Newfoundland

Vulcan Minerals Inc., St. John’s, reported flows of natural gas to surface on three drillstem tests at the Vulcan-Investcan Red Brook-2 well in the Bay St. George basin in western Newfoundland.

By OGJ editors
HOUSTON, Dec. 8
– Vulcan Minerals Inc., St. John’s, reported flows of natural gas to surface on three drillstem tests at the Vulcan-Investcan Red Brook-2 well in the Bay St. George basin in western Newfoundland.

Flow rates were not reported for these, the first flows of gas from any well in the basin, and Vulcan Minerals pointed out the Newfoundland has no natural gas distribution grid. The well is to be cased to 1,965 m. Video of the tests was available (www.vulcanminerals.ca/videos).

The well tested a flank play along the west side of the Flat Bay anticline, which is mapped at surface over a 20-km strike length. It was drilled pursuant to a 50-50 joint venture with Investcan Energy Corp.

During drilling the well encountered an overpressured zone that required using heavy mud that is judged to have damaged the formation, a Carboniferous analog to McCully gas field in New Brunswick. The flow rates don’t accurately reflect the formation’s potential, Vulcan Minerals said.

Vulcan Minerals is having all evaluation data analyzed towards designing a frac program. This program will also include an evaluation of the Robinsons-1 well that encountered a large number of gas shows in October 2009.

The firms must prove up flow rates and reserves to justify commercial production capability. They believe the gas is not a stranded resource but rather a valuable energy source that could be used to displace, for example, some or all of the Bunker C oil used in the 450 Mw Holyrood thermal plant, which consumes the equivalent of 100 MMcfd of gas to generate 25% of the island’s electricity.

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