Carnarvon Petroleum Limited (ASX:CVN) confirms that the discovery of 171 million barrels of oil within the Dorado structure “is one of the largest oil resources ever found on the North West Shelf.”
The company’s managing director Adrian Cook adds: “Oil fields of this significant scale are not often found, with the last large field discovery on the North West Shelf being around 30 years ago.”
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Carnarvon and Phoenix project joint venture partner Quadrant Energy have completed an assessment of the hydrocarbon volumes within the Dorado structure as found by the Dorado-1 well offshore Western Australia.
Cook said: “It is common for additional resources to be discovered in the surrounding area after a large discovery.
“In this regard, we expect to provide the market with further details on prospects identified by the play concept now proven at Dorado, that we believe have the potential to also contain oil resources.
“The gas and condensate discovered in the Phoenix project is also is a significant and valuable resource that is in addition to the discovered oil,” Cook said.
The partners have assessed that there is 552 billion cubic feet (bcf) of gas and 16 million barrels of condensate on a 2C basis at Dorado.
“When combined with the nearby Roc field, the aggregate resource is around 884 billion cubic feet of gas and 36 million barrels of associated condensate on a gross 2C basis,” he said.
“These volumetric results reiterate the significance of the Dorado discovery and we look forward to maturing this resource and finding additional neighbouring resources in our future drilling programs.”
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The contingent resources in the Roc field are 332 bcf of gas and 20 million barrels of condensate.
Contingent resources have been calculated using deterministic and statistic volumetric methods.
These are based on the interpretation of porosity, hydrocarbon saturation and net reservoir thickness from the wireline logging program, and analysis of potential hydrocarbon columns from the pressure data and the fluid properties.
Carnarvon’s 20% share of gross contingent resources within the Dorado structure.
They are derived from the oil, gas and condensate samples and applied to the structure map with recovery factors calculated using analogues and industry standards.
The contingent resources have been aggregated by arithmetic summation and hence the aggregate 1C may be a very conservative estimate and the 3C may be a very optimistic estimate due to the portfolio effects of arithmetic summation.
These are classified as contingent resources according to Society of Petroleum Engineers’ Petroleum Resource Management System guidelines as the potential development concept has not yet been finalised or sanctioned.