Serica Energy (LON:SQZ) this morning reported that drilling work had got underway over the weekend at the Oates exploration well location in Block 22/19c in the UK Central North Sea. The well will be drilled by the Ensco 100 jack-up drilling rig to a depth of approximately 10,000 feet and is anticipated to take approximately 30 days to drill. Serica has a 50% interest in the well, with Premier Oil (LON:PMO) holding the remaining 50%.
The Oates prospect has estimated prospective resources of 180 billion standard cubic feet of gas or 60 million barrels of oil, depending upon whether oil or gas is found. The exploration well is being funded by Premier in return for its 50% stake and operatorship.
In June, Premier reported that its Catcher East sidetrack well in the UK Central North Sea, had successfully encountered excellent quality oil bearing sandstones. The well (28/9-1Z) was drilled to a total depth of 5931ft measured depth by the operator Encore Oil (LON:EO.) and no oil water contact was encountered. Initial pressure data indicated a common pressure regime between Catcher East and the earlier Catcher discovery suggesting that they are likely to be part of a single accumulation. As a result of the latest analysis, Premier has increased the Catcher/ Catcher East reserves estimate to a range of 60m – 100m barrels from previous estimates of 50m – 80m barrels.
You can read further discussion on Oates here.
