Block Energy makes progress on drilling programme at West Rustavi
Exploration and production company Block Energy updated the market on operations at its flagship West Rustavi field on Wednesday, where it was pursuing a fully-funded multi-well drilling programme through the 2019-2020 season.
The AIM-traded firm said the programme was designed to “rapidly increase” oil and gas production across the field, in which it had a 100% working interest.
West Rustavi has an estimated 0.9 million barrels of gross 2P oil reserves, 38 million barrels of gross unrisked 2C contingent resources of oil, and 608 billion cubic feet of legacy gross unrisked 2C contingent resources of gas.
It reported that sidetracking operations had started at well WR-38Z, targeting the Middle and Upper Eocene formations.
The well was being drilled on-trend with and updip of WR-16aZ, with the benefit of “valuable” new information.
Since testing started, the company said oil and water production from WR-16aZ had varied “significantly” due to the failure of certain downhole equipment during the attempted cementing of the well in the course of drilling.
It said WR-16aZ was continuing to flow strongly, producing a combination of oil, water and gas.
From 17 to 23 September, production averaged a choked-back rate of 230 barrels of liquid per day, at an average water cut of 78%.
The well had flowed gas at rates “significantly higher” than the company was anticipating, the board said.
It added that the 3D seismic survey of the field had begun with the mobilisation of the acquisition contractor.
“Encouragingly, the WR-16aZ appraisal well has proved the productivity of the Middle Eocene naturally fractured oil reservoir,” said Block Energy chief executive officer Paul Haywood.
“It has also confirmed unassociated gas flows above our expectations.
“The flow test results have varied over time due to lost drilling fluid and a mechanical failure when drilling the well.”
Haywood said that in the course of drilling WR-16aZ, the company had strengthened its understanding of the drilling techniques applicable to Georgia, which would be “invaluable” as it began drilling well WR-38Z - the second of five wells it planned to horizontally sidetrack in its fully-funded campaign.
“I look forward to updating you on our progress at WR-38Z.”