DNO International ASA reported an update on activities in the Republic of Yemen.
The Yaalen-3 in Block 47, Yemen has been drilled to a total depth 1.898 meters. Based on evaluations of wire line logs and pressure data, the well has encountered two oil bearing intervals in the Qishn sandstones, of a total combined net thickness of around 20 meters ("net pay"). The forward plan is to undertake two tests in the well, one in each of the oil bearing intervals.
Drilling of the Yaalen-3 appraisal well in Block 47 commenced on March 24, and is part of the work program in preparation for a possible development of the Yaalen & Sharnah oil discoveries in the block. As previously reported the combined gross resource potential of these two oil discoveries is 10 million barrels. The resource potential will be re-evaluated based on the final results from Yaalen-3. A second well on the Sharnah discovery is planned to be drilled towards the end of the second quarter.
With the encouraging results observed in Yaalen-3, it is likely that a development plan will be prepared and filed with the Yemen authorities later this year. DNO holds a 40 % interest in block 47.
Drilling of the Bayoot-8 basement development well in Block 53 commenced on February 26. The well has been drilled to a total depth of 3.974 meter, where around 670 meters was drilled as a sub horizontal open hole section in the fractured Basement. Presence of oil was observed while drilling within the basement interval as predicted. The Bayoot-8 well has been brought on stream and is currently cleaning up. The development of the Bayoot field was completed in 2009 and the production has been steadily increasing. Before the tie-in of Bayoot-8 the gross production from the Bayoot field is close to 6,000 bopd. The plan is to drill 3 additional development wells on the Bayoot field this year.
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