Eco Atlantic Oil and Gas Ltd. announced today that it has engaged a third party consultant to help the Orinduik partners have a better understanding of the heavy oil discoveries made last year at the Jethro-1 and Joe-1 wells.
Readers would recall that it was on August 12, 2019, that the company had announced a major oil discovery on its Orinduik offshore petroleum license in Guyana. Evaluation of logging data confirmed that Jethro-1 consisted of high quality oil-bearing sandstone of the Lower Tertiary age. The well was cased and is awaiting further evaluation to determine the appropriate appraisal activity.
On September 16, 2019, Eco announced a second oil discovery on the Guyana License. Sampling of the oil confirmed that Joe-1 comprised a high-quality oil-bearing sandstone with a high porosity of Upper Tertiary age. Both wells were drilled within budget and the reservoirs were considered to be high-quality sands with good permeability.
The market was also told by the company that fluid samples were taken from both of the wells and were sent for analysis by Tullow which is the Operator. Results of that testing subsequently confirmed that Jethro-1 and Joe-1 are mobile heavy crudes with high sulphur content.
Eco Atlantic was keen to note this morning that the oil tested to date appears not dissimilar to the commercial heavy crudes currently in production in the North Sea, Gulf of Mexico, the Campos Basin in Brazil, Venezuela and Angola.
The company which is listed on the Canadian Stock Exchange also stated that it has engaged a third-party consultant with heavy oil development and economics expertise to help conduct preliminary evaluations related to production schemes and commercialization. Eco said that technical and commercial evaluation work is ongoing and the company is considering alternatives for further drilling and testing along with a number of development scenarios and production alternatives.
