PORT STANLEY, Falkland Islands -- Further exploration prospects are emerging on Argos Resources’ acreage in the offshore North Falkland basin.
A newly commissioned 3D seismic survey over license PL001 was completed in April. Argos prioritized the data covering the northeastern quarter of the license for fasttrack processing, the program concluding in May.
Interpretation has confirmed the structural prospects Zeus and Demeter, and both are thought to be robust closures. A Competent Person’s Report in June 2010, based on 2D seismic data, assessed their prospective oil resources at 258 MMbbl and 63 MMbbl.
New stratigraphic prospects and leads have also been identified in the new data, and are undergoing detailed mapping.
In the northern part of the North Falkland basin around PL001, there is evidence of a major delta system that has prograded southwards across the license area, without apparently extending beyond the southern boundary of the license.
Argos believes this delta is at least equivalent in age to the organic rich oil source rock which appears to be present across the licence area. The company is now using the 3D data over the delta to identify new stratigraphic prospects in what it could be a sand-prone deltaic sequence.
Following the positive results, Argos has commissioned similar fasttrack projects on the southeastern quarter and western half of its license, results of which will be interpreted this summer. The final processed data for the entire survey area should be issued around year end.
Chairman Ian Thomson said: “Through sharing costs and seismic acquisition with adjacent operators, and being able to tender for a larger seismic program as a consequence, we have been able to acquire more 3D data and at lower cost than was envisaged at the time of the flotation in July of last year. The 3D seismic we have obtained is the best quality data seen in the basin to date, allowing us to map prospects with confidence.
"By committing to fasttrack processing of the 3D data in the rest of the licence we expect to gain at least three months on the schedule for the complete project. This will greatly assist in our objective to be ready to drill in late 2011/2012 in order to have the option to contract the Ocean Guardian drilling rig which is currently operating in the area.”