Amity Oil Drilling Ahead on Ellis-1 Well in Oklahoma
Amity Oil
The Ellis-1 well, located in Oklahoma, has now drilled to a depth of 10,300 feet (3140 meters).
Wireline logs were run and the intermediate casing string was run and cemented. Three small gas
bearing secondary zones were interpreted in the overlying section which could not be effectively
tested at this time. Currently the conversion to the oil based mud system is underway and drilling
towards the main objective will commence shortly. The main Morrow sands should be intersected by
late next week.
Drilling Program The objective of Ellis-1 is to re-test the lower Morrow B sand which flowed gas in the offset well (200 meters away) at a rate of approximately 2.4 MMscf/d. The well will also evaluate additional underlying Morrow C, D and E sands that are potentially gas bearing and productive based on the log analysis, but may have been damaged by water based drilling fluids. These additional Morrow zones all produce locally and look attractive in the Ellis offset wells. Other nearby wells have Morrow gas pay interpreted from the wireline logs, but were either not tested or failed to flow, interpreted to be a consequence of the poor drilling practices employed at the time.
The use of synthetic oil based drilling mud and a superior well design should eliminate the risk of formation damage and maximise well productivity.
It was considered prudent to drill new wells employing modern under balanced drilling technologies and well design rather than re-entering the old discovery wells.
Ellis-1 is targeting un-risked reserves of between 2.0 Bcf and 10 Bcf in the P90 to P10 range per well in the Morrow B only. The most likely estimate of the un-risked gas reserves are between 3 and 5 Bcf per well. Should additional pay be confirmed in the other Morrow targets then additional gas volumes would be attributable to this well. Our working interest in this project is 99.5% and net revenue interest, after royalties is approximately 77%.
Drilling Program The objective of Ellis-1 is to re-test the lower Morrow B sand which flowed gas in the offset well (200 meters away) at a rate of approximately 2.4 MMscf/d. The well will also evaluate additional underlying Morrow C, D and E sands that are potentially gas bearing and productive based on the log analysis, but may have been damaged by water based drilling fluids. These additional Morrow zones all produce locally and look attractive in the Ellis offset wells. Other nearby wells have Morrow gas pay interpreted from the wireline logs, but were either not tested or failed to flow, interpreted to be a consequence of the poor drilling practices employed at the time.
The use of synthetic oil based drilling mud and a superior well design should eliminate the risk of formation damage and maximise well productivity.
It was considered prudent to drill new wells employing modern under balanced drilling technologies and well design rather than re-entering the old discovery wells.
Ellis-1 is targeting un-risked reserves of between 2.0 Bcf and 10 Bcf in the P90 to P10 range per well in the Morrow B only. The most likely estimate of the un-risked gas reserves are between 3 and 5 Bcf per well. Should additional pay be confirmed in the other Morrow targets then additional gas volumes would be attributable to this well. Our working interest in this project is 99.5% and net revenue interest, after royalties is approximately 77%.
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