Treaty Energy Corp. (fka TECO)

[Belize Oilwatch]

Lost circulation and cementing.

A technical explanation in answer to your and others questions on my post yesterday.

All Treaty's wells in Belize have been drilled in a Karst environment - which contains limestone with fractures, holes and caves in it.

While drilling San Juan #3 I understand that Treaty lost circulation (ie did not get the mud they were pumping down the hole back). One possible reason for this is that hit a fracture or hole in the Karst Limestone formation they were drilling through. Treaty reported in their 2013 Development Plan that they also lost circulation in San Juan #1 well too.

Now Treaty have run the casing and in order to cement it properly they have to make sure that they don't lose all the cement they pump down the hole into the same zone that the mud was lost into. So they isolate the lost circulation zone in some way before cementing. This will hopefully result in the cement flowing up the outside of the casing pipe and setting where they want it between the casing pipe and the rock formations that they drilled through higher up the hole.

I hope this gives you a better understanding of this now.