Exploration/Development news briefs, Aug. 9
Noble Affiliates � Samedan Oil Corp. ... Andex Resources � Texoil � Pintail Petroleum � Bechtel Exploration � Abraxas Petroleum � EOG Resources � TransGlobe Energy ... Vintage Petroleum International
Noble Affiliates Inc. announced the completion of a new well in its Midridge prospect in Lafayette Parish, La. Harry Stagg No. 1 was drilled to 13,715 ft TD and logged 173 ft of net Marg Tex gas-condensate pay. On test, the well flowed 12.3 MMcfd of gas and 592 b/d of condensate through a �-in. choke with 8,338 psi flowing tubing pressure. Noble's wholly owned subsidiary, Samedan Oil Corp., operates the well with a 39.375% working interest. Other working interest owners are Andex Resources LLC (43.75%) and a joint venture of Texoil Inc., Pintail Petroleum Inc., and Bechtel Exploration Co. (16.875%).
Abraxas Petroleum Corp., San Antonio, Tex., has formed a joint venture with Houston-based EOG Resources Inc. to develop the Montoya play in West Texas. EOG will pay Abraxas $2.5 million to earn 75% of Abraxas' working interest in the Montoya, which covers about 11,000 net acres in Ward and Reeves Counties. EOG will operate and pay 100% of the costs of as many as five horizontal wells in the Montoya and will spud two of the wells by yearend. Abraxas will retain a carried 25% working interest in four of the wells and will have an override and a 30% working interest after payout in the fifth well. The joint venture agreement is expected to close by the end of August.
EOG Resources' wholly owned subsidiary EOG Resources Canada Inc. has been awarded interests in two work bids in the 2000 Central Mackenzie Valley call for bids in the Northwest Territories. EOG and its partners are the winning bidders on Parcel 5, Exploration License 401, consisting of about 318,000 acres west of Norman Wells. EOG has a 50% working interest in this block and will be operator. EOG also will earn a 17.5% working interest in Parcel 1, EL397, consisting of about 333,000 acres. "The addition of acreage in the Northwest Territories expands our Canadian exploration program and is consistent with our thesis that new Canadian energy supplies will be a key solution in the US energy balance',' said EOG Chairman Mark G. Papa.
TransGlobe Energy Corp. has announced that the third exploration well on Block S-1 in Yemen has been cased, and several potential oil zones will be tested. Vintage Petroleum International Inc., a subsidiary of block operator Vintage Petroleum Inc., drilled and cased the well, Fordus 1. Testing is expected to commence following testing of the second exploration well, Harmel 1. A completion rig on site at Harmel 1 is commencing a testing program that is expected to be completed in September, says TransGlobe. The drilling rig was moved to a fourth location, An Naeem 2, and began drilling Aug. 8. An Naeem 2 will test for the existence of an oil rim downdip of the gas and condensate tested in the Alif formation in An Naeem 1, drilled earlier this year. An Naeem 1 flowed 40 MMcfd of gas and 1,020 b/d of condensate from the Alif formation on test. TransGlobe holds a 25% working interest in Block S-1.