BLOCK B
Sugarloaf-1 Well (Empyrean Interest 6%)
Remedial cementation was required prior to the fraccing operations of the lower part of the gas-bearing chalk interval in which there are at least three separate intervals of enhanced porosity development. Testing operations began on 11 September 2007.
The first fracc attempt was unsuccessful due to premature screen out of the proppant with only 6% entering the formation; all of which required redesigning a second fracc attempt which was executed on 19 October 2007.
Despite initial gas flows of 387mcfgpd with associated condensate, the flow rate declined. Following the completion of swabbing operations and the setting of production tubing, the well was shut in until results from wells already being drilled and tested in Block A could be used to modify the continued testing programme of the remaining porous zones of the Austin Chalk.
Kennedy-1H Well (Empyrean Interest 6% - 12%)
This well was originally called Sugarloaf-2 and is the second well to be spudded in the 16 well deal mentioned above. It is located 1.6 km from Sugarloaf-1 well. The zone targeted in the horizontal section of approximately 5,000 ft of Austin Chalk reservoir is believed to correlate with the producing section in the Sugarkane Field discovery well located 8 km to the west of Kennedy-1H well.
Backround gas readings increased significantly on entering the Austin Chalk.
The rig was released on 8 December 2007 following the emplacement of a 4 ½" liner in the horizontal part of the well. On 15 February 2008 it was announced that fraccing and testing procedures were necessarily dependent on the results of the operations in the adjacent Block A, and it was not until 16 April 2008 that Empyrean received notification of the details of the final completion programme.
The fraccing operation was carried out on 14 May 2008. A total of 95,000 lbs of sand and 5182 barrels of fluid were injected under pressure into four sets of perforations over an approximate 600ft horizontal interval. Initial flow results of gas condensate and fracc fluid recovery were announced on 25 May 2008, and since then the well has been slowly expelling the fracc fluids prior to the measuring of full gas condensate flow.
The result is particularly relevant to the overall prospectivity of the area as it has shown that the so-called "middle pay zone" contains gas condensate and could therefore add 150% to the recoverable reserves attributed to the "upper pay zone".
As of 29 May 2008 the plan was to run pressure gauges while the well was continuing to flow, then shut in the well for a prolonged pressure build up. There still remained approximately 4,120 barrels of fracc fluid to recover.