Europa Oil & Gas (Holdings) PLC has revised up the estimate for unrisked prospective resources in the EG08 block offshore Equatorial Guinea to 2.1 trillion cubic feet equivalent (Tcfe).It rose by 716 billion cubic feet (Bcf) after further evaluation of existing seismic data obtained from three initial prospects plus results from a study to identify additional prospects, Europa said in a statement.
Europa participates in the block through Antler Global Ltd., which holds an 80 percent stake in EG08. Europa acquired a 42.9 equity stake in Antler Global, a West Africa-focused upstream player, last year. The remaining 20 percent in the block is owned by Equatorial Guinea’s national oil and gas company Guinea Ecuatorialde Petroleos.
The biggest of the prospects in terms of mean prospective resource is Barracuda, estimated to hold 798 Bcfe. It is followed by Arrowhead with 324 Bcfe. The Cardinal prospect has a mean prospective resource estimate of 275 Bcfe. Four other prospects have a combined estimate of 344 Bcfe, while two leads are estimated to hold 375 Bcfe.Of the total mean prospective resource estimate of 2.1 Tcfe, 726 Bcfe is net to Europa.
Europa said several “suitable companies” had expressed interest in farming into the block. “Antler will be seeking a farm-in partner to accelerate drilling an exploration well (the ‘Farm-in Well) which will target one horizon in the Barracuda prospect, with an estimated GCOS [geological chance of success] of 70 percent”, it added. “Future wells will target the significant additional upside in Barracuda and throughout the license.
“The technical work that has just [been] completed included a petrophysical evaluation of the O-2 well drilled in EG-08 down-dip on the Barracuda prospect by Noble Energy in 2007. This evaluation established that the O-2 well encountered gas condensate in the upper section of the reservoir. The Farm-in Well will target the same reservoir section up-dip from the O-2 well”.
Initial talks were held with rig providers for a jack-up to start drilling in the second half of next year, according to Europa.Europa chief executive Will Holland said, “The technical work has not only increased the prospectivity of the block by 50 percent to over 2TCFe, but also further de-risked the Barracuda prospect by identifying gas in the O-2 well, which we will be drilling up-dip from on the same structure”.
“Given the proximity to existing infrastructure, any discovery can be brought online quickly, resulting in impressive economic returns”, Holland added. “In addition, the block has plenty of additional prospectivity, all of which will be attractive to major upstream companies”.
Source:https://www.rigzone.com