martin County.
The 10,750ft-deep Strain 16-4 well in the Motherlode Phase II project was successfully stimulated in nine different zones and put on production in mid December 2007.
Its daily production is 60 barrels of oil and 90,000 cubic feet of associated gas, as well as 150 barrels of frac load water.
“As the 19,000 barrels of frac water is recovered, it is estimated the well will peak at 100 barrels per day and 150,000 cubic feet per day,” Advance said.
In the same project, but in Key East prospect, the 11,000ft-deep Thomas 5-1 well has been put on pump and is producing at rates in excess of 120bpd and 200,000cfd. Three offsets to this well are planned for 2008.
Advance has a 12.5% working interest in this project. The operator is Endeavor Energy Resources.
Meanwhile, Advance said on Tuesday that the Brown Vick-1 well in Palo Pinto County was nearing proposed total depth of 4400ft and had encountered two hydrocarbon shows in its shallow targets.
The 2850ft Strawn Sand exhibited good sand and gas shows on the mud log, and the 3350ft Caddo Lime showed good porosity and a gas show on the mud log.
“This project, situated due north of Advance’s Lone Camp Project, has been selected by the company as it is very similar in geologic and operational nature to the other 19 wells owned by Advance in the county,” the company said.
The Brown Vick project provides an excellent low-risk opportunity to increase proved oil and gas reserves in a producing basin that the company and its US based management team are highly experienced in, according to Advance.
Burleson Energy
Meanwhile in Grimes County, Burleson Energy has connected Jet-3 to a gas sales line and boosted its equity in the Marlin-1 well, which is drilling ahead.
Production and sales started on January 11 from Jet-3 at an initial rate of around 8 million cubic feet per day (MMcfd) of gas.
“This is a strong flow rate as the well is in a clean-up phase, expelling drilling fluids as well as gas,” Burleson said.
“Given high prevailing gas prices – with the Henry Hub marker currently $US8.20 to 8.50 per million cubic feet it equates to over $A17,000 per day in after-tax revenue net to Burleson [which has a 37.5% working interest in Jet-3].”
Jet-3 is the third Austin Chalk well in which the company has participated. Two others – YPU-1 and Rocket-2 – are already in production, and Burleson is hoping to land a fourth catch with its Marlin-1 well, which is drilling ahead.
Burleson has increased its equity in this well and now has working interest of 29.7% and Net Revenue Interest of 23%.
This well spudded on New Year’s Day and is expected to take 63 days to drill and complete.
It involves drilling a vertical hole of 14,962ft and a 6500ft horizontal (lateral) wellbore in the Austin Chalk reservoir.
As of Tuesday, the well was drilling ahead at 14,025ft and the operator had just completed “bending” the well bore to what will become a horizontal section in the reservoir.
“The drilling performance to date has been excellent with an average of over 900 feet per day achieved,” Burleson said.
Texon Petroleum
Meanwhile elsewhere in south Texas, Bilinga-1, the first well in Texon’s 2008 shallow program, has reached a total depth of 1006m (3300ft) after intersecting the target Frio sand.
“Wire line electric logs indicate a 3.5-metre potential gas-bearing formation between 904 metres (2966 feet) and 910 metres (2986 feet),” Texon said.
“Production casing will now be run in preparation for testing this zone in the next 10 days with separate testing equipment. After running the production casing, the drilling rig will move to the Stradbroke prospect.”
Bilinga is targeting 300-400MMcf in gas. Texon has a 100% working interest (75% net revenue interest) in this well.
Sugarloaf
Three Australian juniors – Adelphi Energy, Aurora Oil & Gas and Eureka Energy – have teamed up with London-listed Empyrean Energy and operator Texas Crude Energy to tackle the Sugarloaf prospect and surrounding acreage, including Sugarkane, which is being drilled.
Texas Crude has advised that significant further gas shows and multiple gas flares have been encountered over approximately 2700ft during drilling of the horizontal section of the well in the target zone.
According to Adelphi, Aurora and Eureka, this provides encouragement that permeable natural fracture systems could exist in this productive formation that is believed to extend over the Sugarloaf Joint Venture area and adjacent acreage.
“The existence of any such natural fracture systems is likely to improve the potential productivity of horizontal development wells that intersect them,” the juniors said.
“The operator’s plans to test the wells using different completion techniques will provide them with valuable information for the future development of the discovery.”
Meanwhile, on Sugarkane the operator plans to cease drilling at a measured depth of 15,100 feet prior to the planned total depth of 17,800 feet to carry out a natural open hole test to see if the well will flow commercially without stimulation.
“The shows and flares were encountered whilst drilling with relatively heavy mud weight and the well was observed as trying to flow naturally,” the Australian partners said.
“The drilling rig has been released in order to bring in a workover rig to run tubing and commence testing as a natural open hole completion. Depending upon testing results, a water frac may then be used to enhance flow rates.
“If non-commercial flow rates are sustained following a water frac then it is likely the operator will bring the drilling rig back onsite to continue drilling to the original planned total depth.”
Antares Energy
Perth-based Antares reported yesterday that it was busy with gas wells in several different parts of Texas.
In Brazoria County, the Harrison-2 well is drilling ahead at 7321 feet and intermediate casing will be run by operator Slawson Exploration over the next few days. Antares has a 75% working interest in this project.
In Wharton County, Outlar-1 is in stabilised production and continues to produce at an average rate of more than 3MMcfd and about 200 barrels of oil per day. Antares has a 26.25% working interest in this well; the operator is CICO.
And in Jim Wells County, fracture stimulation of the lowermost sand in the Jean H Freeborn-1 well has been scheduled for January 23.
This is part of the Shaeffer Ranch project, which covers parts of Jim Wells, Duval and Live Oak counties.
Antares has a 50% stake in this project in partnership with operator San Isidro Development Company.
“The combination of easily mapped structures, adjacent discoveries on similar features, no prior 3D seismic, and a large guaranteed land position all point to a relatively unique and highly attractive exploration opportunity in this prolific fairway,” Antares said.
Elixir
Meanwhile early this week, offshore Texas explorer Elixir Petroleum put out an update on its Pompano project, where Well SL 103229-1 (Well-1) spudded on Saturday.
The Pompano Project is essentially a re-development of the Pompano gas field with new well locations based on modern 3D seismic data, Elixir said earlier this month.
The Pompano is about 145km southwest of Houston, approximately 11km offshore and in 17m of water.
“If successful, the Pompano Project will use the field’s extensive existing production and pipeline facilities,” Elixir said.
“This will achieve a significant capital cost saving and a reduction in time to production for the project.”
Well-1 is being directionally drilled from the field’s B satellite platform to 2420m feet measured depth and is expected to take 30 days to drill and complete.
The well is designed to test seven potentially gas bearing sands between 1160-2400m measured depth, according to Elixir.
“Several of these sands have been productive down dip or nearby within the Pompano field,” the company said.
“In the event of success, the well can be readily connected to the existing pipeline network and gas-treatment facilities, and is expected to be brought on production soon after well completion.”
Elixir Petroleum has a 25% working interest in this well, which will be reduced by 5% under a ‘back-in’ arrangement with AnaTexas once Elixir has recouped its total investment in the well, plus 20%. The project operator is Buccaneer Resources.
