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Petro Matad provides update on Heron-1 well in Mongolia

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Oilfield Technology,

Petro Matad has announced that the Heron-1 well, in Block XX, eastern Mongolia, has been drilled to a total depth of 2960 m with the top Lower Tsagaantsav reservoir, the primary target for the well, encountered at 2803 m, 5 m shallower than the pre-drill prognosis.

The formation drilled from 2803 to 2880 m was predominantly sandstone interbedded with shales and siltstones. Oil and gas shows were recorded over this interval and on the basis of the drilling data, the gross reservoir interval in Heron-1 appears to be very similar to the productive reservoirs found in oil wells immediately to the north in Block XIX.

Wireline logs have been acquired and analysis of these data supports the interpretation of a 77 m gross interval of potential oil reservoir. Within this interval the logs also define three zones with a total gross thickness of 22 m (14 m net) exhibiting better porosity and permeability characteristics than is generally seen within the Lower Tsagaantsav at this depth including in the nearby wells in the T19-46 oil field in Block XIX. Overall, the reservoir quality and oil saturations indicated on the wireline logs are sufficiently encouraging that casing will now be run in preparation for a testing programme.

The casing operation is now underway and discussions with the testing contractor have commenced to determine how quickly the testing equipment can be mobilised to the Heron-1 location. The contract requires 30 days notice to be given but the contractor has advised that an earlier start is possible depending on the status of its other activities. Once the well has been suspended DQE's drilling rig will move to the Gazelle location with a view to spudding Gazelle-1 before the end of September.

Mike Buck, the CEO of Petro Matad said: "The results of the Heron-1 well are encouraging. Along with the well and wireline logging data being consistent with our pre-drill prognosis, there is also evidence of zones with better than expected porosity/permeability characteristics. The well will now be tested and we are pushing the contractor to mobilise equipment as quickly as possible. Further updates will be provided in due course."

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