France: Tethys gets stake in Ales basin block
Tethys Oil AB will acquire a 37.5% interest in 215 sq km in Gard department in southern France that has heavy and light oil prospects.
By OGJ editors
HOUSTON, Apr. 13 – Tethys Oil AB will acquire a 37.5% interest in 215 sq km in Gard department in southern France that has heavy and light oil prospects.
Mouvoil SA, a private Swiss company that was awarded the license in 2010, is the operator (OGJ Online, Mar. 31, 2010).
In addition to an initial payment for the interest, Tethys will fund 100% of the statutory work program of shooting new seismic and drilling one well within 2 years. Tethys has the option to earn a further 37.5% by funding a second well.
The Permis du Bassin D’Ales license covers part of the Ales basin including Maruejols heavy oil field, discovered in 1947. Nine wells produced small amounts of 14° gravity oil in 1947-1950 and 1980-1982.
The license also has at least two prospects with potential for conventional oil at 1,400 m and 2,000 m, respectively. The shallower zone has 25 million bbl of estimated prospective resource.
The work program will be prioritized to firm up the shallower conventional oil prospect with 30 line-km of 2D seismic to be acquired in 2011 and a first exploration well to 1,400 m in 2012. A feasibility study of the heavy oil reservoir will be carried out in 2011, with a view to recommend the most suitable pilot production system.