Sherritt looks toward EOR in Cuban fields

Aug. 2, 2006
Sherritt International Corp., Toronto, is evaluating the commercial potential of various enhanced oil recovery technologies for its fields on the North Cuba fold belt.

By OGJ editors
HOUSTON, Aug. 2 -- Sherritt International Corp., Toronto, is evaluating the commercial potential of various enhanced oil recovery technologies for its fields on the North Cuba fold belt.

The company said it is contemplating programs that involve carbon dioxide, steam, or gas reinjection. Such projects will require significant capital investment, the company noted.

The company expects its 2006 gross working interest oil production to be flat with 2005 production.

Sherritt plans capital spending of $44 million in the quarter ending Sept. 30, up from $33 million in the quarter ended June 30. It is on track for the planned $140 million in capital outlays in 2006.

Meanwhile, Sherritt plans to drill a multilateral appraisal well at Majaguillar-Corajol, an oil field discovered in 1996 east of Cardenas.

Three rigs are drilling development wells in Santa Cruz field, four rigs are running in other fields, and an exploration well is under way at Playa Larga (see map, OGJ, Jan. 7, 2002, p. 38).

Sherritt is evaluating the commercial potential of the San Anton exploration well just east of Playa Larga along the coast north of Matanzas.