Calvalley Petroleum Abandons Auqban-2 Well in Yemen

Calvalley Petroleum says the Auqban-2 appraisal well on Block 9 that spudded on August 6th has been abandoned. The Auqban-2 well was drilled on the basis of an assumed structural closure to a depth of 2,178 metres, including penetrating 283 metres of the basement. Based on the drilling results of the Auqban 1 & 2 wells, the Company has determined that the pool is a complex reef structure comprised of vuggy limestone sitting at a depth of between 1,677 and 1,750 metres. As a result of the complexity of this structure, the Company intends to acquire 3D seismic over Auqban and after that information has been acquired, additional wells will be drilled.

The drilling rig is now being moved back to the Hiswah pool, where it will drill additional development wells. The results of the Auqban-2 well will have no impact on the production from the Hiswah oil pool, where work has been initiated on the construction of gathering and early production facilities, with anticipated completion late this year. Calvalley anticipates initial start up production of between 6,000 and 10,000 bopd which will be trucked to an export pipeline operated by third party. The 3D seismic that was recently acquired over the Hiswah structure has been processed and in-house interpretation commenced. This seismic data will significantly enhance and accelerate the development of the Hiswah pool.

Calvalley Petroleum is the operator of Block 9 in Yemen.