Bowleven (LON:BLVN), the West Africa focused oil and gas exploration group, this morning reported that its IE-3 appraisal well on the Etinde permit, offshore Cameroon, had reached a final depth of 3,048 metres. The company has run a suite of wireline logs and has taken samples and pressure data. From the information collected, there are indications that the well has encountered multiple hydrocarbon bearing reservoirs comprising both gas condensate and light oil.

The objective of the IE-3 well was to appraise the extent and communication of the upper Isongo reservoir updip of the previous wells drilled on the IE field and also to target additional deeper Isongo reservoirs. Bowleven said the well result indicated that it had encountered gas condensate in the upper Isongo sand objective in communication with and extending structurally updip of the highest known gas in IE-2z. In addition, logging and sampling of the deeper prognosed secondary objectives have identified further potentially significant multiple stacked reservoirs containing light oil and gas condensate pay.

The company said that further detailed analysis, including test data, was now required to fully evaluate the impact for its reserves base and to reduce the remaining risks around the development of the IE field area. It is now preparing to conduct a multiple test programme of up to four drill stem tests. Following testing the intention is to move the rig to the MLHP-5 exploration well location (Sapele-1).

In June, Bowleven completed a farm-out transaction that saw Vitol E&P Ltd acquire an initial 25% interest in Etinde in return for funding a $100m gross work programme. Vitol also has an option (exercisable on or before 30 September 2010) to acquire a further 25% interest in Etinde in return for funding a further $100m gross work programme and paying $25m in cash to Bowleven to progress Etinde activities.

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