Egypt

TAG Oil announces promising results from well in Egypt’s Western Desert

Published on : 2024-05-19

TAG Oil Ltd. has released initial production test results from its BED4-T100 horizontal well, showcasing impressive oil output.
Located in the Badr Oil Field of Egypt’s Western Desert, the T100 well achieved a production rate of 800 barrels of oil per day (BOPD) following a multi-stage hydraulic fracture stimulation aimed at the Abu-Roash “F” (ARF) tight carbonate reservoir.

During the early clean-up phase post-stimulation, the well exhibited fluid flow rates exceeding 1,000 barrels per day. By the end of the production testing period, the water-cut—a measure of water produced alongside the oil—was reduced to below 30%, suggesting effective stimulation techniques and favorable reservoir properties.

Throughout the testing phase, oil production fluctuated between 400 and 800 BOPD as the well began to unload. It is projected that the well will continue to unload naturally over the next two to three weeks until an artificial lift system and additional surface facilities can be installed. To date, the well has successfully recovered approximately 23% of the injected frac load water and has produced a total of over 4,500 barrels of oil.

Toby Pierce, Chief Executive Officer of TAG Oil, expressed satisfaction with the well’s performance, despite encountering drilling challenges that resulted in a shorter lateral section of just 308 meters. Mr. Pierce stated, “We are pleased with the performance of our first well in the ARF resource play. Looking forward, our plan includes drilling horizontal wells with lateral lengths of up to 1,000 meters and increasing the number of fracture stimulation stages by threefold, which we believe will significantly scale our production capabilities.”

The success of the T100 well marks a significant milestone in TAG Oil’s strategy to unlock the potential of the estimated 500 million barrels of oil in place within the ARF resource play. The company has already begun planning for further development and will provide updates on subsequent well production and infrastructure developments in due course.

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