Toronto-listed Alvopetro Energy took another step towards commerciality with encouraging flow results from the first interval of a multi-zone well in north-eastern Brazil.
Alvopetro said last week that its 197-1 well was drilled to a total depth of 3275 metres and hit 43 metres of potential net pay over several separate intervals.
On Monday, the company said the well flowed gas on an unstimulated basis from an interval between 3175 and 3184 metres. The well flowed at an average rate of 40,000 cubic feet per day over 67 hours with no water on an 8/64-inch choke from the Gomo member of the Candeias formation.
The well will now be shut in to measure reservoir pressure and obtain pressure build-up data.
"The strong demand for natural gas and high energy prices in north-eastern Brazil place us in an excellent position to commercialise our discovery," said chief executive Corey Ruttan.
Alvopetro will now continue completions up-hole to test the primary target, consisting of a continuous, thick, tight sand within the middle Gomo member.
The third interval to be tested is a “more conventional sandstone” with 20 metres of potential net pay, the company said.