Oilex Begins Fracture Stimulation Operations at Cambay-77H Well in Gujarat

Oilex Ltd revealed Tuesday that fracture stimulation operations have commenced at Cambay-77H well in the Cambay Production Sharing Contract (PSC) in Cambay Basin, Gujarat, India.

Since the previous update June 9:

  • Interpretation of the cement bond log confirmed excellent cementing of the 4.5 inch production casing verifying well integrity
  • The 10,000 psi fracture stimulation tree (frac tree) was installed and pressure tested
  • Water storage pit was filled with ~21,000 barrels of water
  • All Schlumberger equipment was mobilized, set up and tested at site, necessitating some field repairs
  • All initial Coiled Tubing operations were completed including:
    • 4.5 inch production casing cleaned and gauged
    • Correlation of the location for each perforation cluster
    • Stage 1 “toe prep” including perforations

During the Stage 1 “toe prep”, a pressure increase of approximately 800 psi was detected at surface immediately after the initial Stage 1 perforation, confirming successful access to the reservoir. A steady rise in pressure was observed and, as a precaution, flow-back equipment was rigged up to the frac tree while coil tubing operations continued.

The “micro frac” of ~ 30 barrels of fluid will acquire data related to reservoir properties. The Stage 1 “data frac” of ~ 500 barrels of fluid to assess local geo-mechanical rock properties will be followed by the Stage 1 “main frac” where ~4,100 barrels of frac fluid and ~136 tons of proppant will be pumped into the formation.

As previously reported, Cambay-77H intersected the primary reservoir target (Y Zone) on prognosis. A comprehensive suite of logs has been acquired and interpretation confirms the wellbore encountered a significant sequence of hydrocarbon-bearing reservoir similar to Cambay-76H. The Cambay-77H logs also compare favorably to the  Cambay-73 vertical well, which produced from the Y zone at ~1 million standard cubic feet per day, or MMscf/d (plus condensate and is located approximately 0.62 mile (1 kilometer) from Cambay-77H.

Cambay-77H is offset ~984 meters (~300 meters) from the Cambay-76H horizontal well that underwent a successful multiple staged fracture stimulation program along its 2,076 feet (633 meters) lateral section in 2012. However, this well was suspended before testing due to downhole mechanical problems.

Cambay-77H has a modified completion with cemented 4.5 inch production casing to minimize risk associated with post-frac milling operations. A shorter lateral section 1,148 feet (350 meters) in Cambay-77H coupled with a conventional “plug and perf” method is expected to facilitate the primary goal of the well – recording hydrocarbon flow information at surface during a production test.

During the fracture stimulation operations, Oilex will inform the market using the following update milestones.

  • Commencement of the Stage 1 fracture stimulation
  • Completion of the fracture stimulation program (consisting of 4 Stages)
  • Completion of the plug mill-out operations

Announcements in relation to flow back and production testing will be dictated by the well response to the stimulation program.

Managing Director of Oilex, Ron Miller, said;

“We are pleased that the first stage fracture stimulation is now underway. As indicated previously, Oilex has taken a cautious approach during rig up and equipment testing to mitigate risks arising after fracture operations start. The immediate pressure increase at surface after the initial perforation is a positive sign. The collection of reservoir property data using the micro fracture technique is important for the evaluation of the well’s performance during production testing which remains on track to commence in early August 2014, after a flowback and clean up period.”


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