UAB Minijos Nafta will spud an exploratory well in May on the Gargzdai license in western Lithuania that will evaluate several targets including shales of Silurian and Ordovician age.
The well, which targets a previously undrilled Cambrian sandstone, will also be extensively logged and cored in the Silurian and Ordovician shale sections, said Tethys Oil AB, Stockholm. The 2012 work program also includes two sidetracks and a 50 sq km 3D seismic survey.
Tethys Oil said its share of production in Lithuania averaged 159 b/d of oil in the quarter ended Mar. 31, 2012. Gargzdai gross production averaged 638 b/d.
Tethys Oil’s share of reserves in Gargzdai, according to the agreement with Odin Energi AS, as of the end of 2011 were 700,000 bbl proved, 1.7 million bbl proved and probable, and 3 million bbl proved, probable, and possible.
Work programs for the Rietavas and Raiseiniai licenses have not been finalized, but reprocessing of seismic data continues. The Silale-1 well on Rietvas, which flowed 150 b/d from Cambrian when drilled in the 1980s, will be worked over.
Tethys’ assets in Lithuania will be held through a 25% net indirect interest in UAB Minijos Nafta and a 20% net indirect interest in UAB LL Investicos. MN holds the Gargzdai license, and LLI holds Rietavas and Raiseiniai.