Sound Energy PLC (LON:SOU) put out some exceptionally big estimates for the Tendrara gas project in Western Morocco on Monday but there’s still a lot to do in the field, starting with the upcoming TE-8 well.
The upside case for the Moroccan gas project, which spans the Tendrara and Meridja permits, was estimated by Sound Energy at some 31 trillion cubic feet (TCF).
At the same time the in-house estimate’s ‘best case’ was 17 TCF and the low number was 9 TCF – by anybody’s measure such resources would easily rank as world class.
These big estimates were based on technical mapping, informed by exploration results, and they are a demonstration of the potential that exists at the project – it is not an estimate of how much gas Sound believes can be recovered.
A tighter estimation, based on data from two recently drilled wells, estimates between 300bn and 500bn cubic feet of discovered gas resources at Tendrara.
In Morocco, preparations are now underway for the next well and the subsequent findings can have a major impact, by potentially unlocking the aforementioned upside.
In an interview oil and gas companies expert Malcolm Graham-Wood explains that TE-6 and TE-7 found the Tendrara gas in significant quantities and the “big step out” well at TE-8, some 12 kilometres away, could confirm what would be a huge discovery.
“The TE-8 well has got to come in, which will happen later this year, and if that comes in that will firm up some of the numbers,” he said.
“But you have to bear in mind that with the existing wells they’ve drilled –they [Sound] have only drilled two decent wells, TE-6 and TE-7 – and they have firmed up three to five hundred BCF.”
“They’ve probably got half a trillion in the basket, so far.”
In the full interview Malcolm Graham Wood also talks about the quick progress that Sound’s management team has made in Morocco, and looks at what may happen next at the exciting project.