Area Drilling

June 7, 1999
Seven Seas Petroleum Inc., Houston, said the Tres Pasos-1W horizontal well in Guaduas field produced at a maximum rate of about 7,000 b/d of oil after acid treatment and is shut-in for pressure build-up. The well on the Rio Seco block has produced 90,000 bbl of oil from Upper Cretaceous Cimarrona at about 6,000 ft. The company is encouraged by the test results and optimistic that horizontal drilling may enhance production from the structurally lower area of the field on the Emerald Mountain

Colombia

Seven Seas Petroleum Inc., Houston, said the Tres Pasos-1W horizontal well in Guaduas field produced at a maximum rate of about 7,000 b/d of oil after acid treatment and is shut-in for pressure build-up.

The well on the Rio Seco block has produced 90,000 bbl of oil from Upper Cretaceous Cimarrona at about 6,000 ft. The company is encouraged by the test results and optimistic that horizontal drilling may enhance production from the structurally lower area of the field on the Emerald Mountain structure 60 miles northwest of Bogota.

Inter-well pressure interference testing confirmed the connectivity of the fracture system throughout the reservoir, and the tests indicate that the proved reserves may be larger than the net 38.7 million bbl reported by Ryder Scott at yearend 1998. Interpretation of 3D seismic data from the field's northern half reinforces the interference test results.

Seven Seas is evaluating third party proposals for the financing, building, and operation of a pipeline from Guaduas field and continuing talks with Ecopetrol on a declaration of commerciality.

California

Nuevo Energy Corp., Houston, has decided to plug and abandon the 1A Cree Fee, in 30-31s-22e, in Kern County, reports Kismet Energy Corp., Denver.

The operator said that certain zones flowed at rates as high as 300 Mcfd of gas, too low to be economic. The primary objective, Eocene Point of Rocks sands, was not reached because the drill penetrated the lower portion of the eastern flank of the anticline (OGJ, Apr. 12, 1999, p. 75). The operator plans to drill more wells on the acreage, Kismet said.

Louisiana

Panaco Inc., Houston, said its 1 Musser Davis in Beauregard Parish has produced 5,250 bbl of oil from Eocene Wilcox without the frac stimulation normally required in Cowards Gully field. The well, in 4-7s-11w, was flowing 320 b/d of oil and 385 Mcfd of gas without water at 3,475 psig on an 8/64 in. choke from Wilcox at 11,200 ft in late May.

A second well, 1 State Lease 12239, was cleaned out and after frac was producing 219 b/d, 310 Mcfd, and 70 b/d of load water with 2,375 psig FTP on a 9/64 in. choke. Panaco acquired the North Cowards Gully project in late 1998 and plans to further develop the field.

New Mexico

Penwell Energy Inc., Midland, Tex., staked a wildcat to Jurassic Entrada in the San Juan basin. The 1-23 Penistaja-Federal, in 23-20n-4w, Sandoval County, is projected to 6,000 ft.

The site is 41/2 miles north of Eagle Mesa (Entrada) oil field. It is also 2 miles northeast of the Linmark Corp. 1-27 Federal, in 27-20n-4w, a 1998 discovery that pumped 36 b/d of 34.6° gravity oil and 224 b/d of water from Entrada at 5,864-66 ft, IHS Energy Group reported.


Rio Chama Petroleum Inc., Santa Fe, N.M., acquired 13 wells each from Central Resources Inc. and Energen Resources Corp. The wells are near Lindrith, N.M., in the southeastern San Juan basin adjacent to Rio Chama's existing production.

The acquisition gives Rio Chama 138 operated wells that produce a combined 4 MMcfd of gas and 50 b/d of oil.

New York

The state division of mineral resources in Albany received bids as high as $313/acre for oil and gas leases in western New York on May 4.

The 13,061 acres in 11 parcels brought $3.03 million, or $232/acre. The tracts are in Chemung, Steuben, and Schuyler counties.

New York had 48,410 acres of state leases in force prior to this sale.

Tennessee

Basin Oil & Gas Corp., Lexington, Ky., plans to place on production by late June a strong flowing well in Overton County.

The 2 Wright, in 24-1s-53e, flowed at the rate of more than 100 bbl/hr from open hole at 700-715 ft in Ordovician Sunnybrook without stimulation.

The flow rate is perhaps the highest recorded in the state, said geologist James Washburn.


Young Oil Corp., Knob Lick, Ky., is completing three more shallow wells in Overton County, where one well has produced more than 17,000 bbl of oil in less than a year.

That well, 4 Peace, went on production nearly a year ago at 102 b/d of oil and is now making 50 b/d of oil from Mississippian Fort Payne at 455 ft.

The 1 Haley-Peace is expected to produce 25-30 b/d without stimulation, and the 2A and 9 Peace wells are awaiting treatment and completion. The 1 Mullins, in 1-1s-51e, IPd at 200 b/d and has settled at 15 b/d.

Texas

A unit of Castle Energy Co., Radnor, Pa., will provide as much as $5.3 million to acquire 3D seismic data and drill wells in Maverick County in partnership with Exploration Co., San Antonio.

Exploration Co., which will operate, has contributed its interest in the 8,800 acre Alkek lease to the venture. It hopes to drill at least 12 wells, expanding on its success in Prickly Pear (Glen Rose) field, which is producing 20 MMcfd of gas.

Wyoming

McMurry Oil Co., Casper, will provide $800,000 to University of Wyoming's Institute for Energy Research to help the institute apply its new exploration techniques to search for basin-centered gas accumulations in several Wyoming basins.

IER researchers have been using seismic and sonic velocity data to characterize anomalously pressured gas accumulations in basins throughout the Rocky Mountain region and the world. The new technology is being used to "high grade" areas of the subsurface that are most likely to contain natural gas and have the best prospects for drilling. The technology can significantly reduce risk and potentially increase the profitability of a project, McMurry said.

McMurry will use the IER technology to explore projects outside its major producing area, Jonah field in the Green River basin.

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