Karoon Energy Ltd. confirmed the presence of oil-bearing sands in the northern part of Neon field, about 210 km offshore Brazil in southern Santos basin. The Neon-2 control well (NEO-2D-SPS) is 1.3 km north-northeast of the Echidna-1 discovery well in 305 m of water. The well’s lower section deviated to the west to intersect the target zones and reached final 2,357-m MD on Mar. 7, 2023.
The primary objectives of Neon-2 were to determine the quality and continuity of the Palaeocene units and to determine Palaeocene pressure connectivity with the Echidna-1 and Neon-1 wells (OGJ Online, Feb. 16, 2023).
Preliminary analysis of Neon-2 logging-while-drilling and wireline log data confirmed that, as in Neon-1, Palaeocene sandstone primary target zones are present and oil bearing. Palaeocene intervals were present over a gross 244-m MD interval (172-m TVD). Net pay thickness in this section is estimated at 148-m MD (105-m TVD).
Karoon is wireline logging target sections. Preliminary wireline log analysis indicates that average reservoir quality in this net pay section is like, or better than, those encountered at Echidna-1 and Neon-1. This analysis is subject to further studies and calibration with physical samples.
Preliminary analysis of pressure tests through the Palaeocene section suggests that Neon-2 oil zones lie on similar pressure gradients to oil at Echidna-1 and Neon-1. Further work is required to determine the degree of communication between zones given that Neon-2 intersected the reservoir on the western side of a prominent fault. Neon-2 also tested deeper Maastrichtian targets which, in line with results from Echidna-1 and Neon-1, were found to be poorly developed with no net pay currently identified.
The forward plan is to complete the wireline logging program, plug and abandon Neon-2, and release the Noble Developer rig.
Over the next few months data from both Neon-1 and Neon-2 will be fully analyzed, leading to an updated resource estimate for Neon field. Current estimated resources for the field (assessed in May 2018) are 30 MMbbl, 55 MMbbl, and 92 MMbbl for 1C, 2C, and 3C contingent resources, respectively.
Neon field lies in Karoon’s 100%-owned S-M-1037 license.
