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Significant gas discovery at Dempsey

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Oilfield Technology,

Sacgasco Ltd has reported that the Dempsey 1-15 well in the Sacramento Basin in California is drilling ahead in the 8.5 in. vertical hole.

After penetrating a thick section of hard shales and siltstones, drilling has intersected a potential sandstone reservoir with high gas shows. These have occurred even though the drilling mud weight has been increased to control the levels of background gas for safe drilling.

Shareholders and investors are advised that the significance of these shows will become more apparent when the next wireline logs are run to more fully evaluate the intersected gas shows and reservoirs. This is planned after reaching the proposed total drilling depth of approximately 3200 m.

The Dempsey 1-15 well is currently drilling ahead below 2760 m to the highly under-explored deeper targeted reservoirs in the approximately 440 m of remaining section to be drilled.

Sacgasco is drilling the largest undrilled mapped structural closure in the northeastern part of the prolific Sacramento Gas Basin and is interpreted to be optimally located to trap gas migrating out of gas generating areas located to the west and south.

Sacgasco Managing Director, Gary Jeffery, commented: “As previously observed it continues to be very encouraging that since drilling out of the 9 5/8 in. casing, all potential reservoir zones interpreted from mud logs have been associated with significant gas shows. The latest shows are interpreted to be the most significant we have seen to date.”

“We continue to be very pleased with the execution of the drilling and the additional gas shows seen in the Dempsey well. Further interpreted prospective reservoir zones remain to be drilled. Updates will be provided on meaningful results from the evaluation of the target sandstone reservoirs.”

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