Mozambique
Sasol Petroleum International acquired Zarara Oil & Gas Ltd.'s interest in the Temane Block.
Zarara assigned its interest in the M-10 offshore block to Sasol in exchange for an increase of Zarara's interest to 10% in the Sofala Bay exploratory block. Sasol will carry Zarara's costs of drilling and testing the first Sofala Bay wildcat planned for later this year. The transactions concentrate Zarara's interest in northern Mozambique, where it holds 98% interest in the Buzi block onshore from Sofala Bay.
Portugal
Drilling began in early April on the Aljubarrota-3 appraisal well in the Lusitanian basin at what could become the country's first commercial hydrocarbon production.
The group led by Mohave Oil & Gas Corp., Houston, will use underbalanced foam drilling and run open hole tests on any gas shows, said Desire Petroleum PLC, London, 25% interest holder. Site is 3 km northeast of the Aljubarrota-2 discovery, which flowed gas on tests from Jurassic Brenha fractured limestones and dolomites.
Ontario
Range Petroleum Corp., Calgary, signed a third agreement that is to involve reef exploration in the eastern Michigan basin.
Range and Portrush Petroleum Corp., Vancouver, B.C., are to evaluate 10 Silurian Guelph prospects in southwestern Ontario starting in May (see map, OGJ, Sept. 27, 1999, p. 88). Portrush will gather seismic data and pay seismic and drilling costs to earn a 50% interest in the prospects.
The other two programs are with Manti Resources Inc., Corpus Christi, and a midstream company Range didn't name.
Michigan
Midland Cogeneration Venture, the state's largest gas user, marked 10 years of service on Mar. 16.
Supplied by 20 gas producing companies and affiliates, mostly under long-term contracts, the plant has burned 800 bcf of gas, Michigan Oil & Gas News reported. The 12 gas-fired and two steam turbines have produced 85 billion kw-hr of electricity and 49 billion lb of steam.
Mississippi
Canadian Delta Inc., Jackson, Miss., a subsidiary of Westfort Energy Ltd., plans to drill several wells to offset a well that extended Pelahatchie field to the south.
Its 1A Rhodes, in 18-5n-5e, Rankin County, cut 127 ft of potential pay in 10 zones. It averaged 125 b/d of 51° gravity oil on pump with 1% water from a Cretaceous Hosston zone perforated at 11,300 ft. The well vented an estimated 350 Mcfd of gas.
The oil purchaser agreed to begin paying Westfort a $2/bbl premium above the West Mississippi sweet posted price, and the company was considering construction of a gathering system and sales line to a nearby interstate pipeline.
