CanArgo Energy Makes Discovery with M11 Well in Georgia

CanArgo Energy reported that the Manavi Exploration Well, M11, has reached a total depth (TD) of 4,500 meters.

The primary Cretaceous limestone target was encountered at 4,348 meters. Drilling data and wireline logs indicate the presence of oil and gas in the Cretaceous limestone sequence and the well is currently being prepared for a testing program to ascertain whether or not such hydrocarbons can be commercially produced.

In addition, the wireline logs and drilling data indicate the presence of further hydrocarbons in the higher Middle Eocene sequence, which is the productive sequence in CanArgo's nearby Ninotsminda Field.

The Manavi-11 is a highly ranked prospect at Cretaceous and Middle Eocene levels with additional potential in the Upper Eocene. A third exploration well is planned on the Kumisi Prospect located south west of Tbilisi. This is an appraisal of the previous R16 gas discovery that produced from the Cretaceous. This has a significant advantage in that it is relatively close to Gardabani Power plant.