Cooper Energy Limited ("Cooper Energy": ASX: COE) advises that initial analysis of the results from Hammamet West-3 has been completed and has reinforced confidence in the commercial potential of the Hammamet West discovery, which will now be the subject of an independent review.
Cooper Energy has commissioned Senergy, a global integrated energy services company, to prepare an independent resource estimate for the Hammamet West field, which is located in the Bargou permit, offshore Tunisia (refer map following). Separately, Senergy will also review the prospective resource potential of Cooper Energy’s Tunisia portfolio.
Jacka Resources Limited ("Jacka", ASX:JKA) will participate in, and share, the results of the study with respect to Hammamet West and the Bargou permit. It is expected that the Senergy report will be completed by end January 2014, after which Cooper Energy anticipates announcing the contingent resource estimate for Hammamet West.
The Hammamet West field is a large structure interpreted to have an areal closure of approximately 40 square kilometres (9,908 acres) and vertical relief of 370 metres (1,214 feet). Hammamet West-3 confirmed the presence of hydrocarbon-bearing fractures and produced fluids (including some formation oil) to surface, during an initial flow, at an average rate of 1,290 barrels per day before the production test was interrupted due to blockages in the test equipment.
As reported to the ASX on 13 May 2011, a previous report by Senergy estimated the Hammamet West oil field had an oil-in-place range between 100 million and 600 million barrels (P90-P10). The report did not make an estimate of oil that could be recovered from Hammamet West and identified the importance of obtaining more information to better determine the fracture distribution and deliverability. The data acquired from Hammamet West-3 will be used by Senergy to update the estimate of oil-in-place and provide an estimate of the contingent hydrocarbon resource range for the field.
Cooper Energy Managing Director, David Maxwell said that the Bargou joint venture had agreed that the results of Hammamet West-3 clearly justified continued evaluation of the resource potential. The second sidetrack planned at Hammamet West-3 in mid-2014 calendar year will appraise the extent of the resource and provide important information for assessing potential reserve bookings and development options.
"Hammamet West-3 has confirmed the presence of hydrocarbon bearing fractures capable of producing oil. The well results have increased our confidence in the potential of the field and Senergy have been commissioned to independently review contingent resource estimates on the basis of this new information" he said.
"The decision to commission an independent review of the Hammamet West resource estimate reflects the discovery’s potential economic significance for Cooper Energy" said Mr Maxwell .