Carnarvon Petroleum Limited’s (ASX:CVN) drilling operations at the Dorado-1 well of the Phoenix project offshore Western Australia are at a measured depth of about 3,637 metres.
The well is now approaching the target of the Dorado structure at the Caley interval, which is expected to be intersected at a depth of around 3,800 metres.
Second well at Phoenix project
It is the second well being drilled by Carnarvon and project operator Quadrant Energy seeking gas and condensate at the Phoenix project.
As the hole gets deeper, drill casings get narrower and the 12-1/4 inch casing size was completed at 3,637 metres.
The plan is to run and cement the 9-5/8 inch liner then drill the 8-1/2 inch into the primary Caley Member target.
Location of the Dorado-1 well within the Phoenix project.
Assessing gas and liquids
Carnarvon’s primary objective for this well is to assess the gas and liquids potential in the Caley Member.
The well is less than 20 kilometres from and up-dip of the successful Roc-1 and Roc-2 wells.
The Dorado structure at the Caley interval is estimated to contain a gross mean recoverable prospective resource of 545 billion cubic feet of gas and 30 million barrels of associated condensate.
This is equal to 125 million barrels of oil equivalent, gross, Pmean.
A seismic line showing the incised Dorado Canyon with the red line showing the top Caley Member.
Multiple secondary targets have been identified by Carnarvon in the Crispin and Milne Members and these will also be assessed by the Dorado-1 exploration well.
Drilling by Quadrant of the first well at the project, Phoenix South-3, last week reached 4,634 metres measured depth.
It is also targeting the Caley Member and a closure estimated to contain a gross mean recoverable prospective resource of 143 million barrels of oil equivalent.
This well is within a large, faulted anti-clinal closure that was partially penetrated with the Phoenix South-2 well.
Phoenix South-2 encountered gas and condensate in the Caley Member but was unable to drill through and evaluate the formation.
Carnarvon recently completed a $20 million capital raising, which has strengthened its total cash position to $65 million.
These funds will enable the company to pursue drilling of the Buffalo-10 well, also on the North West Shelf, with the maximum equity possible.
This well is in the territorial waters of Timor Leste in the northeast of the North West Shelf.