Area Drilling

China

A Phillips Petroleum Co. unit plans a 5 mile extended reach well from its Xijiang 24-3 platform in the South China Sea.

Xijiang 24-1 will be one of the longest extended reach wells drilled, says Phillips Petroleum International Corp. Asia. It is to be drilled by May 1997.

Phillips estimated that the well will cost $20-22 million vs. the $70 million it would cost for a platform or the $50 million for a subsea development. Also, downtime is estimated at a minimum 40% for subsea development compared with about 13% for platform wells.

The Xijiang fields came on production in 1994-95 (OGJ, Nov. 6, 1995, p. 29).

Ireland

Geco-Prakla said on-board stacks from a 2D marine seismic survey of the Rockall Trough northwest of Ireland indicate previously unmapped Mesozoic half-grabens and fault blocks on the flanks of Porcupine Bank.

The Schlumberger subsidiary completed the first phase of a 1,000 km survey of the trough's southeast flank and processed the data aboard the vessel with its Tripro integrated system.

It began a second 1,000 km acquisition phase to extend and infill first phase coverage in July.

Turkey

Aladdin Middle East Ltd., Wichita, plans to drill about 20 development wells the next 2 years in Zeynel field 9 miles east of Adiyaman in the Southeast Turkey basin.

The Zeynel 5 development well recently flowed more than 2,000 b/d of 23° gravity oil from the Karababa-C reservoir (Cretaceous/ Mardin carbonates) at about 5,000 ft. It is restricted to about 500 b/d pending pipeline and storage improvements at the field, 15 km southwest of Karakus oil field.

The company completed a 20 km seismic survey in July over Zeynel, which it discovered in 1989. Aladdin is seeking a partner for the Balaban exploratory well, on trend with Zeynel field, which it plans to drill in fourth quarter 1996.

Recent Zeynel production is 660 b/d from Campanian Sayindere and Karababa. Oil is trucked to the Tupras refinery in Batman.

Aladdin completed the No. 10 well in Bulgurdag field, which it acquired from Mobil in 1993. The well tested 250 b/d of 40° gravity oil in late July from Langhian age Karaisali limestone.

Bulgurdag field, 23 km northwest of Adana in the Adana basin, is the basin's only field, discovered in 1960. Recent production averaged 165 b/d from five wells, including B-10.

Viet Nam

A group led by Anzoil NL, Perth, W.A., was preparing to spud the first test of the Weizhou trend on the Vietnamese side of the China-Viet Nam boundary.

The Song Thai Binh B10-1x well is projected to 1,350 m to test a buried hill anomaly similar to the Weizhou oil fields on trend off China 140 km northeast.

Gulf of Mexico

U.S. Minerals Management Service set up an internet website for Gulf of Mexico and Atlantic OCS information.

MMS in New Orleans can provide details on e-mail at [email protected]

The homepage address is http://www.mms.gov/omm/gomr

Marathon and Texaco plan to start appraisal drilling before yearend near a discovery on Ewing Bank Block 963.

The No. 1 well encountered oil pays below 12,000 ft that tested at a rate of 8,700 b/d of 25° gravity oil and 6.4 MMcfd of gas at 2,510 psi flowing pressure. TD is 13,100 ft.

Working interests are Marathon 62.5% and Texaco 37.5%.

The discovery is 8 miles south of the Marathon/Texaco Ewing Bank 873 platform, which began producing in 1994.

Alaska

The U.S. Minerals Management Service estimated that Alaska's continental shelves contain 17-34 billion bbl of oil and 58-230 tcf of natural gas. The average endowments are estimated at 24 billion bbl and 126 tcf.

Less than 10% of the estimated total endowment occurs in accumulations large enough to support commercial development at present oil prices, MMS said.

The economic endowment on the shelves is 1-8 billion bbl of oil and 0.02-4.0 tcf of gas.

The report tabulates total and economic results for three provinces off arctic Alaska, five in the Bering Sea, and three along the southern (Pacific) coast.

Arizona

Arizona reduced the property tax assessment ratio for producing oil, gas, and geothermal interests to 28% of full cash value from 100%, effective with the 1996 tax year.

The tax ratio will fall 1 percentage point each year until holding at 25% in 2000 and thereafter.

Kansas

The U.S. Department of Energy awarded funding to Edmiston Oil Co., Wichita, for a microbial enhanced oil recovery test project in Easton Northeast field, Leavenworth County.

Goal is to use microbes to address near wellbore formation damage associated with precipitation of paraffins and asphaltenes that restrict oil flow. The field produces from the McLouth sand member of the Lower Pennsylvanian Cherokee Group.

Louisiana

Stone Energy Corp., Lafayette, has extensive development plans for Lake Hermitage field of Plaquemines Parish, including use of 3D seismic.

It acquired a 100% working interest in about 6,400 acres in the field for $6.5 million. The acquisition included four wells producing a combined 100 b/d of oil and 400 Mcfd of gas, five shut-in wells, a disposal well, the seller's interest in wells on farmout acreage, and significant undeveloped acreage.

Stone has drilled six productive wells the past 2 years on a farmout from the seller. Those wells averaged a combined 4.2 MMcfd of gas and 119 b/d of oil during second quarter 1996.

The field, opened in 1928, produces gas and oil from multiple sandstones at 3,100-14,200 ft.

Michigan

Cronus Exploration Co. LLC, Traverse City, Mich., an affiliate of Terra Energy Ltd., applied for drilling permits for six horizontal oil wells to Devonian Dundee in Crystal field of Montcalm County (OGJ, July 29, 1996, p. 114).

Oklahoma

Chesapeake Energy Corp., Oklahoma City, is expanding its 3D seismic activity in the state.

It plans two more projects in Knox field, where it has completed one project, one in Golden Trend, and one in Sholem Alechem.

Chesapeake is using eight rigs to develop a large inventory of locations in the Golden Trend and Knox field. Two of the rigs are drilling the industry's first horizontal wells in these fields.

Objectives are Mississippian Sycamore in Golden Trend and Silurian Hunton formation in Knox field.

Chesapeake employs three rigs in the Sholem Alechem area, one of which is drilling the industry's first horizontal well to fractured Lower Ordovician McLish carbonate, about 1,800 ft deeper than Sycamore.

Texas

West

Tesoro Exploration & Production Co. LP, San Antonio, staked a remote Val Verde basin wildcat in Edwards County.

The 1 Earwood Ranch, 25 miles northwest of Rocksprings, is projected to 9,800 ft. It is 15 miles west-northwest of Snakebite Ellenburger oil field, a 1995 discovery, PI reported.