According to the below article it appears that 5mboe is the estimate for block 430 - of which Eromanga has 40% = 2mboe =USD$240m on todays value. I don't think anyone was estimating a 111m oil column though so maybe there is a lot more OIP. I am trying to find out about the nearby "analogus" Petrobas Angelim Oil Field but can't find much.
Australian-listed Eromanga Hydrocarbons has kicked off drilling at the 1-NORD-1-SE well in the Sergipe Alagoas basin in Block 430 in Brazil, the outfit’s second well in the country this year.
Block 430 lies in the Aracaju High and is nearby to several large producing fields, including the Carmopolis, Siririzinho and Riachuelo fields which are operated by Petrobras.
The principal reservoir targets for the well are the interpreted turbidite sand structure near the base of the tertiaty Calumbi formation that is believed to be similar to the neighbouring Angelim oilfield, which is owned by Petrobas and extends into the Block.
Deeper, secondary targets include carbonates, sandstones and conglomerates of the Apto-Albian, Riachuelo and Muribeca formations, plus the underlying, fractured basement, said Eromanga in a statement today.
Petroleum Geo-Services (PGS), a geophysical company, estimates the reserves on Block 430 to be around 5 million barrels of recoverable oil after analysing the 3-D seismic data.
The Gavea joint venture, in which Eromanga holds a 40% stake, drilled an exploration well earlier in the year on Block 330 and this latest well marks the venture’s second exploration well this year.
Private Brazilian outfit UBX holds the remaining interest in the joint venture and will operate the projects.
The proposed total depth for the latest well is 1200 metres.
ERH Price at posting:
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