Egypt Drilling Program
Rally Energy has resumed the previously announced Issaran development drilling program. Well #45, an offset to well#19, was spudded on July 9. Several wells are planned offsetting the very successful wells #25 and #42.
Steam Injection Pilots
Rally Energy plans to drill two Upper Dolomite cyclic steam injection wells later in the third quarter. These wells will complete the Upper Dolomite Steam Pilot drilling. The pilot is designed to provide an estimate of production rates, recovery rates and reserves under cyclic steam injection followed by steam drive. Rally estimates there are 300+ million barrels of oil in place in the Upper Dolomite formation.
Rally Energy is commencing a cyclic steam injection test of the Lower Dolomite in well #44 in the southern portion of the Issaran Field. Recent drilling in the Lower Dolomite formation indicates an additional resource of an estimated 90 million barrels of oil in place. This reservoir exhibits characteristics suitable for enhanced recovery by steam injection.
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