Desire forced to abandon latest well
OIL and gas exploration firm Desire Petroleum has suffered a setback in its latest mining operation in the North Falkland Basin (NFB).
The Malvern registered company said mechanical failure in its drilling of the 14/15-1Z well in the Rachel prospect meant it would not be able to obtain any wireline data from the well. Wireline is where a current is sent down a cable to detect the presence of hydrocarbons.
However, it said other data acquired during the drilling operation had suggested a 25-metre layer of sand did contain traces of oil. Unfortunately, without the wireline data it said it was not possible to fully assess the significance of the find.
The current well will be now plugged and abandoned and the drilling rig moved to a new location on the Rachel prospect.
The proposed move is subject to obtaining all necessary regulatory and partner approvals. In the event this does not happen quickly, then the company said it would look at the alternative Dawn/Jacinta prospect and return to Rachel later in the drilling programme.
Desire said the data collected from both the Rachel main bore and sidetrack would allow for a vertical well to be drilled next time. The advantage of this is that it should avoid the geomechanical problems encountered in the previous operation.
Stephen Phipps, chairman of Desire, said: “It is disappointing that we have been unable to collect all the data that would have enabled us to fully evaluate the Rachel sidetrack well. However the data that we have been able to gather has given us sufficient encouragement to drill another well on the Rachel prospect.
“Following the Sea Lion oil discovery by Rockhopper Exploration, this is the second well to indicate the presence of hydrocarbons in what is now termed the east flank play fairway and gives us encouragement that further oil fields will be discovered in this area.”
Rockhopper Exploration issued its own statement today supporting the Desire position.
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