27th Mar 2014 11:42
LONDON (Alliance News) - Tullow Oil PLC Thursday said it failed to find commercial levels of oil at the Emong-1 exploration well and the Etuko-2 well, both on-shore in Kenya.
The FTSE 100 oil and gas company said the Emong-1 exploration well in Block 13T was drilled to a final depth of 1,394 metres to test a structure directly across the main basin bounding fault at the block but encountered poorly developed oil bearing reservoir sands.
Tullow said that, as such, it believes the main basin bounding fault controls the distribution of oil reservoirs in this area but should not effect the potential of its Ngamia oil accumulation four kilometres from the site.
Tullow also said that following a recent successful drill stem test of its Etuko-1 well in Block 10BB, which flowed at a combined rate of 550 barrels of oil equivalent per day, the rig stayed on site and drilled the Etuko-2 well to evaluate a very shallow reservoir zone penetrated in Etuko-1. The company said the well was drilled to 650 metres and the well flowed water with certain oil shows.
However, the company said its SMP-5 rig conducted a drill stem test on the Ekales-1 oil discovery well in Block 13T and successfully flowed over 1,000 barrels of oil per day, before moving to conduct a drill stem test on the Agete-1 discovery well, also in Block 13T.
The company said its Sakson PR-5 rig is continuing drilling operations on the Twiga South-2 up-dip appraisal well which is expected to be completed in mid-April, before the drill rig moves to drill a down-dip appraisal of the Amosing discovery, which appears to have high quality reservoir.
Tullow Oil shares were down 3.1% to 752.88 pence, putting it among the top FTSE 100 fallers Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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