Zephyr Energy completes drilling operations in Paradox basin onshore Utah

June 06, 2024

(WO) – Zephyr Energy plc provided an update on drilling operations on the State 36-2R LNW-CC well at the company's flagship project in the Paradox basin onshore Utah.

Drilling operations have been completed safely and successfully, with the well drilled to a total depth of 10,290 feet (measured depth).

Zephyr’s operations team is now preparing to set a production liner across the Cane Creek reservoir section, after which the Helmerich & Payne Rig 257 will rig down and demobilise from the site.

Over the coming weeks, Zephyr will mobilize equipment for completion and production testing of the naturally fractured reservoir zone that was successfully intersected during drilling operations.

Initial results indicate that the well, like the State 36-2 LNW-CC well, penetrated a folded and naturally fractured section of the reservoir. It intersected the top of the reservoir approximately 15 ft from the original well bore and its natural fracture network.

The well encountered drilling mud gas shows of a similar magnitude to the original well and pore pressure analysis suggest formation pressures estimated at approximately 9,300 pounds per square inch (which is broadly consistent with previously drilled offset wells).

The well further confirms the presence of oil and gas within a large structural compartment, within Zephyr's acreage and 3D seismic coverage.  During the upcoming production test, the well will be flowed, and production tested to determine reservoir pressure, fluid composition, well flow rate, bulk reservoir permeability and deliver an early estimate of the overall potential recoverable resources.

Colin Harrington, Zephyr's Chief Executive, said, "I am delighted to have concluded drilling operations safely and in line with our plans. We have intersected the reservoir remarkably close to the original well and early indications imply confirmation of hydrocarbons - and that we’ve likely been successful in hitting our natural fracture target with precision.

"Our next step is to commence the well production test in the coming weeks, subject to service availability.  We look forward to keeping the market apprised as testing operations commence and a more fulsome evaluation of the well result becomes available.”



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