MELBOURNE, Australia – Melbana Energy is pursuing a binding incremental oil recovery (IOR) production-sharing contract with Cuba’s state oil company, CUPET.
This would give Melbana a long-term right to further develop and share in any enhanced production from the Santa Cruz oil field offshore the country’s north coast.
The IOR PSC would likely be split into multiple phases, with an initial study period of up to eight months followed by an implementation phase which would include a minimum of two side track wells drilled from existing wellbores to new geological targets.
The Santa Cruz oil field is in between the Boca de Jaruco and Canasí oil fields and 150 km (93 mi) west of Melbana’s onshore block 9.
It was discovered in 2004 when drilled via a deviated well from shore out to the offshore structure. Initial test flow rate was 1,250 b/d, with oil quality varying from 10° API to 22° API.
Santa Cruz is thought to hold up to 100 MMbbl of recoverable and to extend across an area of more than 20 sq km (7.7 sq mi).
By 2012 production was around 1,600 b/d, with 7.4 MMbbl produced from 18 wells.