Cape Town-based independent Rhino Resources has hit hydrocarbons with its latest exploration well offshore Namibia, according to multiple sources. Although it is too early to know if this latest Orange basin find is commercial, the news will be welcomed by Namibia President Netumbo Nandi-Ndaitwah, who came to power last month.
The Capricornus-1X exploration well spudded two months ago in Petroleum Exploration Licence 85 where Rhino is partnered by state-owned Namcor plus BP and Eni through their Azule Energy joint venture. In February, Rhino announced it had found hydrocarbons with the Sagittarius-1X probe, its first well on the licence, in an Upper Cretaceous play. Five sources familiar with Capricornus-1X told Upstream that it has also made a discovery. One particularly well-placed contact said equipment to run a drill stem test is currently being mobilised to the drillship Noble Venturer at its location in PEL 85. Some well watchers said Capricornus-1X had hit oil, but Upstream was told that this would only be clear when results from the DST are available. Rhino "needs to run the DST," explained the well-placed source, before a clearer picture emerges about the type of hydrocarbons found.
The ambitious operator will be averse to being caught up in any hype about Capricornus, with one person offering the cautionary tale of how upbeat initial news on Shell's many discoveries in adjacent PEL 39 eventually turned sour, with the supermajor forced to take a big write off due to reservoir challenges. As well as flowing hydrocarbons from the well, the DST will help to ascertain the porosity and permeability of the reservoir — or reservoirs — discovered.
Capricornus-1X spudded on 17 and 18 February and was targeting a different reservoir to Sagittarius-1X. It was originally expected to take about 47 days to drill, but the operation has been extended due to what are understood to be geological challenges. Rhino declined to comment on the well at this stage.
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