Desire narrows focus for second Falklands well

Desire Petroleum plans to use its next available rig slot to drill the Rachel structure in the North Falkland basin campaign.

Offshore staff

LONDON -- Desire Petroleum plans to use its next available rig slot to drill the Rachel structure in the North Falkland basin campaign.

The semisubmersible Ocean Guardian currently is working on the third of a series of exploratory wells off the Falklands for various license holders. The first of these wells, operated by Desire, discovered gas and gas condensate in the Liz prospect. The Rockhopper-operated Sea Lion well encountered oil.

Desire says information from the two wells has improved understanding of the basin’s hydrocarbon potential, and studies are under way to identify targets for drilling later in the campaign.

The wells also prove that hydrocarbons (oil and gas) have been generated and trapped in the North Falklands basin.

Desire points out that the Sea Lion well found oil in a good quality sandstone reservoir. This, it says, has significantly de-risked oil exploration, particularly on the basin’s eastern flank.

The company has identified numerous potential sandstone fans of the same play type as Sea Lion including the Rachel, Ninky, and Anna prospects.

A Competent Persons Report produced last year by Senergy (UK) revealed gross mean unrisked prospective recoverable resources for Rachel and Ninky of 318 MMbbl and 122 MMbbl, respectively.

Subject to approvals, Desire plans to drill Rachel later this year. The company hopes to gain further insight following a review of 3D seismic data, mapping the distribution of potential sandstone fans on the eastern flank.

The Liz well, drilled on the western flank of the basin, discovered gas in two zones. Analysis of the samples has confirmed the lower zone as dry gas (high methane and low liquid content) and the upper zone as gas condensate with a condensate/gas ratio of 95 bbl/MMcf and condensate of 49.5º API.

The current focus is on mapping the size of these accumulations and obtaining a better understanding of reservoir quality. Results of oil indications in the Liz and Beth fans are also being analyzed to determine whether better quality sandstone reservoir may be present updip.

06/08/2010

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