Eric Watkins
Senior Correspondent
LOS ANGELES, Feb. 25 -- Oilex Oman Ltd. said oil has been recovered at the surface in cased hole drill stem test No. 2 of the Al Khlata Sandstone in its Sarha-1 well on Oman's Block 56.
"This result achieves the primary test objective of confirming the presence of moveable oil in the anomalous zone interpreted from well logs and cuttings in this formation," Oilex said.
Although pump rates were varied in an attempt to establish a stabilized oil flow rate, the well produced erratically and was still cleaning up when the test was terminated, Oilex said.
During the intermittent flow periods, a total of 87 bbl of fluid was recovered, it said, with up to 90% oil cut in the latter stages of the test.
Pressure and fluid data will be analyzed to determine reservoir and oil properties for the DST#2 interval. Oilex said initial indications were of 21.5° gravity oil.
Participants in the Block 56 exploration and production-sharing agreement area include operator Oilex 25%, Videocon Industries Ltd. 25%, GAIL (India) Ltd. 25%, Hindustan Petroleum Corp. Ltd. 12.5%, and Bharat Petroleum Corp. Ltd. 12.5%
Omani oil exports
The announcement coincided with Omani government reports that the country's total oil exports dropped 4.8% to 222 million bbl to yearend 2007 from 233 million bbl in 2006.
The Omani News Agency, citing the monthly statistical bulletin published by the National Economy Ministry, said Oman's total production of oil and condensates also dropped 3.7% to 259.3 million bbl by yearend 2007 from 269.2 million bbl in 2006.
The bulletin showed that average production dropped 3.7% to 710,400 b/d at yearend 2007 from 737,700 b/d in 2006.
The bulletin said, however, that the average price of Omani oil rose by 5.6% by the end of November 2007 to $65.15/bbl, against $61.69/bbl in 2006.
China topped the countries importing Omani oil as it imported 99.3 million bbl to December 2007, up 7.9% over the 92 million bbl it imported in 2006.
Contact Eric Watkins at [email protected].
