Carnarvon Petroleum Ltd (ASX:CVN) is partnering with Quadrant Energy on the Outtrim East-1 well, which is located within the WA-155-P(1) exploration permit in the North West Shelf of Australia.
The North West Shelf is Australia’s most prolific oil and gas region.
Quadrant is (Operator) holds 71.5%, with Carnarvon 28.5%.
Since the last report the 9-5/8” casing liner has been cemented in place and the well has drilled down to the top of the expected coring point of about 1,250m where coring operations have commenced.
The well is in the final stage of obtaining 90 metres of core across the Pyrenees and Murion members that will be used for a full evaluation of the reservoir properties.
The core will be transferred off the rig to laboratories for analysis.
Drilling will recommence and the final section of the hole will be drilled to a total depth of around 1,440 metres.
Following this brief final drilling operation, a wireline logging program will commence.
The program is expected to include the use of the Saturn Probe for formation pressure testing and fluid sampling.
Carnarvon holds a market value of circa $100 million with $96 million cash, future cash flow up to $44 million and a well carry of $8 million.
Board and management, made up of North West Shelf experts, own 7% of the company.
Carnarvon has two material drilling outcomes within the next 6 months.
The first is the Outtrim East-1 exploration well where the target is to prove an oil aggregation play.
The second is at the Roc-2 appraisal well which aims to confirm that Carnarvon will take part of a material domestic gas project.
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