Area Drilling

Jan. 15, 2007


The ministry approved the Vega Oil SPA unit of Cygam Energy Inc., Calgary, to explore the 83,264-acre Aretusa permit, its designation changed to C.R148.VG, in the Mediterranean off Sicily’s southeastern tip.

Primary target is porous dolomites of the Upper Triassic Taormina formation, and a secondary target is carbonates of the Lower Jurassic Villagonia formation deposited above Streppenosa black shales, the area’s main source rocks.

The area’s only well, Aretusa-1 in 1985, flowed 1,500 b/d of 36° gravity oil and 11.5 MMcfd of gas on a short test from Villagonia fractured pelagic limestones. The well stopped short of the Taormina formation.

Vega plans to acquire, reprocess, and interpret all existing seismic data previously shot on and around the permit. Then it will shoot 80-100 sq km of 3D seismic to define two indicated seismic structures and select a drilling location.

Several companies have expressed interest in participating. The block is in 20-130 m of water.