Carnarvon Petroleum has increased its resource estimates by 32% at Quadrant Energy’s Phoenix South discovery offshore Western Australia, with hopes of reaching 1Tcf of gas and more than 100 MMbbl oil and condensate within an area.
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Phoenix South structures. Image from Carnarvon. |
On 19 December, Carnarvon discovered hydrocarbons in the Caley Member in the Phoenix South-2 well at 5176m MD. Upon further technical work, the company has determined that due to the pressures encountered, and the nature of the gas observed, the resource estimates in the Phoenix South Caley have been increased from pre-drill estimates.
Carnarvon is now estimating that the Phoenix South Caley holds some 143 MMboe, a 32% jump from the previous estimate of 108 MMboe.
The Phoenix South-2 well is located within the WA-435-P exploration permit in the North-West Shelf of Australia.
“The gross mean estimate is currently 489 Bcf recoverable gas and 57 MMbbl of associated condensate (being 143 MMboe, gross, Pmean) in a conventional anticline trapping structure,” says Carnarvon. “Certain data from the Phoenix South-2 well suggests there could be a stratigraphic component to the Caley structure which could materially increase the resource size presented in this report.”
The company says that further drilling is required to properly determine whether this case exists.
In addition, Carnarvon encountered a 25m oil sand within the Hove Shale in the Phoenix South-2 well. Resource estimates for this discovery are still under review.
“Our strategy to test a number of prospects in our Phoenix project has produced the very real possibility of us having over 1Tcf of gas and over 100 MMbbl oil and condensate within an area capable of being aggregated into a central development, only 150km offshore from important gas infrastructure near Port Hedland,” says Carnarvon Managing Director and CEO Adrian Cook.
“The potential size of the Phoenix South Caley resource adds to the excitement of the recent Roc Caley discovery and its historic well test. Incorporating the large Dorado Caley prospect, that is expected to be targeted later this year, and this significant outcome is looking very possible,” says Cook. “There is a great deal of work still to be undertaken, but our progress and success to date clearly makes this one of the most exciting projects in the Australian oil and gas sector at the current time.”
Quadrant Energy operates the well with 80% stake. Carnarvon holds the remaining 20%.
Read more:
Quadrant completes Phoenix South-2 operations
Quadrant moves to Phoenix South-2
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