Oilex is pleased to advise that drilling operations for the Cambay-75 appraisal/development well are anticipated to commence within the next 7 days when rig mobilization is completed.
Cambay-75 Appraisal/Development Well
The primary objective of Cambay-75 is the Miocene Basal (MBS) oil sand which is producing oil in the nearby Cambay-64 and -74 wells. Production and test data indicate that these current producers are accessing separate reservoir compartments in the faulted crest of the MBS oil field. Cambay-75 is located to the west of these wells on the western flank compartment of the field where an estimated 5-15 million barrels of oil-in-place potential resource is recognized. Plans are also in progress to evaluate possible additional oil volumes in other compartments of the field on the eastern flank of the field, to the east of Cambay-74.
The planned total depth of the well is approximately 1,500 meters and is anticipated to take 15 days to drill with an additional 5 days for completion and initial testing. If successful, production from Cambay-75 will be added to the current production stream.
Production has been continuing from the MBS interval in both Cambay-64 and -74 since Q4, 2008. Constraints on the total oil rate, currently about 450 bopd average, were initially imposed by the limited storage tank capacity on site and then by storage available at the point of sale. During the past 2-3 months, a number of initiatives have been undertaken to resolve the storage constraints and to optimize production facilities to allow production to continue from these wells at higher rates. During that same period the gas-oil ratio has increased in these crestal wells and the larger volume of gas has also constrained production due to limited flare capacity. We are currently investigating opportunities to sell the associated gas possibly in conjunction with gas from other Cambay field wells. During recent flow tests, Cambay-74 flowed at rates of over 675 barrels of oil equivalent per day (boepd) which includes over 500 barrels of oil per day (bopd). Confirmation of the oil volumes and higher field rates at Cambay-75 will trigger further planned upgrades including the commissioning of a new central gathering facility on the site of the old gas plant.
The establishment of this central gathering facility will allow for the handling and sale of associated gas from MBS production wells. Subsurface, test and production data from other recent Cambay wells, such as Cambay-19Z, -73 and -23, are also being evaluated to determine the scale of a potential future gas project.
Cambay 57 Recompletion
A low cost re-entry and re-completion in the MBS reservoir of the Cambay-57 well drilled in 1979 was undertaken in March. The well had previously produced small amounts of oil from an Eocene reservoir. The well is located in a down flank position well to the south of current MBS production and below the mapped limit of structural closure. The well has recovered formation water along with some oil after the MBS was perforated. These results are being further evaluated before drawing any conclusions on the extent of the MBS and other oil
Participants in the Cambay Production Sharing Contract are:
Joint Venture Party Participating Interest
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