Tullow reports successful appraisal well

Oil and gas exploration firm Tullow said today it had dug a successful appraisal well in Uganda.

Oil and gas exploration firm Tullow said today it had dug a successful appraisal well in Uganda.

The company said the Nzizi-3 well in Uganda Block 2 proved its viability as a future gas producer for the integrated power project scheduled for first production in late 2011, with the well confirming a total of nine metres of gas pay, and 16 metres of oil pay.

"The oil pay includes a new discovery in the basal sands where 11 metres of net pay was encountered without an oil-water contact," the company said in a statement.

"The oil discovery will be the subject of further evaluation. Reservoir quality in each of these sandstone intervals is excellent."

However, a well in Gabon encountered wet gas but in poor quality reservoir sandstones. The well will be plugged and abandoned.

"The Nzizi-3 appraisal well takes us a significant step towards first gas production in Uganda by the end of 2011. We continue to work closely with the Government of Uganda on plans for accelerating our exploration and appraisal activities in the region and look forward to commencing a multi-well programme with a second rig in Block 1 next month," Tullow's exploration director Angus McCoss said.

"Although Noix de Coco-1 notably encountered wet gas, the poor reservoir at this location rules out commercial development."

Ciara O'Brien

Ciara O'Brien

Ciara O'Brien is an Irish Times business and technology journalist