By the OGJ Online Staff
HOUSTON, Jan. 23 -- Marathon Oil Co. discovered a gas field in its Ninilchik prospect on Alaska's Kenai Peninsula, the company said Wednesday.
Grassim Oskolkoff No. 1 is the first exploration well drilled in the Ninilchik exploration unit, under a joint exploration agreement between Marathon and Unocal Corp. Marathon operates with 60%.
The well is 35 miles south of Kenai, Alas. It was drilled to 11,600 ft and found several gas-bearing sands. One 39-ft interval at 9,822 ft flowed 11.2 MMcfd of gas with flowing tubing pressure of 1,565 psia.
Three more wells were completed on the structure and await testing; the companies plan to drill several more delineation wells.
Marathon estimates the structure contains 90 bcf of gross proven recoverable gas reserves. It predicts first gas sales in late 2003 via a gas transmission line, Kenai Kachemak Pipeline. Unocal Alaska and Marathon are in the design and permitting stage for the joint venture line.
"The Ninilchik discovery, together with our recent Wolf Lake production coming on line, demonstrates Marathon's continuing commitment to the Cook Inlet natural gas market," said John Barnes, Manager of Marathon's Alaska business unit. "In the last 5 years, Marathon has drilled six successful gas exploration wells in the Cook Inlet, and we remain committed to continued investment to establish the full potential of this gas-prone region."
