Solana Resources Limited announces the conclusion of a successful drill stem testing (DST) program on the recently drilled Juanambu-1 well, in the Guayuyaco Block, Putumayo Basin, southern Colombia.
Six different reservoir intervals, the Lower Caballos, Middle Caballos, Villeta T sand, Villeta U sand, Villeta A limestone and the Rumiyaco Kg sand, were tested through separate DST’s. Viable test rates were obtained from four of the six zones. Further to the preliminary results for DST’s 1 and 2 released May 9, 2007, the final results for DST’s 1, 2, 3, and 6 follow.
DST-1 perforated and tested intervals 2,755.7 – 2,757.2 m and 2,757.8 – 2759.7 m (9,041 – 9,046 ft and 9,048 – 9,054 ft), a total of 3.4 m (11 ft) in the Lower Caballos. After recovering 4 m3 (23 bbls) of oil and 6 m3 (38 bbls) of water from swabbing, the well was flowed naturally for 14 hours and produced 11 m3 (71 bbls) of oil with a density of 0.864 (32° API). The final flow rate was 12 m3/day (77 bopd) and still increasing with no gas and only traces of water.
DST-2 perforated and tested intervals 2,742.6 – 2,744.4 m and 2,745.0 – 2,750.2 m (8,998 – 9,004 ft and 9,006 – 9,023 ft), a total of 7.0 m (23 ft), in the Middle Caballos. After recovering 6 m3 (38 bbls) of oil and 5 m3 (33 bbls) of water from swabbing, the well was flowed naturally for 24 hours and produced 57 m3 (355 bbls) oil with a density of 0.863 (33° API), 14,345 m3 (507 mcf) of gas and 1 m3 (6 bbls) of water. The final flow rate was 59 m3/day (371 bopd) and still increasing with an insignificant Gas to Oil Ratio (GOR) and a 1% water cut.
DST-3 perforated and tested intervals 2,702.7 – 2,707.2 m and 2,708.5 – 2,715.8 m (8,867 – 8,882 ft and 8,886 – 8,910 ft), a total of 11.9 m (39 ft), in the Villeta T sand. After recovering 2 m3 (13 bbls) of oil and 6 m3 (36 bbls) of water from swabbing, the well was flowed naturally for 29.5 hours and produced 26 m3 (164 bbls) oil with a density of 0.869 (31° API) and 2,646 m3 (94 mcf) of gas. The final flow rate was 34 m3/day (214 bopd) and still increasing with an insignificant GOR and a 1% water cut.
DST-6 perforated and tested the interval 2,436.9 – 2,441.4 m (7,995 – 8,010 ft), a total of 4.6 m (15 ft), in the Rumiyaco Kg sand. After recovering 3.2 m3 (20 bbls) oil and 2.6 m3 (17 bbls) from swabbing the well was tested with a jet pump. The well was tested over 14.4 hours at flow rates as high as 34 m3/day (214 bopd) and produced a total of 15 m3 (95 bbls) oil with a density of 0.937 (20° API), 295 m3 (10 mcf) of gas and 2 m3 (13 bbls) of water.
The Villeta U sand and Villeta A limestone (through DST’s 4 and 5) tested sub-commercial and no oil flow rates respectively.
The well is currently being configured for production including the installation of a jet pump. Jet pumps have yielded significant increases in production above natural flow rates in adjacent producing fields.
In summary, the well tested at a combined rate of 139 m3/day (876 bopd), from 26.8 m (88 ft) of perforations, over four separate zones. The oil quality is better and the reservoir performance is superior than in neighbouring fields. Final test results are being integrated into a declaration of commerciality application to be submitted to Ecopetrol, the Colombian State oil and gas company. Early production will be trucked to nearby facilities. Longer term, the construction of a pipeline and additional facilities will be required to handle increased production.
Solana has a 50% interest in the Juanambu field with Gran Tierra Energy Inc., the operator, holding the other 50% interest. Ecopetrol has a 30% interest back-in right on commercial discoveries and to the extent such right is exercised each of the interests of Solana and Gran Tierra will be reduced to 35% in this field.
Upon completion of operations, the service rig will be released and mobilized to the Costayaco-1 exploration well in the adjacent Chaza Block. On May 14, 2007, Solana announced that Costayaco-1 was a potential new field discovery with similar hydrocarbon shows, well logs and productive lithological package to Juanambu-1. Solana holds a non-operated 50% working interest in the Chaza block.
