Prominence Energy Ltd. (PRM) was awarded adjacent exploration blocks OCS-G-37341 and OCS-G-37342 in the US Gulf of Mexico offshore Texas in about 250 ft of water.
Together, the leases cover an area of 11,520 acres and have an initial 5-year exploration term. The prospect can be drilled using a jack-up rig. There is no minimum work program, and the blocks can be held by production for 25 years.
PRM bid based on mapping and AVO analysis of seismic in the blocks, which identified a high potential and sizeable gas prospect. The main prospect in the blocks has been named Big Apple. The AVO analysis shows two sands with Class III AVO anomalies (a strong indication of a gas-filled sand). Big Apple is a Middle Miocene Corsair delta sand deposited between two salt diapirs. The sands are bounded by Upper and Lower Miocene shale prone facies which are likely to provide a good seal, the company said.
The main sand is at a depth of about 2,600 m (8,500 ft) interpreted to be up to 46 m thick, and as mapped the gas column in the steeply dipping sand could be up to 850 m from crest to structural closure, Prominence said. A secondary sand with a similar Class III AVO anomaly above the main sand is interpreted to be 15-20 m thick. The AVO response implies a porosity of 17-25%.
PRM intends to purchase the remaining speculative seismic over the prospect and perform detailed mapping work on the prospect and then have the prospective resources assessment independently reviewed by a reserves auditor.
PRM bid on the leases via wholly owned subsidiary PRM Energy Texas LLC. PRM currently has 100% interest in the leases and will consider seeking a farm-in partner to participate in the project on a promoted basis and move to drilling of the project as soon as practical.