Gulfsands' Khurbet East-18 reveals Syrian field extends further north than first thought

Gulfsands Petroleum  (LON:GPX) said drilling on the Khurbet East-18 well uncovered the second-thickest oil bearing reservoir in the area.

It also confirmed the Syrian field extends further north than previously thought.

Gulfsands hit the reservoir 12 metres higher than anticipated as it drilled to 1,926 metres, which equates to a vertical depth of 1,535 metres.
Analysis of the wire-line logs revealed that oil column was 45.8 metres gross, or 35.6 metres net. Porosity was 20.2 per cent, while the average oil saturation was 86.9 per cent.

The logs also indicated the presence of significant secondary or "vuggy" porosity that is associated with a “karst-type reservoir“, which exhibit excellent flow properties elsewhere in the Khurbet East field.

The reservoir was flow tested and produced at a stable rate of 2,385 barrels per day of oil, which was 26 degree API.

Gulfsands produced “minor volumes of water” during the flow test. However this is thought to be lost drilling fluids and not production of reservoir formation water, it added.

The impact of the KHE-18 result on field oil-in-place and recoverable oil volumes will be calculated as part of the annual year-end reserves estimate. This will be available during the first quarter of 2011.

Gulfsands chief executive Ric Malcolm said: "The extension of the crest of the Khurbet East field to the northwest with high quality karst reservoir is very encouraging. 

“The well will now be tied back to the early production facility and become the tenth producer in the field. 

“With two rigs now operational, we have a very active exploration programme that includes three wells to be drilled before year end".

The Crosco 401 rig being used on the KHE-18 well will now move to seven kilometres to drill the neighbouring Twaiba-1 exploration well.

The location was selected based on interpretation of 3D seismic data acquired during 2009.

“The key exploration risk on this prospect relates to the presence of adequate reservoir quality; however this is mitigated somewhat by the presence of an anomalous seismic amplitude observed at the target location,” Gulfsands revealed in an update to investors. 

“The interpretation of this anomaly is supported by Acoustic Inversion processing of seismic data, which suggests the presence of an effective reservoir at the Twaiba location.”

Meanwhile, on the Syria-Turkey  border  the Zahraa-1 exploration well spudded on October 21.

Two days earlier the Yousefieh South well was acidified and flow tested under nitrogen lift conditions.

However, only minor non-commercial volumes of 16 degree API oil and water were recovered to surface.

The well will be plugged and abandoned.

Gulfsands also said that the 2010 3D seismic programme on the Greater Khurbet East area is now 75 per cent complete and will be finished by the year-end.