FDC Daily Monitor 12th October 2010 Oil & Gas Corporate News
Coastal Energy (CEO, 267.5p, ? (0.0%)) announced that the Bua Ban A-11 well, in the Gulf of Thailand, was drilled to 4,500ft true vertical depth and encountered 50ft of net pay across two intervals in the Miocene reservoir with average porosity of 25%. The A-11 was an exploration well drilled to further establish productivity and potential trapping mechanisms in the Miocene. The A-11 is currently producing approximately 300bopd with zero water cut. The Bua Ban A-08 exploration well was drilled to test the northern limit of the Bua Ban field and encountered quality sands with some oil shows; however the sands were wet, suggesting that the well is at the down dip limit on the northern part of the structure. The well was subsequently completed as a water injection well. A further water injection well, the Bua Ban A-09, was drilled and completed prior to the departure of the rig from the Bua Ban location. During drilling of the A-09, 135ft of the main source rock in the Lacustrine Shale was cored for continued evaluation of a non conventional play. Initial core results are promising and final core analysis is expected in 8-10 weeks. The rig has been mobilized to Songkhla A where two appraisal wells will be drilled into the Songkhla Oligocene Wedge and two appraisal wells will be drilled into the Eocene reservoir. The upgrade of the processing equipment at Songkhla A is expected to begin in mid November. Offshore production is currently 10,500bopd and total combined production is approximately 12,500boepd. Global Energy Development (LON:GED) (GED, 64.5p, ? (1.57%)) has been granted an extension by the Colombian National Hydrocarbons Agency for the drilling of the Tilodiran 4 development well located within the Rio Verde contract. Under the terms of the previously agreed Development Plan, the Tilodiran 4 well was required to be drilled with total depth being reached by mid December 2010. The Company now has a six month extension to this deadline which will allow additional planning time. As previously advised, it was not anticipated that the Tilodiran 4 well would contribute to production in 2010. The additional time will allow the Company to seek the most efficient and cost effective way to drill the Tilodiran 4 well, and also potentially allow the drilling of the…
