KENAI LOOP # 1 WELL – DRILLING REPORT # 1
Buccaneer Energy Limited (“Buccaneer” or “the Company”) is pleased to provide the following update on the progress of the Kenai Loop # 1 well:
Time: 7.00am (Sydney) 27 April 2011 / 1.00pm (Anchorage) 26 April 2011.
Depth: 8,050 feet Total Vertical Depth (“TVD”)
Activity: Drilled to near the base of the Beluga Formation at approximately 8,050 feet TVD, preparing to run log prior to setting intermediary casing. Once intermediary casing is cemented, drilling will recommence to Total Depth of 10,500 feet TVD.
Comment: The Beluga Formation is a secondary target of the Kenai Loop # 1 well, however multiple, good gas shows have been encountered while drilling. Specifically, mud logs indicate that five intervals, totalling approximately 175 feet, contain C2 and C3 gases in addition to methane (C1 gas). The significance of these and the other gas shows will be determined after data is obtained from the logging run(s).
The closest wells to the Company’s Kenai Loop # 1 well are the Cannery Loop # 3 and # 4 wells located in the Cannery Loop Field, which were drilled from the same surface location approximately 6,325 feet (1.2 miles) from the Kenai Loop # 1 well location.
The Cannery Loop # 3 and # 4 wells have produced a combined 25.5 BCF from pay zones whose equivalents are expected to be present in the Kenai Loop # 1 well, but separated from the Cannery Loop Field by geological deposition rather than fault. Drilling to date in the Kenai Loop # 1 well has confirmed that the formations encountered to date are likely separated from the Field.
There were 11 wells in the Cannery Loop Field. One well produced from the Sterling Formation which is not one a target in Kenai Loop # 1 well, the other 10 wells produced from the Beluga and Upper Tyonek. The Upper Tyonek is the primary target Formation of the Kenai Loop #1 well.
Download this document
