Radial Drills Ahead in Peru

Radial Energy Inc. said that drilling at the Huaya 100-1X well in Peru has reached a depth of 463 feet after drilling out approximately 115 feet of cement in the surface casing. The planned total depth is 950 feet.

According to well site mud logging interpretation, the well is encountering formation tops 35 to 40 feet higher than the original Huaya 4X well which discovered approximately 12 feet of net oil pay at the top of the Vivian sandstone reservoir, the primary target for the project. The Vivian sandstone, which in the Huaya 4X well is approximately 160-feet thick, production tested light 38° API gravity oil.

The top of the Casablanca sandstone, one of two secondary targets for the Huaya 100-1X well, was encountered at 335 feet of drilling depth, and upon penetrating the formation, a show of 100 parts per million (ppm) of total gas was registered over a background of 20 ppm. Sandstone reservoirs in the Casablanca and Cachiyacu formations are both secondary targets for the project. The Casablanca formation has been assigned probable undeveloped (P50) category reserves of 3.2 million gross barrels of oil by Gustavson Associates.

According to Radial COO, Omar Hayes, "We are encouraged by the reports from the well. First, that we continue to drill ahead. Second, that we are encountering formation tops 35-40 feet higher than the Huaya 4X discovery well, that is found down dip from the Huaya 100-1X well, on the flank of the structure. As the geological formations in this area maintain a uniform thickness throughout the section we are drilling, we anticipate maintaining this structural advantage as we drill through the Cachiyacu and our primary target Vivian sandstones."

Radial Energy identifies, acquires, and develops low risk oil and natural gas exploration and development opportunities throughout the Americas.