Investegate.co.uk
By BFN News
Circle Oil is ‘delighted’ with preliminary results of testing of the well SAH-W1 in the Sebou permit, onshore Morocco. The well is located within the western-central area of the Sebou Permit, about 3.2 kilometres to the south-west of the main gas gathering station. The well was drilled to a TD of 1,263 metres MD in June 2014, with gas shows encountered at different levels within the target Guebbas sands.
As is normal practice, Circle will produce from the lowermost Guebbas zone followed by the Main Guebbas zone sequentially from the bottom up, where the highest pressure is present.
The lowermost Guebbas zone has 3.6 metres of net pay and the test over this interval flowed at a sustained rate of 4.94 MMscf/d on a 24/64″ choke during a period of 5 hours.
The rig has been released from SAH-W1 and is being transported to the Lalla Mimouna concession to drill Circle’s first well on this permit, LAM-1. This will be the fifth well of the current drilling campaign and is located in the central part of Lalla Mimouna Nord on the east-west trending Anasba Ridge, within the existing 3D seismic area. The target of the LAM-1 well is for Miocene gas-bearing sands, similar to the Sebou discoveries made previously by Circle.
The primary target sands are prognosed at a depth of 1,231 metres MD and the TD of the well at 1,521 metres MD. Further wells in Lalla Mimouna and Sebou permits will follow to complete the current programme. Chairman Steve Jenkins said: “We are delighted with the results of the SAH-W1 well test.
This was the first well of our third drilling campaign, drilled with our partner ONHYM in the Sebou permit and is coupled with our drilling programme in the Lalla Mimouna permit. We believe that this well has the potential to add significant volumes to our reserves for gas production and at rates not subject to price fluctuation due to fixed price contracts.” At 8:46am: (LON:COP) Circle Oil PLC share price was +0.25p at 12.75p Story provided by StockMarketWire.com
