Record Resources Inc (TSX-V:REC) announced that further geological and geophysical analysis of its Loba oil discovery in Gabon and nearby analogue fields suggests an initial production rate of more than 5,000 barrels of oil per day could be achievable from its planned first well.
The Calgary-based exploration and production company said its planned Loba Marine 2 well is expected to produce above 5,000 barrels per day if completed with a frac-pack system and an electric submersible pump (ESP). The projection is based in part on production performance from the nearby Barbier Southwest field, which targets the same Batanga reservoir.
Record noted that Barbier Southwest, located adjacent to its Ngulu Block, was identified in 2017 by company chief operating officer Alain Mizelle as a development candidate and has since entered production under operator Perenco.
According to the company, the broader Loba field complex could potentially produce approximately 20,000 barrels per day through a multi-well development program, based on production data from nearby fields. Record said analogous wells within 40 kilometres of the Loba discovery and targeting the same reservoir have reported initial production rates of up to 7,600 barrels per day.
.png)
The Loba field was originally discovered by Elf-Gabon through the LOM-1 well, drilled in approximately 60 metres of water. The well encountered a shallow oil zone containing 27-degree API gravity crude in the Batanga reservoir, with a reported gross oil column of 140 metres and 70 metres of net pay.
The company said the Loba field complex includes the existing Loba oil discovery, the deeper Anguille reservoir prospect known as Loba Deep, and the Loba East Batanga prospect located on the eastern side of a salt dome.
Record reported that a previous operator estimated mean contingent resources at the Loba discovery of 11.9 million barrels. Mean prospective resources were estimated at 11 million barrels each for the Loba Deep and Loba East prospects.
The company also stated that, under an agreement with its strategic partner and operator of the Ngulu Block, it is fully carried through the first phase of exploration and appraisal activities. These activities include seismic reprocessing and drilling the first well to total depth, meaning Record will not be required to contribute capital until after completion of the initial well.