Argentina
Roch SA, operator of the Coiron Amargo block in Argentina's Neuquen basin, will attempt completion in the Vaca Muerta shale at the CAS X-5 well.
Drilled to 11,155 ft on the southern part of the 100,000-acre block, the well penetrated 100 m of Vaca Muerta shale as indicated on logs and has been cased. The shale has a total organic carbon value of more than 4%.
Based on technical information gathered to date, Coiron Amargo has some of the highest TOC content in the basin, and based on core data on the block, the lower Vaca Muerta at CAS X-5 is expected to have around 7% porosity, said Madalena Ventures Inc., Calgary, which has a 35% working interest in the block.
Other interests in Coiron Amargo are Roch 20% and Apco International Oil & Gas Inc., Tulsa, 45%.
Madalena Ventures noted that recent joint ventures have been formed near Coiron Amargo by both Chevron and Bridas on YPF-held acreage for an estimated $1-1.5 billion to earn various working interests in the Vaca Muerta shale.
Egypt
The discovery well of the newly found West Al Baraka field in southern Egypt's Kom Ombo basin has averaged 120-250 b/d of light oil since being placed on extended test in December 2012, said Sea Dragon Energy Inc., Calgary.
Egypt's Petroleum Ministry granted a development lease, and as many as three more wells could be drilled after the plan is approved. The discovery well, West Al Baraka-2, is shut-in awaiting replacement of a bottomhole pump. Meanwhile, Al Baraka field, the other field on the Kom Ombo concession 1,000 km south of Cairo, is producing 500 b/d of oil.
Sea Dragon and Dana Gas, which hold 50% interest in the concession, plan $4 million in capital spending and expect production from existing wells to average 510 b/d.
Guyana
Guyana's government issued one petroleum prospecting license each to two subsidiaries of CGX Energy Inc., Toronto.
The new Demerara license covers 3,975 sq km and applies to the former offshore portion of the Annex PPL, which was a subset of the firm's original Corentyne petroleum agreement, and is awarded to wholly owned unit CGX Resources Inc. Work program is a 3D seismic survey of at least 1,000 sq km and drilling one exploratory well within 4 years.
The new Berbice PPL applies to the former 1,566 sq km Berbice license and the former onshore part of the company's original onshore Corentyne PPL on 1,729 sq km and is awarded to ON Energy Inc., a 62% owned unit of CGX. Work program is an airborne survey of at least 1,000 sq km and either 100 sq km of 2D seismic or drilling one exploratory well within 4 years.
CGX said it has identified leads on Demerara that will require 3D seismic to enhance to prospect status. The license straddles a portion of the current continental shelf and is updip from a 3D seismic recently shot by ExxonMobil and Shell on the adjoining Stabroek petroleum agreement.
The main exploratory targets on Berbice are stratigraphic traps similar to Tambaredjo and Calcutta heavy oil fields onshore Suriname. Staatsolie Mij. Suriname NV estimates the two fields hold more than 1 billion bbl of original oil in place. Remaining proved reserves at yearend 2011 were 77 million bbl after 30 years of production.
Iraq
Canadian firms that held interests in the Qara Dagh block in Iraq's Kurdistan region relinquished the block in late 2012.
The companies in November 2012 entered into an agreement with the Kurdistan Regional Government to surrender their collective interests. Niko Resources Ltd., which was block operator and held a 49% working interest, recognized a $39 million asset impairment in the first quarter of its fiscal 2013 when it reassessed the recoverable amount of the block exploration and evaluation asset. The relinquishment was in exchange for proceeds equal to the carrying amount of the asset.
Pursuant to the agreement, none of the consortium partners have any future obligations or liabilities with regard to the original production sharing agreement, and Niko expects to recover $15 million.
Besides Niko, interests in the block were Calgary firms Vast Exploration Inc. 25% and Groundstar Resources Ltd. 6%. The KRG had a 20% carried interest.
Morocco
Gulfsands Petroleum PLC has completed the acquisition from Caithness Petroleum Ltd. of Moroccan operator Cabre Maroc Ltd. for $19 million in purchase consideration and satisfaction of Cabre Maroc liabilities.
Cabre Maroc is operator of an extensive portfolio of highly prospective oil and gas exploration licenses and gas exploitation concessions that total 13,352 sq km in northern Morocco, Gulfsands said.
The purchase brings Gulfsands a large, contiguous, and highly prospective position in an area with proven petroleum systems, revenues from near-term production, and multiple drilling targets.
Gulfsands also sees meaningful near-term value potential in the proven conventional and shallow gas play on the Rharb Centre permit and great exploration upside related to fold and thrust belt structures identified in the adjacent Rharb Sud, Fes, and Taounate permits.
With the acquisition, Gulfsands and Morocco's ONHYM become coventurers in the Rharb Centre and Rharb Sud permits, with Gulfsands the operator of the joint venture.
Following completion of various post-completion matters, Gulfsands and Caithness Petroleum through their respective subsidiaries will become coventurers with ONHYM in the Fes and Taounate permits, with Gulfsands as operator of both exploration joint ventures.
Longreach Oil & Gas Ltd., London, said it looks forward to drilling its first well within months on the 4,711 sq km Sidi Moktar license in the Essaouira basin onshore central Morocco.
Prospectiuni completed shooting 520 line-km of 2D seismic in 47 lines over a portfolio of prospects and leads, and Key Seismic has processed priority lines over Longreach's drill-ready Koba and Kamar prospects. Other leads will be highgraded to prospect status.
The four-block license surrounds the producing Meskala gas field. Four fields on Sidi Moktar have produced a combined 30.5 bcf of gas from Jurassic. The main targets are Silurian-sourced Triassic targets that produce in Meskala field.
