TD Take on Ramiriqui Bought more PTA today, as they have several prospects on the same trend, directly adjacent to Ramiquiri-1.
On a side note, Parex is getting hammered today with their reduced production numbers. Their acquisition looks very nice though, but does reduce the odds of a takeout of PTA anytime soon.
Details
The Ramiriqui-1 well on the LLA-22 block (45% working interest to Gran Tierra) has tested 2,525 bbl/d from the Mirador Formation confirming the presence of oil and, in our view, a clearly commercial discovery. As previously announced, the Mirador Formation in this well was estimated to have 130 feet gross thickness with oil shows based on preliminary observations from logging while drilling. The well was subsequently deepened to evaluate secondary targets for which the company has not yet released any information, although it is now stating that the partners in the well are evaluating options for testing additional reservoir intervals. The Mirador formation was perforated and tested over a 20 foot interval in the uppermost primary reservoir interval. The interval had natural flow rates, without pumps, of up to 2,525 bbl/d gross of 26°API gravity oil over 32.5 hours with a 28/64 inch choke and a 0.12% watercut. Flow was restricted due to gas flaring limitations. We assume installation of jet pumps could at least double the tested rate. However, we assume the companies will likely want to understand the reservoir before deciding how to balance producing quickly against maximizing ultimate recovery.
Exhibit 2 summarizes changes to our key estimates. We have added 5.5 mmbbl gross (2.5 mmbbl net) to our Base NAV 2P reserve assumptions as likely a minimum case reserve booking for the Ramiriqui-1 discovery. We’re assuming approximately 13 mmbbl of total recoverable oil in the Mirador Formation on a fully-risked basis, and potential for over 30 mmbbl on the block, including deeper formation yet to be tested in Ramiriqui-1.