LGO Provides Goudron Field Drilling Update
LGO is today pleased to announce that well GY-670, the seventh of its planned 30 new development wells at the Goudron Field in Trinidad, is drilling ahead in the Gros Morne Sandstones at a depth of approximately 2,750 feet measured depth (“MD”) after the setting of the planned intermediate 9 5/8-inch casing at 2,394 feet MD. A total of 206 feet of net oil pay were identified on electric logs in the Goudron Sandstone formation.
Well GY-670 was originally planned to test the Goudron and Gros Morne Sandstone reservoirs to a total depth (“TD”) of at least 3,100 feet TVDss (equivalent to 3,305 feet measured depth (“MD”)) however, following further analysis of the recent well, GY-669, it has been decided to deepen the well to drill the entire high pressure Lower Cruse section and to reach the pre-Cruse at a new estimated TD of 4,250 feet MD.
Analysis of the sixth new Goudron well, GY-669, which reached a TD of 3,505 feet MD has now been completed. The net pay in the Gros Morne Sandstone and Lower Cruse, which grade into one another with no defined lithological boundary, has been measured as 248 feet. The previous use of the term C-sands to encompass undifferentiated sands between the pre-Mayaro unconformity (the base Goudron Sands) and the pre-Cruse seems to be appropriate to well GY-669 and may be adopted for future simplicity.
A minor re-evaluation of the fault configuration following the results of GY-669 has led to the conclusion that the previously planned Goudron Sandstone well, anticipated to be the fourth from Pad 3, is not ideally situated and the drilling of that well may be deferred until 2015. Three wells from Pad 3, all targeting the Gros Morne (C-sands), will be drilled and completed by end 2014.
Optimisation of the production from Pad 2 is awaiting approval to recomplete well GY-667 in the more extensive and productive Gros Morne reservoir which was recorded to have 219 feet of net oil pay from electric logging. That approval is now thought to be imminent and recompletion will start immediately that approval is received.
Neil Ritson, LGO’s Chief Executive, commented:
“The development drilling has continued to produce results in line with or ahead of expectations and GY-670 is progressing to plan and will be deepened to intersect with all likely oil bearing reservoirs. Once GY-670 reaches TD the third and final Gros Morne well on Pad 3, GY-671, will be drilled and then it is expected to complete all three wells as producers by end year. This will lead to a further significant increase in production as we go into 2015.”
Competent Person’s Statement:
The information contained in this announcement has been reviewed and approved by Neil Ritson, Chief Executive Officer and Director for LGO Energy Plc, who has over 35 years of relevant experience in the oil industry. Mr. Ritson is a member of the Society of Petroleum Engineers (SPE), an Active Member of the American Association of Petroleum Geologists (AAPG) and is a Fellow of the Geological Society of London.