TransGlobe starts drilling new well at South Ghazalat concession
TransGlobe Energy announced yesterday that it began drilling for oil at its SGZ 6X exploration well in the South Ghazalat concession in the Western Desert. The company also said that it successfully began production from two wells in West Bakr in the Eastern Desert, with output from each well currently averaging around 800 bpd, exceeding initial projections. Another new well in the area has also been producing around 80 bpd. TransGlobe plans to drill another well in the area during November.
- Corporate production during the third quarter averaged ~ 14.3 MBoepd and is averaging ~ 14.7 MBoepd to date in October
- Drilled two successful oil wells in M Pool in West Bakr, currently producing ~800 Bopd per well.
- Cased NWG 38A7 as a potential injector/oil well October 22nd.
- Commenced drilling SGZ – 6X exploration well October 23rd targeting a multi-stacked Cretaceous prospect in South Ghazalat.
- Received access approval at South Alamein, waiting on final documentation.
Corporate production averaged ~14.3 MBoepd during the third quarter and has averaged ~14.7 MBoepd to date in October.
OPERATIONS UPDATE – ARAB REPUBLIC OF EGYPT
In South Ghazalat (‘SGZ’) the Company commenced drilling SGZ 6X, the second exploration well in the concession on October 23rd. SGZ 6X is located on the eastern portion of the concession offsetting the Raml oil field in the Abu Gharadig basin. The SGZ 6X prospect is targeting stacked Cretaceous oil targets similar to the producing Raml and SW Raml fields.
In South Alamein the Company has received notification from the military that access will be granted to drill the South Alamein 24X Jurassic exploration prospect. The Company has submitted the required documentation and is awaiting final written approval which is expected prior to year-end. Concurrently, the Company initiated preparations to drill SA 24X as part of the 2019 exploration program.
In West Bakr, the Company drilled a two well infill program in the M field resulting in two oil wells during August/September. The M-North and M-South wells were initially placed on production in September at rates of ~500 Bopd per well. Both of these wells continue to exceed internal pre-drill estimates and are currently producing ~800 Bopd per well following pump optimization work during October.
Following M-South, the rig was moved to NW Gharib 38A-7 to drill a potential water injector in the NWG 38A pool. The NWG 38A-7 well was drilled as a potential water injector targeting the 38A Red Bed pool in a structurally lower position 0.4 kilometers south of the NWG 38A Injector well (NWG 38A-I, drilled Q2). The NWG 38A-I well encountered oil in the targeted Red Bed formation and was placed on production in September at an initial rate of ~110 Bopd (following a fracture stimulation) and is currently producing ~80 Bopd.
The NWG 38A-7 well encountered the Red Bed formation, which appears to contain both oil and water, however the well was cased, due to deteriorating wellbore conditions prior to acquiring definitive fluid samples. The NWG 38A-7 well will be completed during November and depending on the production results will be another oil producer or converted to water injection well to support the NWG 38A oil pool. In the event NWG 38A-7 is an oil producer, the Company has planned an additional well (NWG 38A-8) further south as a contingency for reservoir pressure support.