The drilling of the horizontal side track well (OM2dir) inside the carbonate reservoir was successfully completed on May 22, 2008 by the George H. Galloway jackup rig. The operation confirmed the Company's geological prognosis and the oil appraisal expectations.
The OM2dir was started at 1815 meter depth inside the lower Pliocene clastics and reached the Oligo-Miocene main target carbonate formation 270 meters east of the OM2 appraisal vertical hole. It was drilled horizontally inside the Oligo-Miocene reservoir for a distance of 370 meters southeast from OM2 location.
Significant oil shows, with frequent sections of abundant oil bleeding, were recorded on cuttings and shale shakers along the entire section of the horizontal well drilled inside the Oligo-Miocene reservoir. The oil shows were associated with good yellow fluorescence, and drilling total gas of 1 to 4%.
The OM2 wells have now appraised the Ombrina Mare structure to the south east with the horizontal well extending to a distance approximately 1.7 kilometers east of the Ombrina Mare 1 (OM1) discovery well and 640 meters east of OM2 vertical well.
The results of OM2dir follow the successful completion of the vertical hole to the target depth of 2310 meters. The vertical hole confirmed the material presence of oil by cores and logs from inside the main target carbonate formation and confirmed by logs the material presence of gas in the Pliocene gas sands.
The program is now to prepare the horizontal well for production testing and then to conduct a full test by the OM2dir to verify the oil production rates obtainable from a horizontal well inside the fractured carbonate reservoir.
The production test should start in the next few days and should be completed by the end of May 2008.
Mediterranean Oil & Gas serves as operator of both wells with 100% interest.
"The program to appraise the Ombrina Mare oil and gas field continues to provide very good results," said Sergio Morandi, MOG's CEO. "The horizontal well has now appraised the Ombrina Mare structure for a considerable distance away from OM1 and encountered significant oil shows along the entire horizontal hole. Once the full production test is carried out, we will be in a position to commission an assessment of the field volumetrics and reserves based on the appraisal results. "
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