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LONDON (Alliance News) - Oil and gas company Empyrean Energy PLC said on Monday it has completed an oil migration study for offshore China Block 29/11, which has established potential pathways into the Jade, Topaz and Pearl prospects.
The study has established the maturity profile of source rock, confirming that was at peak maturity, when oil expulsion started, meaning that prospectivity for the block will be very positive as the entire rock has been identified to have produced hydrocarbons.
The study has also interpreted oil migration pathways from known oil sources of the Enping Formation within the proven Baiyun Sag East basin into the west and south of Block 29/11 since 2010, as well as pathways to the northern flank of the Baiyun uplift where the Jade and Topaz prospects are located.
In addition, 28 square kilometres of seismic data outside the block has confirmed potential fill-and-spill pathways to the Jade prospect from the oil discovery, Empyrean Energy said.
Finally, the Pearl prospect is potentially located in a migration shadow for oil migrating from Baiyun Sag East or Baiyun Sag North. As a result, further work has revealed that Pearl is in a favourable position for receiving oil charge from the Huizhou Sag basin, located northwest of Block 29/11.
"The findings from this oil migration study are very promising with effective potential oil migration pathways established into all three of our prospects on Block 29/11. Interpretation of the potential effective migration pathways from the established kitchen area - Baiyun Sag East - as well as from the new kitchen area - Baiyun Sag North - into Block 29/11 helps increase our overall understanding of the geology of the block and the Jade and Topaz prospects in particular," said Chief Executive Officer Tom Kelly.
Shares in Empyrean Energy were down 4.1% at 9.26 pence on Monday.
