OSLO, Norway – Panoro Tunisia Exploration has agreed to terms with the Tunisian Directorate General of Hydrocarbons (DGH) concerning the renewal of the Sfax Offshore exploration permit.
The first renewal period expired on Dec. 8, 2018. Panoro, which acquiredDNO’s interest in the concession last year, has held talks with the Tunisian authorities on terms for and timing of drilling a well which had been committed under the first renewal period.
Panoro has agreed to fulfil the outstanding drilling obligation as soon as possible and is working with partner ETAP on well planning and drilling/testing approvals for the offshoreSalloum West-1 well (SAMW-1).
The main target will be the Bireno formation, at 3,200 vertical m (10,499 ft) depth, where 2D and 3D seismic data shows what appears to be an independent block west of the discovered Salloum structure.
SAMW-1 will investigate an independent fault compartment up-dip from the Salloum-1 well, drilled by British Gas in 1992, which flowed oil from the Bireno formation at 1,846 b/d.
Panoro aims to prove additional resources near Salloum-1 and to then fasttrack development of Salloum through a tie-in to nearby oil infrastructure. Following successful drilling, SAMW-1 well could be brought onstream via an extended well test.
The Sfax Offshore concession covers 3,228 sq km (1,246 sq mi) offshore the city of Sfax. It contains two other oil discoveries, Ras El Besh, and Jawahra, with gross recoverable oil estimated by DNO at 20 MMbbl.
In addition, there is thought to be further exploration potential in the permit for up to 250 MMbbl, with numerous existing producing fields nearby with infrastructure and spare capacity in pipelines and other facilities.