Canada-based Valeura Energy has made three new natural gas discoveries in Turkey’s northwest region Osmanli area
Jim McFarland, CEO of Valeura Energy, said, “We are excited to announce the successful results from a new conventional natural gas exploration program on our TBNG JV lands in the sparsely drilled Osmanli area.
“Three exploration wells have been drilled to date on new 3D seismic, all of which have discovered gas, which could potentially add gross 169,901 cu/m to 198,217 cu/m to productivity by late October when the wells are expected to be tied-in. Two additional firm exploration wells are planned in this program, one of which has been drilled to total depth and is logging. We expect these results to lead to a number of follow-on exploration, appraisal and development locations in the Osmanli area.”
McFarland added that one of the successful exploration wells at Gurgen-1 is only 500 metres from the boundary of Valeura Energy’s 100 per cent-owned Banarli licence and has assisted in identifying a number of Osmancik formation exploration prospects and leads on our acreage.
The vertical exploration wells were drilled in Q3 2014 on the joint venture lands acquired from Thrace Basin Natural Gas Corporation (TBNG) and Pinnacle Turkey, Inc. (PTI).
Valeura Energy holds a 40 per cent share in the Osmanli area. These wells were drilled on new 3D seismic acquired in late 2013 and are part of a planned programme of five firm exploration wells in the Osmanli area in 2014 targeting conventional natural gas in the Osmancik formation.
According to the company, the most significant discovery was at the Gurgen-1 well, which was drilled in 14 days to a vertical depth of 2,100 metres into the Osmancik formation. Log analysis indicated approximately 47 metres of net pay with an average porosity of 17 per cent. The well was cased, 12 metres of net pay was perforated as an initial completion and a short flow test was carried out at an initial gross rate of approximately 113,267 cu/m per day.
The well is currently being tied-in with a six-inch lateral to the closest sales line at a distance of 3.5 km, which is expected to be completed in mid-October 2014. The lateral has been sized to allow for potential additional drilling on this new discovery. The cost to drill and complete the well was approximately US$950,000. The tie-in cost is estimated at US$270,000.
The Gurgen-1 well is located approximately 500 metres south of the Banarli licence where Valeura Energy carries a 100 per cent stake and the 3D seismic indicates that the Osmancik structure could extend into the Banarli licence and sets up a potential drillable prospect. An appraisal well is expected to be drilled before year-end 2014 on the structure discovered by the Gurgen-1 well, Valuera Energy added.
The Tavanli-1 exploration well was drilled in 12 days to a depth of 1,300 metres into the Osmancik formation. Log analysis indicates approximately nine metres of net pay with an average porosity of 24 per cent. The well was cased and completed and a short flow test was carried out at an initial gross rate of approximately 56,633 cu/m per day.
The well is currently being tied-in to the gathering system and should be on-stream by the end of October this year. The cost to drill and complete the well was approximately US$660,000 and the tie-in cost is estimated at US$150,000.
The Biyikali-2 sidetrack exploration well was drilled in six days to a vertical depth of 900 metres into the Osmancik formation. Log analysis indicates approximately five metres of net pay with 24 per cent average porosity. The well was cased and completed and a short flow test was carried out at an initial gross rate of approximately 42,475 cu/m per day.
The well is being tied into the gathering system and should be on-stream by mid-October. The cost to drill and complete the sidetrack was approximately US$50,000. The tie-in cost is estimated at US$200,000.
The fourth planned Guney Osmanli-3 exploration well was spudded on September 29 and has been drilled to the planned depth of 1,080 metres into the Osmancik formation. The well is currently being logged.
The fifth exploration well in the current campaign at Dogu Osmanli-1 is expected to spud in late October with a target depth of approximately 2,000 metres. The well is designed to test the Osmancik formation in addition to a deeper interpreted slope channel sand in the Mezardere formation.
Valuera Energy has also announced that it is continuing to seek a joint venture partner to participate in funding an exploration programme on the Banarli Licence 5104, where it carries a 100 per cent stake.
