The well is targeting a previously undrilled area of the field in the region of Sartichala village in the central part of the Samgori Field complex. CanArgo obtained exploitation rights to the Samgori Field earlier this year, and this well marks the commencement of drilling operations under those agreements. The well will be drilled to a planned depth of 8,202 feet (2,500 metres) and is expected to be completed in October 2004, after which it is intended to place the well on test production. It is further planned to recomplete the well with one or more horizontal sidetracks utilising the Weatherford under balanced coiled tubing drilling ("UBCTD") unit which is expected to arrive in Georgia later in the year.
Sidetrack operations are also progressing on the Manavi M11 Cretaceous oil discovery, with the M11Z well being drilled to the top of the reservoir sequence at 13,715 feet (4,180 meters) whereupon the well will be cased awaiting arrival of the UBCTD equipment. Deepening of this well to fully test and evaluate the Cretaceous oil discovery made in the original hole will be the first operation for the UBCTD. Work is underway on road preparation and site preparation activities for the Manavi M12 appraisal well. However, as the planned location for this well is in a mountainous area these activities are taking longer than anticipated. This delay would result in drilling operations potentially extending into the winter and as operations in this area are difficult in the winter months commencement of drilling on M12 will now probably not commence until next spring.
On the Norio MK72 well, the results of the vertical seismic profile ("VSP") have now been interpreted and drilling operations are expected to recommence when the drill crew completing the Manavi M11Z well are available.
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