Morocco makes further gas discovery

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Circle Oil PLC announced that the ADD-1 exploration well has been drilled, logged and successfully tested in the Sebou Permit, Rharb Basin, Morocco.

The Sebou permit lies to the north-east of Rabat in the Rharb Basin in Morocco. The Rharb Basin is a foredeep basin located in the external zone of the Rif Folded belt.

The concession agreement, in which Circle has a 75 per cent share and ONHYM, the Moroccan State oil company, has a 25 per cent share, includes the right of conversion to a production licence of 25 years, plus extensions in the event of commercial discoveries.

Circle Oil confirmed that gas was discovered in both the Main Hoot target and the secondary Guebbas target. The well first tested gas at a sustained rate of 3.57 mmscf/d on a 24/64" choke from the Main Hoot.

The perforated Main Hoot zone of 4.4 metres at 969.6-974 metres MD has a calculated net gas pay of 4 metres. The Guebbas zone was then perforated and flowed gas at a sustained rate of 1.89 mmscf/d on a 16/64" choke.

The perforated Guebbas zone of 2.1 meters at 889.4-891.5 metres MD has a calculated net gas pay of 1.5 metres. A full technical evaluation of all the results of the well is underway.

This will allow for forward planning as a precursor to further assessment of the resource, including conducting an extended well test to give a more complete estimation of the reserves.

The drilling rig is now moving to commence testing DRJ-6, being the untested well from the previous drilling campaign, with a calculated 4 metres of net gas pay in the Guebbas. Following this, the exploration well KSR-11, the fifth and final well will be drilled.

The re-entering or re-drilling of the KAB-1 well will be postponed to a later date pending third party evaluation and recommendation of a suitable drilling fluid to enable the well to be successfully drilled, logged and completed.

This is required to counter a problem with swelling clay experienced on first drilling.

Alain Charles Publishing, University House, 11-13 Lower Grosvenor Place, London, SW1W 0EX, UK
T: +44 20 7834 7676, F: +44 20 7973 0076, W: www.alaincharles.com

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