Statoil Turkish Tight Gas Well is "Test-Ready": Valeura
Toronto-listed Turkish gas explorer Valeura Energy said its first deep exploration well, Yamalik-1, with Norwegian partner as Statoil has been completed and left ready for completion and production testing.
Statoil, as equal 50% partner in Valeura's Banarli licences covering 540 km2 in the European part of northwest Turkey, is funding the drilling of Yamalik-1 on a 100% basis up to a cap of 110% of the budgeted cost.
Statoil last year said its target is deep-level tight gas; shallow formations above 2,500 metres are 100%-retained by Valeura.
Valeura said July 24 2017 that "encouraging gas shows were encountered while drilling the objective section and, based on the drilling data, the well is over-pressured below approximately 2,900 metres down to the total drilled depth of 4,196 metres" and that "the over-pressures and the indicated pervasive gas saturation in the well are positive indicators of the potential for a basin-centred gas play in the Thrace Basin."
It said it is working with Statoil to design the completion, multi-stage fracking and testing program, with testing expected to start late 3Q 2017. Statoil will pay 100% of the completion and testing program up to a cap of 110% of the agreed budget, after which Yamalik-1 commerciality will be determined.
In further advancement of the Banarli farm-in, Statoil is proceeding with Phase 2, which comprises acquiring 3D seismic across the Banarli Farm-in lands and parts of the West Thrace lands not currently covered with 3-D seismic. Shooting of the seismic has already commenced, with more than 76 km2 recorded to date out of a planned scope of about 500 km2; the survey is due to finish by early 4Q 2017 with Statoil funding the entire agreed $10mn budget.
Mark Smedley