(Alliance News) - Vaalco Energy Inc on Wednesday said that it has commenced drilling the first well in its 2019/2020 drilling programme offshore Gabon, which, if successful, will result in additional production coming online in December.
The Houston, US-based exploration company focused on west Africa said it has now started drilling the Etame 9H well targeting the Gamba formation on the Etame field and has plugged the Etame 9P well to a shallower depth as the company was unable to recover a portion of drill pipe and tools.
The Etame 9P well was targeting the Gamba and Dentale reservoirs at the Etame field.
After reaching total depth in the Etame 9P well, the drill pipe and tools became stuck, Vaalco explained. The company was able to cut and pull the majority of the drillpipe but was unable to recover a portion of the drill pipe and tools at the bottom of the wellbore and, as result, the Etame 9P well was plugged to a shallower depth.
Based upon analysis of Etame 9P well results, Vaalco Energy now estimates at least a 45-foot oil column in the Gamba reservoir with no oil-water contact. The analysis also indicates that Vaalco encountered at least 45 feet of good-quality Dentale oil sands with estimated gross recoverable oil resources of 3.9 to 14.9 million barrels of oil.
"We are pleased to have begun drilling the Etame 9H, our first development well in our 2019/2020 program which should add additional production in December. Furthermore, we are encouraged by the updated analysis of the data we obtained on the Gamba and Dentale reservoirs from the Etame 9P appraisal wellbore which should positively impact the estimated ultimate recoverable reserves and resources from the field," said Vaalco Energy Chief Executive Cary Bounds.
"We are in the midst of an active work program drilling the Etame 9H development well which will be followed by the Etame 11H development well in the same Gamba reservoir. We look forward to providing further details on our 2019/2020 drilling program during our upcoming third quarter conference call scheduled for November 7," Bounds added.
Vaalco Energy shares were up 3.2% at 165 pence each in London on Wednesday afternoon.
By Tapan Panchal; tapanpanchal@alliancenews.com
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Vaalco Energy (EGY)