By OGJ editors
HOUSTON, Sept. 21 -- Cameron Hills field in the Northwest Territories could be an accumulation of 20-30 million bbl, operator Paramount Resources Ltd., Calgary, told financial analysts in mid-September.
Paramount, which has booked only 1-2 million bbl of reserves in the field, is producing 1,500 b/d of light, sweet crude and 7-8 MMcfd of gas.
Each of the 17-18 wells drilled has produced or tested oil or gas, but only two oil wells have been on sustained production because of the capacity of the 4-in. oil pipeline to Alberta.
The regulatory process has slowed the rate at which new wells can be drilled, Paramount said, and the field is the company's second lowest site for 2006 capital spending.
The company started producing gas in March 2002 and oil in April 2003 and has seen practically no decline in the oil rate. It placed a third well, J-74, on production last winter at 500 b/d.
Oil and gas are found in structural and stratigraphic traps in the Middle Devonian age Slave Point, Sulphur Point, and Keg River formations (OGJ Online, June 18, 2004).
The field lies just northeast of the northwest corner of Alberta.