By the OGJ Online Staff
HOUSTON, June 11 -- Kerr-McGee Corp., Oklahoma City, said a well on Durango prospect on Garden Banks Block 667 in the Gulf of Mexico may enhance the Gunnison subbasin.
Kerr-McGee said the subbasin includes Garden Banks 667, 668, and 669. Gunnison field is in Garden Banks block 668.
The Durango well, in 3,150 ft of water, found 200 ft of net gas pay. Kerr-McGee said the find could increase estimated reserves for the subbasin by 120 bcf of gas equivalent.
Previously, the company pegged Gunnison reserves at 150-250 million boe.
"We are very pleased with our success at Durango, coupled with continued success of our appraisal program at Gunnison," said Luke R. Corbett, Kerr-McGee chairman and CEO. "The Durango discovery further enhances the value of the Gunnison field, where we have begun evaluating development options as we move toward our goal to sanction project development by yearend. The Gunnison facility could serve as the processing hub for this core area of the gulf where Kerr-McGee holds interests in more than 40 blocks."
Kerr-McGee said it has drilled three successful appraisal wells and two successful sidetracks in Gunnison field.
It will drill an exploration well in Dawson prospect on Garden Banks block 669 to the east of Gunnison later this year.
Kerr McGee operates Garden Banks 667, 668, and 669 with 50% interest; Nexen Petroleum USA Inc. owns 30%; and Cal Dive International Inc., 20%.
Kerr-McGee said it is considering a truss spar system for development of the Gunnison area.
