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Bullboard - Stock Discussion Forum Petro Rio S.A. HRTPF

"Petro Rio SA is engaged in exploration and production of oil and gas in Brazil and abroad. The Company is currently engaged in the hydrocarbon production in Polvo field."

GREY:HRTPF - Post Discussion

Petro Rio S.A. > What did HRT observe during drilling
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Post by DrillaHill on May 30, 2013 7:54am

What did HRT observe during drilling

and  is the generative potential of the source rock sufficient to fill structures in the Walvis Basin all the way up with billions of barrels of oil?

 

- from the Conference Call:

https://ir.hrt.com.br/hrt/web/conteudo_en.asp?idioma=1&conta=44&tipo=32111

 

Milton Romeu Franke -

The well (Wingat) did not have the objective to run a casing and run production tests of the payzones to evaluate it's commerciality,

 

HRT TODAY AFTER RESULTS OF WINGAT IS ANALYSING TO ADJUST OUR DRILLING PLAN FOR THE MUROMBE WELL INCLUDING THE CASING OF THE WELL AND THE RUNNING OF PRODUCTION TESTS TO EVALUATE EVENTUAL FLOWRATES AND THEN WORK ON ECONOMIC MODEL TO EVALUATE THE COMMERCIALITY OF THE WELL

What did HRT observe during drilling in the wingat,

the well as you know started at 1050m of water-depth and

when we started drilling around 1500m depth we started observing hydrocarbon shows in the mud, this hydrocarbon became gradually more and more important as we starting getting C2, C3, C6, plus and heavier hydrocarbons in some intervals, with depth these hydrocarbons, or these shows in the mud, they increased gradually with depth,

the two targeted reservoirs did not have reservoir porosities, we could see this on the LWD and later confirm this with the logging that was done,

but they have below important hydrocarbon shows and considering our geological model of the petroleum system, it was HRTs interpretation that we were in the oil zone, the temperature and everything in our model was consistent with the analysis we did, that we were in the oil zone in this well,

HRT analyzed the technical conditions to continue drilling, as well as the seismic data and the possibility to go deeper, to test deeper sections in the well, we consulted our partner and decided to go deeper, ... the main source rock mapped and passed deeper potential pay zones,

we drilled deeper with increasing amount of hydrocarbon shows and these hydrocarbon shows became more and more important with depth, we drilled threw some potential reservoir layers, we had some mud losses and at 5000m we decided to stop the drilling

and run the final log, important to say that we were able to collect over 40 side wall cores of the main interest zone and run several wire line tests to collect fluid samples and evaluate such zones, again I give a little detail here,

there was coverage that HRT observed some very small shows of oil, in reality with wire line we filled up four collecting samples completely full with hydrocarbons from this one pay zone, we really were able to test, so it was not just a little pieces of information about oil, we actually have the oil samples, what are our main conclusions about the well today, we have yet produced light oil, it probably is something about 40°API

,

we have identified pay zones, they are not so thick as they could be but we have pay zones, we did the wire line tests, we have the samples, they are in the lab and we will get the full analysis of such samples,

this is really concrete results with important indications for the work of HRT and I can imagine of maybe more than 10 other companies that have assets in Namibia and that are planning to drill

,

we have logged the full section down to the 5000m, we have interpreted the presence of two important source rocks that are in the oil window that generated hydrocarbon shows observed in the mud while drilling, we have several information that still will be analyzed over the next days and weeks, as I said, and the full contribution of this well still has to be concluded but for sure we are very pleased with the results we have obtained, we are abandoning the wingat well according to international and local procedures and we will move the rig to our second well the murombe prospect and we expect to start to have the spud in of the second well in around 2 weeks,

the murombe prospect is only 15kms from the wingat, to conclude I would like to confirm for all of you that our namibian project today is much stronger than it was before we started to drill, wingat confirms the oil potential of the basin

and you probably all know that rare persons so far considered that Namibia could produce oil, most thought Namibia was the gas potential area, we have a plan for namibia, we will continue our drilling and adjust every time we think and when our partner agrees it's better to adjust our plan, we have today a much better set of information about namibia than we had before and maybe we have the best set of information of all companies in Namibia today.

Joe Paul -

Initially we felt very strongly that reservoir was not a high risk in these wells, we had excellent seismic data with excellent responses that indicated to us clear environments of depositions and depositional models, since of seismic we felt reservoir was not a significant risk, we had such large prospects in the wingat well

we had the concern that the generative potential of the source rock would not be sufficient to fill these structures all the way up with billions of barrels of oil,

 

the results of the wingat well have shown us that the play element that we had the least risk on witch is reservoir actually came out to have the greatest risk we found very little porosity in the wingat well,

on the other hand the source potential we had shown and we had proven has significant generative potential to create huge volumes of oil in the walvis basin and charge our prospects as we continue with our exploration program, one final comment, generally reservoirs and porosity are very easy to find and so that shouldn't be the big concern, whereas source rock, charge and migration pathways can be very difficult,



in this case

WE FOUND THE HARD STUFF BUT NOT THE EASY STUFF, SO I WOULD SAY WITH OUR FUTURE EXPLORATION WELLS THE CHANCE OF FINDING RESERVOIR IS VERY HIGH AS WE ALWAYS SEE RESERVOIR IN ANY BASIN WE DRILL IN AROUND THE WORLD

Milton Romeu Franke -

There are no reservoirs clearly water saturated in our well, there are no water zones in our well,

 

the amount of gas that came in to the well was very high and this amount of hydrocarbons , we had full measurement, full follow up of which kind of hydrocarbons were coming in into the mud,

then we have the thickness of the pay zones, it‘s a larger thickness than at least in any basin that I have seen before, I think one of our sources is several 100ds meters thick,

so in respect to the valuation,

we have today two source rock with high potential in the oil window

,

considering our geological model we have, where they are considering temperature depth temperature and pressure.

Joe Paul -

The reason there was no discovery or no significant volumes found at wingat is the absence of reservoir,

 

there was no porosity,

WHERE EVER WE SAW POROSITY IN THE ENTIRE WELL BORE WE HAD HYDROCARBONS IN IT, WE HAD OIL IN IT, NOT JUST WEAK KIND OF HYDROCARBONS AND SO IT‘S A VERY SIMPLE LINK TO THINK THAT WHERE EVER WE HAVE POROSITY IN A WELL WE DRILL IN THIS BASIN WITH SUCH PROLIFIC SOURCE ROCK WE WILL CHARGE IT AND WE WILL HAVE OIL!

Comment by kaosblues on May 30, 2013 9:11am
Thanks for the post DrillaHill.  Very informative and clearly indicates what many have been saying about Namibia for some time.   This in itself, is practically an assured endorsement that a huge amount of oil is to be found in one of these reservoirs... let's just hope that Murombe is it.  In any event I think it quite obvious that they are very positive about the ...more  
Comment by landmann on May 30, 2013 9:15am
The Wingat well more or less proved HRT's marine-origin model for a vast oil/gas field off  the Nambianian coast. Unfortunately, not living up to their “HRT” moniker, they seem to be unable to distinguish viable reservoirs despite their extensive (and costly) 3D seismic data. The Murombe prospect presents good and bad characteristics.  On the one hand it has three possible oil ...more  
Comment by robnhood on May 30, 2013 9:24am
"Which is to say, that Mr. Paul’s optimism concerning the de-risking of Murombe is not worth much." ----- good to see both sides of the story...
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