Oil and Gas Corporate News
Hardy Oil (LON:HDY) and Gas plc (BUY, £2.50) (HDY, 223.50p, ? 1.97%) announced that on 30 July 2011 the PY-3 field was shut-in. The PY-3 oil field has been temporarily shut-in pending Management Committee approval of the award of a contract for the field's floating production system (FPS). We are working closely with all stake-holders to secure the necessary approvals and recommence production as soon as possible. Hardy is the operator of the PY-3 field and holds an 18% participating interest.
Cairn Energy (LON:CNE) plc (CNE, 352.70p, ? 305%) provided an operational update on the exploration drilling campaign offshore Greenland. The LF7-1 exploration well has reached target depth (?TD?) in basement strata and preparations are under way to plug and abandon the well. The well encountered a thick Upper Cretaceous section with tight (cemented) sandstones although the anticipated stratigraphically deeper reservoir section was absent at this location. Initial geochemical analysis of the background gas composition indicates the presence of pre-Tertiary oil prone source rocks in the basin. The AT7-1 exploration well in the Atammik Block has been temporarily suspended above the prognosed target objectives and the well is scheduled to be re-entered and drilled to planned TD at a later date in the current programme. With the opening of the weather window in the Disko area the Leiv Eriksson was moved 750km north to commence operations on the Delta prospect in the Napariaq Block, optimising the programme. The Delta-1 well has spudded on the Delta prospect, located in a water depth of 293m approximately 100km off the Greenland coast and 110km northeast of the Alpha-1S1 well drilled by Cairn in the Sigguk Block in 2010. The Gamma prospect in the Eqqua block, located in 1,520m of water and 110km southwest of the Alpha-1S1 well is scheduled to be drilled using the Ocean Rig Corcovado after operations on LF7-1 are complete.
Salamander Energy (LON:SMDR) (SMDR, 277p, ? 0.65%) announced the spud of the Cat Ba-1X ("101-CB-1X") exploration well in Block 101-100/04, offshore northern Vietnam. The 101-CB-1X well will be drilled to a depth of approximately 1,900 metres. The primary objective is a Palaeozoic carbonate, (buried hill) structure with secondary objectives in the overlying Tertiary clastic section. The mean gross pre-drill estimate of prospective recoverable resource is approximately 100…
