EnCana reports oil discovery off Brazil

Sept. 15, 2005
EnCana Corp. has reported an oil discovery on Block BM-C-7 in the Campos basin, about 75 km off Brazil.

Peter Howard Wertheim
OGJ Correspondent

RIO DE JANEIRO, Sept. 15 -- EnCana Corp. has reported an oil discovery on Block BM-C-7 in the Campos basin, about 75 km off Brazil.

During a 3-day production test, the EnCanBrasil 3-ENC-3-RJS, drilled in 101 m of water, flowed at equipment-limited rates as high as 1,800 b/d of 14° gravity oil. The well cut 34 m of net pay.

Pride International Inc.'s Pride South Atlantic semisubmersible drilled the well, which has a projected TD of 2,317 m, according to Brazil's National Petroleum Agency (ANP). The block covers 649 sq km and was acquired during the second licensing round in 2000.

EnCana is operator with a 50% interest. Kerr-McGee do Brasil Ltda. holds 50%.

A declaration of commerciality is due in 2007, but EnCana said it might make the determination by yearend.

An EnCana official called reservoir quality in the discovery well "outstanding."

It was the company's third well on the block. A fourth well is planned to delineate the field, dubbed Chinook.

On the same block last year, well 1-ENC-1-RJS, in 100 m of water, reached 2,402 m TD and encountered about 57 m of net oil pay in the Cretaceous Carapebus formation.