4/12/2013 2:25:52 PM
Canadian oil and gas company Africa Oil Corp targets to have for rigs operating in East Africa by the end of this year.
In its 2012 financial and operating report, Africa Oil Corp said it the oil rigs will be in Kenya and Ethiopia. The company said the focus of these rigs will be to continue drilling and testing wells in the Lokichar sub-basin in Kenya with improved efficiencies in an effort to reach commercial thresholds.
It also plans to drill potential basin-opener wells in the Turkana and the Chew B’hir basins in the tertiary Rift play within Ethiopia."The Ngamia-1 and Twiga South-1 light oil discoveries in the Lokichar sub-basin, combined with positive results from reservoir analysis and flow rate tests at Twiga South-1, has led to a significant increase in the pace of exploration focused on tertiary rift basins," Africa Oil says in the report released late last month.
It added: "The company and its partners will continue to acquire seismic data throughout the tertiary Rift in Kenya and Ethiopia in an effort to add to its existing portfolio of drill-ready prospects."Africa Oil and its operating partner in Block 9 in Kenya are currently planning to drill the Bahasi-1 exploratory well."This well will be drilled on a large anti-clinal structure targeting tertiary and cretaceous sandstones where six billion barrels of oil was discovered along trend in Sudan in a similar geologic setting," the report adds.A follow-up well is also being considered towards the end of 2013 in Block 9, it said. Africa Oil in Blocks 7/8 in Ethiopia are currently planning to drill a well to appraise reservoir characteristics of Jurassic carbonates on the El Kuran oil accumulation.
"The main focus of this well is to establish commercial rates with acidizing, fraccing and horizontal sidetracks being considered," the report said.Africa Oil President and CEO Keith Hill said: "Africa Oil is very encouraged with the results of our first two exploration wells in the Lockichar basin."
He said the company’s financial position as a result of the non-brokered private placement and the farmouts completed in the fourth quarter of 2012 will enable it to drill and test multiple wells in the Lokichar sub-basin in Kenya in an effort to reach commercial thresholds.It will also drill multiple additional potential basin-opening wells across its vast East African exploration acreage.
