With gas quantities higher than pre-drill estimates and a confirmation that its core productive area extends to the north, SDX Energy Plc expects a gas discovery in Morocco will be tied into its existing infrastructure. Meanwhile, preparations continue for wells in Egypt.
Morocco
In Morocco, OYF-2 well (operator, 75%) was drilled to a measured depth of 1,210 m, encountered commercial quantities of gas, the company said Jan. 28. Both the Upper and Lower Guebbas targets were encountered and reservoir thickness and quality were better than pre-drill expectations. The Upper Guebbas was encountered at a measured depth of 1,001 m, while the Lower Guebbas was penetrated at a measured depth of 1,120 m.
Management estimates 1.3-1.9 bcf of recoverable gas from the horizons encountered by the well, which will be tested in February. The discovery has de-risked a further 0.5-1.0 bcf of prospective resources in the western compartment of the Lower Guebbas target which the company expects to recover with a single development well in the future.
Cost to tie the discovery to the company’s existing infrastructure, when required, is estimated at US$2 million net to SDX.
The rig has moved to BMK-1, some 11 km to the north. BMK-1 will again test the extent of the northern expansion of the company's core productive area and, if successful, could de-risk a number of similar close-by prospects. After BMK-1, one additional well close to infrastructure and two other potentially play-opening wells in Lalla Mimouna will be drilled to complete the campaign in March.
Egypt
In Egypt, preparations continue at South Disouq (operator, 55%) for two exploration wells targeting gross unrisked P50 volumes of up to 104 bcf from the same horizons encountered in the company's previous four discoveries. The first well, Salah, which is expected to spud in mid/late February and complete in April, is targeting a gross unrisked P50 prospect of 71 bcfe (company estimate). The second well, Sobhi, which is expected to spud in late April/early May and complete in early June, is targeting a gross unrisked P50 prospect of 33 bcfe (company estimate). If successful, the two wells would require short, 8.0 km and 5.8 km, tie-ins to the South Disouq central processing facility with SDX's share of the tie-in cost estimated at $2.5 million and $1.9 million, respectively.
In early February, SDX is is planning to spud an appraisal/development well in the Rabul area of its West Gharib concession (50-50 joint operator with Dublin International Petroleum). If successful, this well could add gross 200-300 bbl/d of production.
