Uncle lookGedw.comment 28/29 Mar 2006 06:33
CDS Reports on Results from First Well in Paraguay
CDS Oil & Gas Tuesday, February 28, 2006
CDS Oil & Gas has received results from sidewall core and fluids analyses from its first well, CDS-GM-05-5001, drilled in the Chaco Basin in western Paraguay. The well, which reached a planned depth of 1,635 meters on December 23, 2005, was cased and suspended for testing or deepening at a later date.
The initial objective of the well was a potential oil-bearing zone between 705 meters and 1,600 meters, identified by CDS through its interpretation of seismic data and well logs of previous
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drilling operations between 1947 and 1996. The drilling of this well fulfilled the Company's work obligation on the Gabino Mendoza Block. Special core analysis was conducted by Geosystems LLP in Kingwood, Texas on Devonian sidewall cores. Geochemical and hydrocarbon identification analysis were performed on sidewall cores and drill cuttings at Humble Geochemistry, Inc., in Humble, Texas.
Analyses to date by CDS of the technical information derived from the well, confirms that liquid hydrocarbons were found within several zones of the well. However, reservoir qualities are lower than required to be able to flow oil unassisted.
CDS believes that the results from this well have improved the level of confidence of the gas potential at depth on the