Karoon hits at third Santos well

Karoon Gas Australia made a discovery at the Echidna-1 exploration well, the third in the Santos drilling campaign, offshore Brazil.

Image from Karoon.

According to the Australian company, the exploration well intersected an oil bearing section in Paleocene sands. The mudlog shows elevated gas readings and oil florescence in sandstones.

Echidna-1 is located in exploration block S-M-1102, about 20km northeast of Kangaroo on the eastern flank of a salt diaper, in a similar geological setting to the Kangaroo oil field.

Wireline logging is being conducted to determine the extent of the gross and net columns, including the presence of a Paleocene oil column. Additional intervals of elevated mudlog gas and oil florescence have been observed in the Maastrichtian section and will be further evaluated during the wireline logging program.

Echidna-1 reached the planned total depth of 2379m using the Olinda Star. The well was spudded on 31 March and was expected to have a successful outcome of possible development due to its large size and proximity to Kangaroo.

Previous wells in the campaign include Kangaroo-1 and Kangaroo-2.

Kangaroo-2, located in Block S-M-1165, is the second sidetrack well that confirmed a 250m gross oil column in the Paleocene and Maastrichtian aged reservoirs in February. The down-dip sidetrack well was drilled to a depth of 2745m. Five reservoir fluid samples were recovered by wireline from a 37m gross oil column with a net to gross of 60% and an average porosity of 27%. One sample was opened on the surface and contained 2.9 litres of 39°API oil.

In March, Kangaroo-1 showed no hydrocarbons were intersected at the exploration well after reaching 3170m. The well intersected a good thick sealing unit before penetrating a thick sequence of Paleocene to Campanian interbedded sands and shales, however, the lack of hydrocarbons is attributed to a lack of oil migration charge into the structure, previously recognized as the main risk with this prospect, Karoon said.    

Karoon has one additional option well allowing flexibility for further appraisal of the Kangaroo oil discovery, or to possibly target other prospects.

The drilling campaign began in November 2014.

Other than Block S-M-1102, the Santos drilling campaign includes Blocks S-M-1037, S-M-110, S-M-1165 and S-M-1166 in which Karoon is the operator with 65% interest. Pacific Rubiales Energy Corp. holds the remaining 35%.

Read more:

Karoon spuds third Santos well

No pay for Karoon’s Kangaroo-1

Karoon hopping with Kangaroo-2

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