Iran
Lundin Petroleum AB, Stockholm, agreed to take a 40% interest in the Munir Block operated by Edison International, Milan, in the Zagros basin.
Edison plans to acquire at least 800 km of seismic data next year and drill three wildcats thereafter.
The 3,175 sq km block is in Khuzestan east-southeast of supergiant Gach Saran oil and gas field, discovered in 1928 (OGJ, July 13, 1998, p. 32).
Israel
TGS-NOPEC Geophysical Co. began a nonexclusive 2D seismic program in the eastern Mediterranean Sea.
The company said the state of the art, 6,700 km survey is the first stage of a much larger regional project, named Mega-Med, designed to cover numerous prospective basins. Several oil and gas companies have funded the program.
Morocco
Kerr-McGee du Maroc Ltd., a wholly owned subsidiary of Kerr-McGee Corp., acquired an exclusive reconnaissance permit covering the Boujdour block along the Atlantic margin, OGJ Online reported.
The block covers more than 27 million acres, some of which is in more than 10,000 ft of water.
New Zealand
Crown Minerals issued six coalbed methane permits on the South Island to Kenham Holdings Ltd., Christchurch.
PEP 38216 covers 86 sq km in the Mataura coal field south of Gore, and PEP 38217 covers 104 sq km in the Ashers-Waituna coal field east of Invercargill.
PEP 38218 covers 101 sq km in the St. Bathans lignite field in central Otago, and PEP 38219 covers 1,114 sq km of the Kaitangata coal field in South Otago.
PEP 38514 covers 1,096 sq km of subbituminous coal near Reefton, and PEP 38608 covers 44 sq km in the Waikato subbituminous coal field west of Maramarua.
New Brunswick
Corridor Resources Inc., Halifax, NS, farmed out interests in its McCully natural gas discovery area to EOG Resources Canada Inc.
Separately, Corridor said the 4 McCully, drilled to 3,150 m TD, encountered gas bearing sands in the Upper Albert, extending McCully field at least 5 km southwest of the discovery well. It ran 7-in. casing to TD and plans to complete the No. 3 and 4 wells as gas producers after a fracturing program has been prepared. The farmout covers Corridor's 100% interest in two exploration licenses and its 50% interest in a third exploration license.
It excludes the four-section area covered by a joint venture agreement between Corridor and Potash Corp. of Saskatchewan Inc., where the first three McCully wells were drilled, as well as the quarter section area containing the fourth McCully well (OGJ Online, Apr. 16, 2001).
Under the farmout, EOG will drill, test, and complete three wells. It has options to drill more wells to earn an interest in all of the farmout lands. Upon completion of 12 wells or the expenditure of $50 million in seismic, drilling, and development on the farmout lands, EOG will have earned 50% of Corridor's interest. Corridor will retain a 15% overriding royalty on production during the payout period.
Corridor believes the field could contain enough reserves to justify connection to the Maritimes & Northeast Pipeline.
Mississippi
Miller Exploration Co., Houston, is developing Pine Grove field on the Moselle salt dome in southwestern Jones County.
The discovery well, 1 Miller-Price, went on line Sept. 27 at 500 b/d of oil and 700 Mcfd of gas on a 14/64 in. choke from Basal Hosston sands, with maximum efficient rate to be established.
The 1 Miller-Board of Education 16-11 is drilling toward 17,000 ft to evaluate Basal Hosston, Washita-Fredericksburg, Middle Hosston, Lower Hosston, and possibly Cotton Valley.
North Dakota
Nance Petroleum Corp., a unit of St. Mary Land & Exploration Co., Denver, was to acquire properties from Choctaw II Oil & Gas Ltd., Houston, for $41 million, closing Dec. 1.
The properties, producing 1,200 b/d of oil and 4.6 MMcfd of gas, are in the Williston basin in Montana and North Dakota and the Green River basin in Wyoming.
Texas
Gulf Coast
Carrizo Oil & Gas Inc., Houston, was to start production by late October from a discovery in Goliad County and expects full development to require three more wells.
The 2 Riverdale on the Cabeza Creek project area flowed 7.5 MMcfd of gas and 146 b/d of condensate, natural, from a Wilcox zone with 36 ft of net pay.
Working interests are Carrizo 68.75% and Palace Exploration 30%.
Wyoming
Burlington Resources Inc., Houston, and Gasco Energy Inc., Denver, plan to explore and develop seven areas of mutual interest on 332,000 acres in the Greater Green River basin.
Burlington at its sole cost is to acquire 180 miles of 2D seismic data and is required to drill two wells. Later costs will be shared. The companies expect to encounter deep, highly fractured, tight gas sands.
Gasco also holds interests in more than 150,000 gross acres in Utah.
