PanCanadian Confirms Buzzard Discovery

PanCanadian Petroleum announced the results of a sidetrack well drilled on its Buzzard oil discovery in the U.K. Central North Sea. All information gathered to date indicates that Buzzard has the potential to be a world-class hydrocarbon accumulation, on par with the top tier North Sea oil fields.

The sidetrack from the original well encountered the same high quality hydrocarbon bearing reservoir sands as the original wellbore. The discovery well initially encountered more than 250 feet of hydrocarbon bearing sandstone with an average porosity of 24 per cent and permeability of up to three Darcies. The sidetrack, which encountered the reservoir 4,400 feet to the east of the discovery well, has extended the oil column of the discovery to at least 750 feet. These two wells have established recoverable oil of 200 to 300 million barrels in this part of the Buzzard structure.

"Our mapping indicates that the Buzzard structure covers a large area and is only partially evaluated by the discovery and sidetrack wells," said Gerry Macey, PanCanadian's Executive Vice President Exploration. "Further appraisal drilling of the untested areas has the potential to increase the currently established recoverable oil very significantly."

PanCanadian is planning an aggressive appraisal program of Buzzard and will drill another two or three appraisal wells starting later this fall.

The original Buzzard discovery well, located 63 miles northeast of Aberdeen, was drilled in 320 feet of water. During testing, the well flowed at 6,547 barrels per day of light oil and 0.97 million cubic feet per day of natural gas on a 36/64th-inch choke. These rates were constrained by the limits of the testing equipment.