Rockhopper Exploration said it has moved a step closer to proving North Falkand as a billion barrel basin after striking oil in the South Atlantic.
The UK-based oil and gas exploration and production company said the Isobel Deep prospect had been successfully redrilled and encountered five oil-bearing fan packages of the F3 system with a net pay of 27 metres recorded within the Isobel Deep, Isobel and Emily reservoirs.
The well is located on licence PL004a in which Rockhopper has a 24% working interest which will increase to 64% following completion of the merger with Falkland Oil & Gas (anticipated to occur on the 18 January 2016).
The new 14/20-2 well was a re-drill of the prior Isobel Deep well which had to be abandoned prematurely despite encountering oil due to operational issues.
Chief executive Sam Moody, said: “Proving oil this far down dip in the Isobel Deep reservoir, in addition to confirming oil bearing sands at a location so close to the edge of the various other fan bodies, is an outstanding result and hugely increases the likelihood that the Isobel/Elaine complex can become a third phase of development in the North Falkland Basin.
“Having retained the sub-surface lead for exploration once again I would like to congratulate our team on their unparalleled success rate of 10 out of 12 wells in licences PL004 and PL032 which brings us closer to proving this to be the billion barrel basin that we believe it could be.
“The success is of course even more pleasing following the announced merger with Falkland Oil & Gas which will shortly complete seeing our interest in the licence significantly increase to 64 percent.”
Additionally, whilst sand with oil shows was recorded in the Elaine South and Irene fans, reservoir quality was low (as had been anticipated) given the nature of the location at the very edge of the fan bodies. The company anticipates that better reservoir can be found in the main bodies of those fans.
Rockhopper said the well did not encounter any gas nor did it penetrate an Oil Water Contact within any of the sands in this location, where the Isobel Deep reservoir is 350m downdip from the discovery well. The results indicate that the total oil column established by this second well is likely to be in excess of 480m.
Whilst the data acquired is still to be fully evaluated and integrated, the initial view of the Company is that the results of this Well indicate that the Isobel / Elaine complex is highly likely to contain a commercially viable quantity of recoverable oil.
The well will now be plugged and abandoned as planned before moving to the final well of the programme – Chatham.