Caracal fields second rig, nears oil output in Chad

Caracal Energy Inc., Calgary, said it expects approval this month to start producing Badila oil field in southern Chad and now that a second rig has arrived, it plans to begin exploratory drilling with one well each in August and September.

A transportation agreement is being finalized, and oil from the company’s concessions is to be produced through the TOTCO-COTCO export pipeline to Kribi, Cameroon. A hot-tap interconnection has been completed.

The first three Badila wells will have capacity to deliver a combined 14,000 b/d of oil to keep Phase 1 production facilities loaded and production volumes in line with management expectations. Mangara field should add further production by yearend, Caracal said.

The second rig is expected to spud the Badila-4 development well by the end of July. The Badila-3 well went to 2,150 m and is cased as a Cretaceous C and D sands producer. Test results indicated that the well is capable of producing 2,400 b/d of oil and will be brought onstream once water-handling facilities are completed.

Badila-3 was drilled to test the flank of the field structure at the Cretaceous C and D levels. Drilling and petrophysical analysis suggested the Cretaceous D sands may contain additional movable oil, so three additional well tests were added. Results are encouraging and suggest economic reserves may be produced from the C1a, C3, D6, and D8 zones.

The 320 sq km 3D seismic survey covering Badila field and the adjoining Bitanda ridge exploration prospect was completed on schedule and on budget. The seismic suggests that D sands extend east of previously understood field limits, and this extension will be confirmed by further drilling commencing with the Badila-4 well.

The Mangara-4 development well went to 2,471 m, and petrophysical results show 40-60 m of estimated oil pay in the Lower Cretaceous C and D sands.  The well was suspended due to hole instability, with plans to reenter soon and complete as a producer.

The Mangara-5 well was drilled and cased as a Lower Cretaceous C and D sands producer. The well was deepened to 3,339 m to and found 150-230 m of estimated net oil pay in the Lower Cretaceous E sands, a new exploratory horizon below the main Mangara field.

The first 25-m interval of E sands produced a maximum rate of 815 b/d of 39° gravity oil with no water. Cumulative oil recovery from this test was 200 bbl over a total 16½-hr flow period.

Caracal received conditional approval on May 25 of an application for the 25-year development license for Kibea field and is preparing an environmental impact assessment.

A 3D seismic survey over Kibea and nearby exploratory prospects is to start in late 2013 or early 2014. A Kibea appraisal well is to spud in the last quarter of 2013 to test deeper horizons and obtain core and fluid samples for development planning and facilities design.

In 2011, Caracal acquired three production sharing contracts from the Chad government that cover 26,103 sq km in two world class basins in southern Chad.

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