Encore Oil – Disappointing RNS
February 13, 2011 § Leave a Comment
I really want to buy into this company, I just don’t have the funds to spare 
They look like they are going to bounce off the lower trend line and I may get a chance in the future if we get an abcde, rather than a ABC correction pattern.
Catcher North Oil & Gas Discovery
EnCore Oil plc (LSE: EO.) is pleased to announce that the Catcher North appraisal well 28/9-3 located in UK Central North Sea block 28/9 was drilled to a Total Depth of 5,265 feet Measured Depth (M.D.) having successfully encountered hydrocarbons in both the Tay and Cromarty Sandstone intervals. Pressure data suggests that Catcher North is part of the Catcher and Catcher East accumulation.
The well, which encountered 20 feet of net gas bearing pay within the Eocene Tay interval, and 14 feet of net oil bearing pay within the Paleocene Cromarty section, has extended the gross total hydrocarbon column in the Catcher area to 410 feet (comprising a gas column of 75 feet and an oil column of 335 feet). The Tay and Cromarty reservoir sections were cored and high porosity sandstones were recovered from both reservoirs. The estimated Gas-Oil Contact (GOC) at 4,350 feet true vertical depth is consistent with the data from the Catcher and Catcher East wells, and the estimated Oil-Water Contact (OWC) within the Cromarty section is also consistent with that observed in the Catcher discovery well and the Catcher South West side-track.
The results of this well will be incorporated into an updated model to estimate the likely Oil In Place figures for the Catcher structure.
Though from what I can gather they are still involved in quite a significant find overall.
Varadero Oil Discovery
EnCore Oil plc (LSE: EO.) is pleased to announce that the Varadero exploration well 28/9-2 located in UK Central North Sea block 28/9 was drilled to a Total Depth of 5,205 feet Measured Depth (M.D.) having successfully encountered excellent quality hydrocarbon bearing reservoir sandstones at 4,020 feet M.D. within the target Tay Sandstone level.
Initial analysis indicates the discovery of a 400 feet hydrocarbon bearing interval with a calculated net pay of 106 feet. Extensive wireline sampling and pressure testing of the hydrocarbon bearing zones have been undertaken and suggest the oil has an API of approximately 26 degrees. Analysis of the logs suggests excellent quality sands with average porosities of approximately 33 per cent.
The well will now be plugged and abandoned as planned and the Galaxy II rig will be moved to the Burgman prospect. Subject to any weather or operational delays, the rig should arrive at the Burgman location next week and a further announcement will be made upon the spud of the Burgman well.
Alan Booth, EnCore’s Chief Executive Officer, commented:
“This is an excellent result at Varadero which further supports our view that Block 28/9 likely contains a series of accumulations in Tay “injectite” sands. We are becoming increasingly confident that the seismic data directly highlights the presence of high quality injectite reservoirs in Block 28/9 which, to date have all proven to be hydrocarbon bearing. This well also encountered deeper sands of Cromarty age (the principal reservoir in Catcher) although, as anticipated, they were not hydrocarbon bearing at the Varadero location. We now look forward to drilling at Burgman where we have targets in the Tay and Cromarty as well as the higher risk Jurassic Fulmar formation.”
The equity in the Catcher joint venture partnership is as follows: EnCore Oil plc (15 per cent., Operator), Premier Oil (35 per cent.), Wintershall (UK North Sea) Limited (20 per cent.), Nautical Petroleum (15 per cent.) and Agora Oil & Gas (15 per cent.).
Peter Williams B.Sc. (Hons.) in Physics and EnCore’s Group Technical Manager, who has over 35 years’ engineering experience in the oil exploration and production industry, has reviewed and approved the technical information contained in this announcement.
Another find earlier last year.
Successful Cladhan Appraisal Well
EnCore Oil plc (LSE: EO.) is pleased to provide an update on the Cladhan appraisal well located in UK Northern North Sea block 210/29a.
The appraisal well was drilled to a total measured depth of 11,215 feet, as a side-track into the Upper Jurassic channel sands, approximately 3,150 feet to the south of the original 2008 Cladhan discovery. The side-track encountered excellent quality oil bearing sandstones, resulting in a gross hydrocarbon column of 159 feet with 102 feet of net hydrocarbon pay. The sandstone has average porosity of 21 per cent. and average oil saturations of 86 per cent. No oil water contact has been observed.
Modular Dynamic Test sampling for both formation pressures and oil samples indicate good correlation of both oil type and reservoir pressure with the 2008 discovery well. The original discovery well and this side-track have together confirmed a total hydrocarbon column in excess of 273 feet.
Drill stem testing will now be performed after which the next phase of the appraisal programme will be to drill a second side-track down dip of the original discovery well in order to confirm the extent of the reservoir and seek to establish the oil water contact.
Alan Booth, EnCore’s Chief Executive Officer, commented:
“This is a superb result from Cladhan and is at the upper end of our expectations regarding the quality and quantity of reservoir sands. This result supports the idea that Cladhan is a significant stratigraphic trap which has still not encountered an oil water contact. We look forward to the results of the testing and the second side-track in order to help us determine the oil water contact and thus the extent of Cladhan. Only once this information is to hand will we be able to determine the relevant development options of Cladhan and provide an informed estimate of the potential size of the field.
“Aside from this exceptional result at Cladhan, we are hopeful of returning to Catcher this autumn, dependent on the signing of a suitable rig contract which is nearing agreement, but not yet confirmed. The group will target between two and four further locations on the Catcher block which, as with Cladhan, will help determine the size of the overall discovery and future development options. This is a really exciting time for EnCore and we look forward to the results over the coming months.”
The equity in the Cladhan joint venture partnership is as follows: EnCore Oil plc (16.6 per cent.), Sterling Resources Ltd (39.9 per cent., Operator), Wintershall (UK North Sea) Limited (33.5 per cent.) and Dyas (10 per cent.).
Peter Williams B.Sc. (Hons.) in Physics and EnCore’s Group Technical Manager, who has over 35 years’ engineering experience in the oil exploration and production industry, has reviewed and approved the technical information contained in this announcement.
