Costa Rica
The ministry signed final concession agreements Aug. 12 on blocks 2, 3, 4, and 12 covering a combined 5,634 sq km on and offshore in the North and South Limon back-arc basin along the Caribbean coast (see map, OGJ, July 13, 1998, p. 84).
MKJ Xploration Inc., Metairie, La., which bid successfully for the blocks in 1997, signed an agreement under which the concession will be assigned to an entity owned 80% by a unit of Harken Energy Corp., Houston, and 20% by MKJ.
The concession requires an initial investment of up to $2.9 million to fund the initial minimum work program. Harken said it has 17 months from signing to conduct a preliminary seismic evaluation and begin drilling the first wildcat.
Harken said Cretaceous black shales that outcrop on the blocks in Costa Rica are a logical extension of its La Luna source rock drilling program in Colombia.
Initial plans involve shooting seismic this year and drilling in second half 2000.
Turkey
Aladdin Middle East Ltd. plans to start sustained production from the No. 12 well in Zeynel field in southeast Turkey's Gaziantep region.
It indicated initial production of 1,000 b/d of 24° gravity oil from Cretaceous Mardin carbonates, said Trans-Dominion Energy Corp., Calgary, which holds a 12.5% overriding royalty.
Sustained production is likely to be lower than the initial indicated rate. Crude is processed at TPAO's Tupras refinery at Batman, Turkey.
Tennessee
Exploration may be expanding in eastern Tennessee on and near the Eastern Overthrust Belt.
Empire Energy Corp., Overland Park, said it signed a joint exploration agreement with Pryor Oil Co., Parkville, Mo.
The companies plan to target reserves in Cambro-Ordovician Knox and have evaluated large areas between Overton and Hancock counties, a distance of about 125 miles. The initial program will target Knox in Overton County, IHS Energy Group reported.
The companies said they are conducting 3D seismic surveys to define and grade prospects and hope to drill at least one wildcat this year.
Meanwhile, Tengasco Inc., Knox- ville, said it tested the 5 Paul Reed well in Swan Creek field, Hancock County, at 360 b/d of oil.
It encountered 28 ft of fracture porosity in Ordovician Stones River at 2,982 ft. TD is 3,210 ft.
Reserves were estimated at 702,500 bbl of oil on 40 acre spacing.
Texas
Gulf Coast
Dale Operating Co., Dallas, said its 3 Rochelle in the Dry Hollow field area of Lavaca County is producing 30 MMcfd of gas with 1,300 psi FTP from Lower Wilcox at about 13,500 ft.
Including this fourth successful well, the Rochelle No. 1 Gas Unit, in P. Huerta Survey, A-227, is producing at the maximum plant capacity of 55 MMcfd of gas.
Ultimate reserves for the various unit reservoirs are estimated in excess of 125 bcf.
