The company in a statement giving update in a preliminary result of activities on the field said the new oil and gas reservoirs were discovered having drilled a total depth (TD) of 6,059 feet.
Drilling operations commenced on Oyo-8 well on June 15, 2014 and has both a vertical and a horizontal section. Camac said the vertical section was designed to test for additional hydrocarbons in the previously undrilled Eastern fault block of the Oyo field.
Confirming the discovery, it stated: “Camac Energy is pleased to announce Oyo-8 was drilled to a total depth of 6,059 feet, and successfully encountered four new oil and gas reservoirs with total gross hydrocarbon thickness of 112 feet based on results from the logging-while-drilling data, reservoir pressure measurement, and reservoir fluid sampling,”
Senior Vice President of Exploration and Production, Segun Omidele, said: “This is an excellent result from the vertical section of Oyo-8, as it positively established oil presence in new reservoirs in the Eastern fault block. We have commenced a detailed evaluation of the results with a view to establishing the size of the incremental reserve additions,”
He stressed: “We are one step closer to bringing these two high-impact development wells on production that will generate immediate revenues, cash flow, and earnings for our shareholders.”
According to the Camac, the well will now be completed horizontally as a producing well in the Pliocene formation of the central Oyo field, adding that Oyo 7, which was successfully drilled in October 2013, would also be completed horizontally in the Pliocene formation of the field.
The Oyo Field is located in deepwater (200-500 meters) approximately 75 kilometers offshore Nigeria.
CAMAC Energy has an interest in a production-sharing contract (PSC) covering operations in Oil Mining Leases 120 and 121 issued by the Federal government.
The Oyo Field commenced production in December 2009. The wells are connected to Armada Perdana, a Floating Production Storage and Offloading (FPSO) vessel.
The FPSO has a treatment capacity of 40,000 barrels of oil per day (bblpd), with gas treatment and re-injection facilities, and is capable of storing up to 1 million barrels of crude oil. The associated gas is re-injected into the Oyo Field reservoir by a third well to maximize oil recovery.
*Sulaimon Salau – The Guardian