REG - Empyrean Energy PLC - Jade well reached Total Depth

Empyrean EnergyAnnouncement

27/04/2022 07:16

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RNS Number : 5030J  Empyrean Energy PLC  27 April 2022

This announcement contains inside information

 

Empyrean Energy Plc / Index: AIM / Epic: EME / Sector: Oil & Gas

 

Empyrean Energy plc

 

Block 29/11, China - Jade well reached Total Depth - No hydrocarbons in target
reservoir

 

27 April 2022

 

Empyrean Energy plc ("Empyrean" or the "Company"), the oil and gas development
company with interests in China, Indonesia and the United States,  provides
the following update on drilling at the Jade prospect at its 100% owned Block
29/11 permit, offshore China:

 

HIGHLIGHTS

 

·     LH 17-2-1 well at the Jade prospect reached final total depth of
2849 metres Measured Depth ("MD") in Pre-Tertiary granitic formation

·     The interpretation from logging while drilling (LWD) and mud
logging equipment has indicated no oil pay in the target reservoir

·     Current operations are running final logs before commencing
demobilisation of the NH 9 rig

 

Empyrean is the operator of Block 29/11 in China and has 100% working interest
during the exploration phase. In the event of a commercial discovery, its
partner, China National Offshore Oil Company ("CNOOC"), may assume a 51%
participating interest in the development and production phase.

 

Well results

 

Excellent quality reservoir rocks in the Zhujiang Carbonate target were
intersected as prognosed. The interpretation from logging while drilling (LWD)
and mud logging equipment indicated no oil pay in the target reservoir. The
well reached a final total depth of 2849 metres MD at 6:00am this morning
local time. Current operations are the running of wireline logs. The wireline
logs are not expected to change the initial interpretation of no oil pay seen
on LWD.

 

Current operations

 

Wireline logging tools will now be run following a wiper trip before
commencing demobilisation operations of the NH 9 rig.

 

The information contained in this announcement has been reviewed by Empyrean's
Executive Technical director, Gaz Bisht, who has over 31 years' experience as
a hydrocarbon geologist and geoscientist.

Empyrean CEO, Tom Kelly, stated:

"We are extremely disappointed with the results of the well, particularly
after conducting a systematic and comprehensive technical analysis followed by
running a safe drilling operation. We would like to thank CNOOC for all their
support, CNOOC EnerTech for managing a successful operation and COSL for
conducting a safe drilling operation. We plan to conduct a thorough analysis
of well log data before deciding the next step in Block 29/11".

 

 

 

For further information please contact the following:

 Empyrean Energy plc
 Tom Kelly                   Tel: +61 6146 5325

 Cenkos Securities plc (Nominated Advisor and Broker)
 Neil McDonald               Tel: +44 (0) 20 7297 8900
 Pete Lynch
 Pearl Kellie

 First Equity (Join Broker)
 Jason Robertson             Tel: +44 (0) 20 7330 1883

 

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