RE:RE:Q2-2021 - HESS EARNINGS CALL This is a good question.
I believe CGX has contracted Baker to perform a pore pressure analysis to cover the Kawa-1 well. That's probably one of the best service companies out there to perform this study. I would also assume Baker was able to leverage their experience in the basin - got to believe they are intricately involved in either the Exxon or Apache campaigns.
You also have Dr Zobiak on the CGX board who has specialized experience with well bore stability and pore pressure prediction.
Also, we have the newly formed operation team with the addition of Kevin Lacey, Todd Durkee, Jon Shipley, and Karlin Costa. Have worked with these gentlemen in a prior life (along with Mike Stockinger). To say this is a good drilling team would be an understatement.
Note, Jon Shipley was the drilling superintendent for Apache's recent four well exploration campaign. He comes in with first hand knowledge that can be leveraged.
So, in my opinion, we got the right service company (Baker) and operational team assembled to get this well drilled safely, on time, and on budget.
I also do not believe Kawa is a HP or HT well. The rig's 15k BOP should be sufficient to get this well to TD.
From what we have heard from Hess, Exxon, and Apache - these wells in the Guyana Suriname basin (maastrichtian, campanian, and Santonian) are not as complex as wells in the GoM. Please bear with me, as that is a very geneic statement because a deepwater GoM well drilling in the Miocene is much different from drilling in the lower tertiary (Wilcox).
What I infer from comments made by Hess, who were drilling and completing complex wells in the GoM (Stampede) - is that they don't have to mess around with salt (diapers, domes, welds etc).
Now, we did see some HPHT wells drilled a few years back (Jaguar) that had to be abandoned early. But, that was related to the deeper turonian target.
We also saw the same challenges with Apache-Total recently who were trying to drill into the Turonian - but, stopped drilling after retrieving samples of some of these deeper reservoirs. Note, my read through here is that Total-Apache got the data they needed on this deeper tail section and know what they have in these deeper zones and are keeping the data tight (close to the chest) to keep an advantage on others active in the basin.
So, given we are drilling in the Santonian and are a few miles from other analogue wells - I see no reason why we would encounter abnormally high pressures or temperatures that would require us to upgrade the rigs equipment.
In terms of well design, I am sure contingencies may be required - cgx has assembled the right team to manage that (and some). Perhaps a reason we are seeing the budget on Kawa increase recently.
To close, we are in good hands. It's time to sit back and enjoy these next 3 months. We have been waiting here patiently for this opportunity.
GLTA