BPZ updates Peru Corvina, Albacora operations

BPZ Resources Inc., Houston, placed on long-term test its seventh oil well in Corvina field on Block Z-1 off Peru as it worked toward a transition to commercial production around May 31.

By OGJ editors
HOUSTON, Feb. 22
-- BPZ Resources Inc., Houston, placed on long-term test its seventh oil well in Corvina field on Block Z-1 off Peru as it worked toward a transition to commercial production around May 31.

The company also received approval to restart long-term tests at the A-14XD well in Albacora field, in Peru near the marine boundary with Ecuador 16 miles north of Corvina field, and resumed drilling the A-15D well, expected on line by the end of April.

The CX11-17D well in Corvina was making an initial 2,000 b/d of oil with normal gas-oil ratio and no formation water.

BPZ perforated 80 ft in two sets of sands within the well’s 225 ft of estimated net oil pay. It first opened lower sands that had not been tested before in prior wells before adding the second set of sands, thus allowing the company to gather data to update its geologic and reservoir models.

The company is collecting data to determine the field’s drive mechanism and has ordered equipment to reinject produced gas and water.

BPZ has spud the CX11-22D, projected to 10,000 ft measured depth, and expects to place it on line near the end of April.

The clearance to resume tests at A-14XD, BPZ’s first well in Albacora, came as it positioned extended well test equipment at the Albacora platform. BPZ hasn’t determined what production declines may occur at Albacora.

Tests are to resume as soon as BPZ negotiates a short-term sales contract with the Talara refinery 70 miles south or until it can store the oil in a newly added 160,000-bbl vessel.

BPZ said, “The initial producing rate from the 17D is encouraging as it tends to support our geologic model which shows the quality and number of prospective oil sands increasing as we move up dip in the field. We expect this to be further confirmed by the 22D well currently being drilled.”

The start of commercial production will allow the company to receive tax benefits prescribed in the Block Z-1 license contract.

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