US Oil and Gas, the Plus Markets listed exploration group working on a project licence on the California/Nevada border, has reported that the latest geochemical evaluation has confirmed five hydrocarbon reservoirs. US Oil is planning to begin drilling on its Hot Creek Valley licence by the first quarter of next year and is currently wrapping up a series of scientific studies on the project.

A final analysis of the results of geochemical tests from the Eblana Phase 1, Sections 1 (West), Section 2 (North) and Section 3 (South) survey areas has confirmed five precisely defined hydrocarbon reservoirs. Samples were analysed for hydrocarbon content using Magnetic Susceptibility (MS), High Resolution Soil Spectral Analysis (HRSSA), UV-Vis Spectroscopy, Iodine, and Soil Electrical Conductivity (umhos). These analysis methods are independent of one another and are used for the detection of hydrocarbon microseepage phenomena related to potential oil and gas reservoirs at depth.

The five reservoir areas, one straddling Section 1 (East) and Section 3 (South), three in Section 2 (North) and one in Section 3 (South) yield a consistent halo anomaly. Halos, circular or semi-circular features, are anomalous hydrocarbon seepage phenomena detected at the surface, representing the edges of the hydrocarbon reservoir.

Reconnaissance geochemical data indicates additional very large hydrocarbon anomalies in the area lying East of section 2 (North), West of Section 2 (North) and slightly smaller anomalies in the area to the East and West of Section 3 (South). Further work on these sections will form the basis for the Eblana Phase II work programme which is scheduled to start before the end of the fourth quarter of 2010.

Brian McDonnell, the chief executive of US Oil, said: “Integrating this information into our existing datasets, we now have all of our Eblana Phase 1 prospect area targets identified. We intend to put an operational programme in place to bring these targets to the next stage of development.” Click here to read a Stockopedia interview with Brian McDonnell.

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