Oryx Petroleum Corp., Calgary, said it believes it is months away from a commerciality declaration and could start oil production in mid-2014 from its Demir Dagh discovery in the Kurdistan Region of Iraq.
In its report for the quarter and 9 months ended Sept. 30, the company noted that it has added discoveries at Ain Al Safra in Iraq and Elephant in Congo (Brazzaville) to its asset base, is testing the ZEG-1 exploratory well, and has spudded wildcats at Banan in Iraq and Horse in Congo.
Oryx is prioritizing appraisal and development efforts on the Hawler license, which it operates with 65% interest. It took impairment charges related to relinquishment of the Sindi Amedi license in Iraq and the Mateen exploratory well on Sindi Amedi.
Design of the Demir Dagh early production facility is complete. Main separation trains are under refurbishment and fabrication of storage tanks in progress (OGJ Online, Aug. 7, 2013).
The facility is designed to have multiple trains with the ability to process light, heavy, sweet, and sour crudes. Land acquisition is complete and site preparation well along.
Equipment is being mobilized for both for the planned truck-loading facility and the tie-in to the Khurmala-Fishkabur pipeline.
With completion of initial tests at the AAS-1 exploratory well, the rig has moved to Demir Dagh and will spud the DD-3 well, 3 km southeast of DD-2, in late November. Target depth is 4,135 m to appraise the Cretaceous, Jurassic, and Triassic age reservoirs discovered at DD-2.
In particular, DD-3 will appraise formations in the Jurassic and Triassic where inconclusive results of DD-2 allowed for the booking of only prospective or contingent resources.
The DD-4 well is expected to spud in late 2013 after testing the ZEG-1 exploratory well and recompleting the DD-2 well. DD-4, 1 km southwest of and across a major fault from DD-2, is to go to 2,130 m to appraise the flank of the Cretaceous reservoir and be completed as a producing well.
The appraisal program, which includes a third well in early 2014, should further establish the field structure, the extent of hydrocarbon fill, and potentially result in an upgrade of the reserves and resources booked in Demir Dagh, Oryx said.
Production could amount to 7,000-9,000 b/d from two wells early on, 25,000 b/d by yearend 2014, and 40,000 b/d in 2015, the company said. Initial capacity of a permanent production capacity would be 100,000 b/d.
Four to five zones are to be tested at the Zey Gawra (ZEG-1) exploratory well, and the Banan (BAN-1) exploratory well spudded on Sept. 14 and is at 2,600 m enroute to 4,153 m.
