PERTH, Australia – Pura Vida Energy has entered into a conditional term sheet with a rig contractor to co-fund the costs of a back-to-back three-well campaign on the shallow-water Nkembe block offshore Gabon.
This will include a production test of the Loba oil field.
Estimated cost of the wells is around $20 million. Pura Vida is in discussions with potential partners to secure the remaining funding required for this year’s drilling program, which will target around 100 MMbbl of reserves.
Managing director Damon Neaves said the production test would aim to confirm a commercial flow rate to support a development, and could lead to Pura Vida becoming a producer in the near term.
“Our focus now turns to formalizing the agreement and satisfying the conditions, including regulatory approvals and securing the remaining funding required.”
The Nkembe block covers 1,210 sq km (467 sq mi) in water depths of 50-500 m (164-1,640 ft), 30 km (18.6 mi) offshore in the oil-prone Gabon basin. It is close to many other producing oil fields, some operated by Total, the largest producer in Gabon.
Pura Vida has acquired existing well and seismic data on the Nkembe block and has purchased a further 845 sq km (326 sq mi) of previously acquired 3D seismic.
Loba was discovered in 1976. The main identified prospectivity is in the sub-salt where Pura Vida has interpreted large-scale prospects that should be better defined by new 3D seismic.