W. Africa Success Spurs Umc To Hike Outlays

July 14, 1997
UMC's West African Areas [19,974 bytes] How Average State Take Compares [20,642 bytes] Buoyed by its drilling success off West Africa to date, United Meridian Corp., Houston, has increased its 1997 capital operating budget by $50 million to $300 million. The spending hike was prompted by stepped-up activity off Equatorial Guinea on Block B, accelerated development of Block CI-11 off Côte d'Ivoire, and pending property acquisitions.

Buoyed by its drilling success off West Africa to date, United Meridian Corp., Houston, has increased its 1997 capital operating budget by $50 million to $300 million.

The spending hike was prompted by stepped-up activity off Equatorial Guinea on Block B, accelerated development of Block CI-11 off Côte d'Ivoire, and pending property acquisitions.

Stepped-up plans

UMC and partner Mobil Equatorial Guinea Inc., following 20 successful wells on Block B out of 26 drilled, have budgeted for two more exploratory wells and an appraisal well in 1997.

So far this year, the partners have drilled four exploratory and five development wells on the block. The firms also seek approval from Equatorial Guinea's government to increase the number of appraisal wells to six. Operator Mobil holds a 75% interest in the block, UMC 25%.

The newest exploratory well, 1 Opalo East, tapped more than 200 ft of Qua Iboe oil pay. Drilled to 7,172 ft TD, the well flowed 6,200 b/d on test in one of two productive zones at 5,700-5,900 ft, with the flow rate restricted by testing equipment capacity. The 1 Opalo East is the fourth new field discovery made on the northeast flank of the Zafiro complex and is from sands shallower than Zafiro field pays. The new well is 1.2 miles northeast of 1 Opalo and 1.8 miles northwest of 1 Serpentina (OGJ. Apr. 14, 1997, p. 30).

Next on the agenda is 1 QIT exploratory well, 2 miles southeast of the Serpentina discovery well. Another rig in the same field just completed 10 Zafiro development well, which flowed on test at a rate of 10,000 b/d. Drilling is now under way on 12 Zafiro development well.

Block B produces 43,000 b/d of crude oil. The production target remains 80,000 b/d by yearend, and the companies are studying ways to hike output beyond this level.

On Block D off Equatorial Guinea, 2 Tsavorita was drilled 2 miles from the Tsavorita discovery well (OGJ, Feb. 3, 1997, p. 64) to establish the eastern economic limits of the field. The well was drilled to 5,000 ft TD and flowed oil from two zones, but the rates were not sufficient to confirm commerciality.

Lion and Panthere expand

Meanwhile, the Lion and Panthere fields on prolific Block CI-11 off Côte d'Ivoire keep proving even bigger (OGJ, Mar. 17, 1997, p. 111).

A well drilled as a northern extension of the Lion oil field resulted in a new fault block discovery. The exploratory well 2D Lion, directionally drilled about 1 mile north of the nearest Lion producing well, tapped 140 ft of oil and gas pay in multiple zones. Later this year, drilling will occur downdip of the well to determine the extent of the oil columns. Average output from the Lion field totaled 16,000 b/d in May. Output is expected to increase during the next 2 months when 4 B Lion, now being completed, and 2D Lion come on stream.

On the same block, northern exploratory stepout well 1D Panthere found a new fault block, tapping 70 ft of net pay in the Panthere sand. The well was directionally drilled 13/4 miles northwest of the nearest producing well in the Panthere field.

Both 1 and 2D Panthere wells have been temporarily suspended and will be completed after the installation of a new D-guyed tower platform in 170 ft of water in July.

The local gas market in Côte d'Ivoire's capital city of Abidjan now takes 64 MMcfd of natural gas from Block CI-11. Lion 1 D and reserves found in 2 D Lion will further augment the gas supply capacity, UMC said.

Copyright 1997 Oil & Gas Journal. All Rights Reserved.