ROME – Malta’s Minister for Resources and Rural Affairs has approved the transfer of Leni Gas and Oil Investments’ 10% interest in the Malta Offshore Area 4 PSC to Phoenicia Energy.
According to Phoenicia’s parent company Mediterranean Oil and Gas (MOG), Area 4 comprises four contiguous license blocks in the southern Maltese offshore area, adjacent to prospective acreage in Libya. MOG now has 100% of the license equity.
The company has completed de-risking studies, including interpretation of a 1,012-sq km (390-sq mi) long-offset 3D seismic survey over Area 4 which was acquired late last year.
The acreage contains mature prospects analogous to proven plays in the Sirte basin, and field analogues in Tunisia.
MOG has identified promising structures in the lower Eocene/Paleocene sequence with reserves potential. The top four of these have combined un-risked potential oil in place of up to 1.5 Bbbl.
The long-offset data has improved seismic imaging of the shallower section, and for the first time allowe imaging of the deeper syn-rift and pre-rift Cretaceous and Jurassic sequences, enabling leads to be detected here.
Interpretation has uncovered three main target horizons:
- The more mature and shallower Lower Eocene horizon, where four main prospects and one lead have been identified in the area covered by the 3D seismic dataset only, with prospective oil resources of about 300 MMbbl. Additionally, there are four leads identified in Area 4 that are not covered by the 3D data, with prospective oil resources of 1.15 Bbbl
- The Middle Cretaceous horizon, where three leads may hold prospective resources of 50 MMbbl
- A deeper, presumed Jurassic, horizon where the new 3D seismic data have revealed three large structural leads.
MOG is seeking a partner to fund its share of a first commitment well, expected to cost roughly $30 million, and hopes to finalize a farm-out arrangement before year-end.
This well will likely target teh large dip-closed prospect “Hagar Qim”, predicted to comprise Lower Eocene/Paleocene ramp and reefal carbonates analogous to the Ashtart field complex off Tunisia, and to the Intisar fields in the Sirte basin, Libya.
Hagar Qim could hold 130-200 MMbbl recoverable. The well is expected to take 60 days to drill to 2,500 m (8,202 ft) TD.