Friday, March 21, 2014
Circle Oil reported that the AASE-19 well on the Al Amir South East field in the NW Gemsa concession has now been hooked up as a Shagar producer and was producing at a rate of 517 bpd gross and 0.397 Mmscf/d on March 14, the first full 24 hours of production. The rig has moved to drill the infill AASE-21 well located about 1,000 meters south-east of the AASE-4 well and 800 meters north-west of the AASE-1X well to appraise both the Shagar and Rahmi sands for production. Current gross daily production from the AASE and the Geyad Field continues at approx. 11,200 bpd and 11 Mmscf/d.
Following completion of the current AASE-21 well, the rig is planned to move on to drill an infill support injector well in the north central part of the field prior to release on sub contract. In parallel, reservoir engineering studies are being advanced to develop a dynamic reservoir model to assess reservoir behavior for the future. This will provide the necessary interactive picture for the effective and efficient management of the two producing fields going forward. This period of reservoir management study will also permit the planning of any future infill drilling both for producers and injectors to maximize reserve recovery for the medium and long term.
In Morocco on the Sebou and Lalla Mimouna permits, the company’s drilling campaign that was scheduled to start in January has been delayed and all preparations slowed by the continuing seasonal rains in the Rharb. Circle said that as in previous years significant areas within the concession area are subject to flooding which has been known to continue into late-spring. Well proposals are now completed for the first six wells which are located on both permits with the first to be drilled in the Sebou permit. Circle could potentially drill 12 wells, including a re-drill of the KAB-1. Current gross daily production from producing gas wells in the Sebou permit is 7 Mmscf/d.
In Tunisia Circle said that plans are well advanced for the drilling of the Mahdia commitment well with long lead items prepared for shipment, main- and sub-contractor tenders issued with some awarded and others under commercial evaluation or awaiting ETAP approvals. Subject to final negotiation and Tunisian authorities’ approvals the drilling unit has been selected.
Circle has also launched a farm-out exercise and a number of companies have signed up to attend the data room. The license is within the vicinity of many producing fields, including the Tazerka, Birsa, Oudna, and Halk El Menzel oil fields, and the Maamoura gas field, which make it prospective. The most recent discovery, the Mahdia-2, tested around 2,700 bpd from the Serdj carbonate reservoir. This is one of the several possible reservoir horizons proven by producing plays in the region.
The next Mahdia well, provisionally designated El Medouini-1, is planned to test the stacked play potential of the El Medouini prospect , including both the primary Birsa Sands target and the secondary fractured carbonates of the Ketatna and Abiod formations as well as the deeper Serdj carbonates. The El Mediouni-1 well will be drilled to a depth of up to 2,300 meters, targeting the stacked primary and secondary reservoir horizons between 1,000 meters and 2,100 meters in subsea depth. The recoverable prospective resources estimate for the El Medouini prospect is 46 million barrels for the Birsa objective alone, substantially larger than the recoverable commercial threshold for the area which sits at about 10 million barrels of oil.
Chris Green, CEO of the company said “Circle is now entering an exciting and busy operational period in all of its geographies. We were pleased with the results of the sidetrack of the AASE-19 well, which will provide additional oil and gas production from the Al Amir SE field. Drilling operations offshore Tunisia and onshore Oman approach and we await the end of our frustrating delays in Morocco and being able to start our multi-well drilling campaign.”