Australia's Armour Energy provided the following update Wednesday on the Lamont Pass 3 vertical exploration well in Northern Territory, Australia. The well is testing multiple targets from a single vertical well in the Glyde Subbasin of the McArthur Basin. Lamont Pass 3 is located 31 miles (50 kilometers) south of the Myrtle Sub]basin and is 16 miles (25 kilometers) north of the Glyde 1 (ST1) gas discovery made by Armour Energy in 2012, which flowed up to 3.3 million cubic feet per day.
While drilling on air at 853 feet (260 meters), the company first noted gas and associated oil indications with minor fluorescence and hydrocarbon cut. Prior to setting casing at 997 feet (304 meters), significant connection gases were reported, up to 25 times the background gas levels.
Core drilling then proceeded through the Lower Lynott formation. Hydrocarbon cut and fluorescence continued to be observed between 1,283 and 1,752 feet (391 and 534 meters) with a number of core sections taken and preserved for further analyses.
At a depth of 1,755 feet (535 meters) the well penetrated live oil in fractures and continued to encounter minor shows of background gas. Core samples of the oil zone were taken for further lab analysis. The well is currently at a depth of 1,805 feet (550 meters) and continuing to core towards further targets.
The Lamont Pass structure is one of 23 targeted areas holding 264 billion standard cubic feet Mean Prospective Resources (unrisked) within the Coxco Dolomit Formation, as assessed by DeGolyer and MacNaughton (D&M). In addition, MBA Petroleum Consultants has made a Mean Prospective Resource estimate of 18.8 trillion standard cubic feet of gas and 2.2 billion barrels of liquids in the Barney Creek Shale in EP171 and EP176.
In 1982, Amoco drilled the 82/6 core well, 3.1 miles (5 kilometers) northwest of Lamont Pass 3, and reached a total depth of 984 feet (300 meters) not penetrating the Barney Creek Shale. This well reported up to 7 percent total organic content (TOC) with bitumen lined vugs and residual oil shows. Lamont Pass 3 is prognosed to pass through these prospective intervals in the Caranbarini Member as well as the Reward Dolomite, Barney Creek Shale and the Coxco Dolomite. Both the Caranbarini Member and Reward Dolomite also had gas flows and shows in the Cow Lagoon 1 discovery well drilled by Armour Energy in 2012.
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