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CGX Energy Inc V.OYL

Alternate Symbol(s):  CGXEF

CGX Energy Inc. is a Canada-based oil and gas exploration company. It is focused on the exploration of oil in the Guyana-Suriname Basin and the development of a deep-water port in Berbice, Guyana. The Company, through one of its subsidiaries, holds an interest in a Petroleum Prospecting Licence (PPL) and related Petroleum Agreement (PA) on the Corentyne block in the Guyana Basin, offshore Guyana. The Company, through its subsidiary Grand Canal Industrial Estates, is constructing the Berbice Deep Water Port. This facility, located on the eastern bank of the Berbice River, adjacent to and north of Crab Island in Region 6, Guyana, is being constructed on 30 acres with 400 m of river frontage. Its subsidiaries include CGX Resources Inc., GCIE Holdings Limited and CGX Energy Management Corp. It is the operator of the Corentyne block and holds a 27.48% working interest. Its Wei-1 exploration well is located west of the Kawa-1 discovery in the northern region of the Corentyne block.


TSXV:OYL - Post by User

Comment by Kelvinon Jun 17, 2023 7:33pm
202 Views
Post# 35502056

RE:RE:government has aproved Wei1 well as appraisal/Exploration

RE:RE:government has aproved Wei1 well as appraisal/ExplorationMrbb, You can go to slide #14 on the CGX Corentyne Presentation August 2022 posted on the internet. There you'll see the casing designs for both Kawa and Wei-1.

Kawa drilled into the Coniacian, took a kick and if memory serves they couldn't do much evaluation on it because of some mud problems. Kevin Lacey talks about it in the CGX May 2022 webinar also posted on the internet. You may want to listen to that as well. Very informative. It looks like Kawa probably TD'd with 8 1/2" hole.

But we know nothing about mud weights, pore pressure profiles, hole geometry etc. My guess is that most of it was directionally drilled cork screwed fashion to penetrate as many targets as possible. Kevin Lacey said it was optimized to wild cat and nothing beyond that as far as future utilization for development. They found 228 feet of pay, if memory serves. 

Wei-1 looks like it was TD'd with 12 1/4" hole but that is not confirmed. Nor are mud weights, pressure profiles, nor hole geometry. I'm hoping that they run production casing to TD. That will mean that they have future plans for it. It will at least save the cost of one development well in the future. It will also mean that they can flow test it, if required, by some prospective partner. I've been told that no deepwater drilling contrator will allow their rig to be involved in a flow test in open hole on an HTHP well despite what any government may allow or not. But that needs confirmation as well.

As far as Santonian results are concerned, they are evaluating that right now with wireline logs, sidewall cores and MDTs. Then after gathering the info they'll need to analyze it and correlate with lithology, seismic etc. I don't know how long that process takes. Hopefully they're done with the info gathering phase and ready to wrap things up and release the rig soon. Everybody is waiting for those results. Judging by the share price action I'm guessing that the results will be very positive.
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