Vermilion gas-condensate discovery touted

Energy XXI (Bermuda) Ltd., Houston, plans to test an indicated gas-condensate discovery in South Louisiana that encountered as many as four pay zones in the Miocene Cris-A section.

By OGJ editors
HOUSTON, Mar. 17 -- Energy XXI (Bermuda) Ltd., Houston, plans to test an indicated gas-condensate discovery in South Louisiana that encountered as many as four pay zones in the Miocene Cris-A section.

Logs at the McIlhenny-1 well on the Cote de Mer prospect in Vermilion Parish indicate at least 80 net ft of natural gas pay in two zones and possibly another 70 net ft of pay in two other sands. Production casing is set, and the well could be on line within 6 months, the company said.

Consulting engineers estimated the apparent discovery's resource potential at 89-108 bcfe, including 88.8 bcfe of gross proved reserves.

Energy XXI is operator with 33% working interest and 24% net revenue interest. Nexen Inc., Calgary, has 37.5% working interest. Small, private firms hold the rest.

The Coastal 21 barge rig drilled the well to TD 22,300 ft on a transition zone seismic prospect south of Freshwater Bayou gas-condensate field.

Meanwhile, Energy XXI said the McMoRan Exploration Co.-operated Ammazzo deep shelf gas prospect in South Marsh Island Block 251 is drilling below 16,500 ft towards a proposed TD of 24,500 ft. It is in 25 ft of water in South Marsh Island Block 251. Energy XXI's working interest is 16%.

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