Melbana Drills 2,000m at Amistad-2: High Permeability but No Oil Found
Melbana Energy’s latest drilling at Amistad-2 in Cuba reveals excellent reservoir quality but disappointingly no oil production, prompting a strategic pivot in exploration plans.
- Amistad-2 well drilled to 2,000 metres with 169 metres of porous reservoir intersected
- Flow testing confirmed high permeability but no oil was recovered, indicating residual oil presence
- Plug and abandonment of Amistad-2 underway following test results
- Low-cost 2D seismic survey nearing completion to guide future drilling
- Consideration of Amistad-11 well as next drilling target, potentially replacing Amistad-3
Amistad-2 Well Completion and Testing
Melbana Energy Limited has completed drilling its Amistad-2 well in Block 9 PSC, Cuba, reaching a total depth of 2,000 metres, significantly deeper than the initial plan of 1,125 metres. The well intersected 169 metres of highly porous reservoir rock, a promising geological indicator. However, despite the encouraging reservoir characteristics, flow testing revealed no recoverable oil, with only water produced at rates up to 1,220 barrels per day. This suggests the oil present at this location is residual and not commercially extractable.
Operational Insights and Challenges
Executive Chairman Andrew Purcell acknowledged the disappointment of the test results, noting that the well was positioned updip of known oil accumulations. He pointed out that muted oil shows during drilling might be attributed to the balanced reservoir drilling fluid, which was effective in preserving formation integrity. The high permeability confirmed by flow rates indicates excellent reservoir quality, but the absence of oil recovery highlights the complexities of early-stage appraisal in new oilfields.
Strategic Adjustments and Future Plans
Following the plug and abandonment of Amistad-2, Melbana is nearing completion of a low-cost 2D seismic survey designed to improve subsurface imaging and identify safer, more prospective drilling locations. This survey, employing a mobile hydraulic weight-drop system, promises better data quality than vintage seismic records and will be critical in refining the company’s forward work program in Block 9.
In light of the Amistad-2 results, Melbana is considering drilling the Amistad-11 well next, potentially replacing the previously planned Amistad-3. Amistad-11 is a shallower production well on Pad 1, where earlier wells demonstrated strong flow rates exceeding 1,200 barrels of oil per day. Production at Amistad-1 has been temporarily halted to prepare for this possible next step, pending joint operation approval.
Implications for Melbana’s Cuban Assets
The Amistad-2 outcome underscores the inherent uncertainties in exploration, especially in complex geological settings like Cuba’s Block 9. While the reservoir quality is encouraging, the lack of oil recovery at this site raises questions about reservoir connectivity and fluid distribution. The forthcoming seismic data and subsequent drilling decisions will be pivotal in determining the commercial viability of Melbana’s Cuban portfolio.
Bottom Line?
Melbana’s next moves hinge on seismic insights and the potential success of Amistad-11 to unlock Block 9’s promise.
Questions in the middle?
- Will the new 2D seismic survey reveal more promising drilling targets in Block 9?
- Can Amistad-11 replicate the strong production rates seen in earlier wells on Pad 1?
- What does the lack of oil recovery at Amistad-2 imply about reservoir connectivity across the block?
