Continental Focus, International Reach

Sound Updates Morocco

Tuesday, January 29, 2019

In Morocco on the Greater Tendrara Area, Sound Energy’s TE-10 wireline logging results have identified a potential TAGI gross reservoir sequence from 1,899 meters measured depth to 2,009 meters MD, an initial net pay estimate of up to 10.5 meters and gas bearing sands beneath the mapped TAGI structural closure.

The company said that it also successfully recovered gas to the surface with a modular formation dynamics tester system, confirming the presence of moveable hydrocarbons in the reservoir.

The rig at TE-10 has now been demobilized and is stacked at the TE-10 rig site on a reduced standby rate, awaiting drilling of the next, and final, well in Sound Energy’s current exploration program, TE-11.

Earlier this month the company revealed that the FMI (high definition formation micro-imager log), which provides a microresistivity image of the well bore at a much finer resolution than the initial logging suite, had potentially identified the presence of additional thin bedded net pay within the previously identified potential gross reservoir interval between 1,899 meters MD to 2,009 meters MD. Sound now confirms that the FMI identified both the presence of fractures and the previously announced potential additional thin bedded net pay.

A total of 57 side wall core samples have been successfully cut and shipped out of Morocco and are now being analysed by ALS Ltd in the UK.  Preliminary analyses of a sample subset show permeabilities within the range observed in the TE-5 Horst area.

Sound Energy’s initial, and previously announced, net pay estimates of up to 10.5m are now being revised likely upwards, integrating the wireline data with the on-going analyses of the side wall core.  The Company expects to be able to confirm a revised net pay estimate in mid-February 2019.

Design, planning and procurement for the TE-10 testing program is nearing completion. The Company confirms that the testing program will include stimulation of the well and that the testing and stimulation equipment is already being mobilized to site by Schlumberger from Libya and Tunisia.

The first stage of the TE-10 testing program, which will commence early February, will conduct a series of flow tests on multiple intervals between 1,899m MD and 2,070m MD to establish the presence of deepest moveable gas, and reduce the range of uncertainty on gas resource volumes.

Sound then intends, once the stimulation equipment has arrived, to mechanically stimulate the most prospective reservoir zones in a series of production flow tests.  The stimulated test is expected to take at least 30 days from commencement.