Buru spuds first exploration well for the year

BURU Energy told the market this morning it had spud its first horizontal exploration well for the year in Exploration License EP428 in the Canning Basin.
Buru spuds first exploration well for the year Buru spuds first exploration well for the year Buru spuds first exploration well for the year Buru spuds first exploration well for the year Buru spuds first exploration well for the year

 

The Adoxa-1 well lies some 120 kilometres east of Broome and 20kms northeast of the Ungani oilfield also operated by Buru.

Buru holds a 50% operational interest in the Adoxa well alongside joint venture partner Roc Oil.

The well will be drilled to a total depth of 2,400 metres and is targeting conventional oil in stacked Reeves formation clastic reservoirs within the Yakka Munga structure. The wells secondary target is the deeper Anderson formation reservoirs.

The junior explorer and producer holds high hopes for the well, and said there could be substantial resources of hydrocarbons within the structure.

 Buru executive chairman Eric Streitberg said should the well be successful there are a number of follow-up locations that "would provide attractive targets."

The structure contains more than 500 metres of seismically defined Reeves section not yet drilled anywhere else in the basin.

"[The Adoxa-1] is targeting the conventional sandstone reservoirs in the Reeves formation. This is a new play type for the Canning Basin and follows up the oil recovery from the Reeves Formation in the Ungani Far West-1 well," Streitberg said.

"The well is a relatively shallow vertical well that will provide a wealth of geological information and hopefully find significant volumes of oil which would supplement and enhance our existing reserves and production cashflow from our nearby Ungani oilfield."

Buru is currently drilling ahead at 118 metres depth using the NGD 405 rig.

The junior was up 1.8% this morning trading at 27 cents per share.

 

 

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