Zenith Energy Ltd. entered into an option agreement with Noble Hill-Network Ltd. (NHNL) for development of the North-West Corner of Block OML 141, Nigeria, covering 105 sq km of the Niger Delta region. The block contains Barracuda and Elepa South oil fields, as well one prospective field with an estimated 232.7 million bbl of discovered oil.
Plans have been finalized to drill, test, and complete the Barracuda 5 well (B-5), situated between two previously drilled wells which have both encountered significant hydrocarbons, the company said.
The drilling location for B-5 has been acquired by NHNL, and all necessary civil works (including dredging and clearing of the designated well location) have been performed in preparation for mobilization of a barge-mounted drilling rig.
The drilling contract is expected to be signed in January 2022 to begin operations in first-quarter 2022. Production from Barracuda is expected to begin in second-quarter 2022 at about 4,000 b/d.
If successful, production will commence immediately using a barge-mounted early production infrastructure to initially transport produced oil to a nearby floating storage and offloading vessel.
Drilling locations for Barracuda wells 6, 7, and 8 have been identified.