BNK Petroleum Inc., Camarillo, Calif., said it has been awarded a 535,000-acre concession in east-central Germany prospective for wet gas in fractured carbonates similar to the Austin chalk play on the US Gulf Coast.
On the Weinbergen concession in Thuringia, Germany, along with the Seeadler and Steinadler concessions, the fractured carbonates are in contact with an organic rich shale that is the source rock. Vintage fields in the concession produce oil and gas, and other operators in Germany and elsewhere in Europe are pursuing similar play concepts, BNK said.
BNK believes the carbonates can be developed best with horizontal drilling and completion techniques. The concession terms include certain minimum requirements, the more important of which include conducting geologic work in the first year, shooting 2D seismic in the second year, drilling a vertical well in years 3 and 4, and drilling a horizontal well in year 5.
Meanwhile, a rig has been contracted to spud the first of three wells on the company’s Indiana concession blocks in Poland. Location is to be built in January 2012, and the rig is expected to move on in late February or early March. BNK is applying for permits to drill horizontal wells.
A 2D seismic program is about 35% complete. About 60% of the acquired lines are being processed, and BNK anticipates receiving that data by yearend. The program consists of about 407 line-km on the Saponis concessions and 333 km on the Indiana concessions. The objective is to further define basin structure and burial history and aid in the selection of well locations.
BNK plans to appoint a financial advisory firm by yearend to assist in evaluating farm-in inquiries received on a number of the company’s wholly owned European projects.