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NEG finds oil in California



By Upstream staff 

US independent Nahabedian Exploration Group (NEG) has found light oil at an exploration well in Kern County, Southern California.

The oil and associated gas was discovered during initial testing of the lower zones between 12,490 feet and 12,690 feet at the North Yowlumne 1-26 well.

Flow rates have yet to be confirmed and the company is getting ready to install an artificial lift system to enable the well to be put on a sustained production test before testing the final upper zone of interest, which had the best log characteristics in the well.

The lower zones at 12,860 to 13,020 feet and 12,700 to 12,840 feet were previously tested with a minimal amount of 32 degrees API oil recovered and will need pumping to achieve commercial flow rates.

Participants in the prospect are operator NEG (6.25%), Ivanhoe Energy (56.25%), Salinas Energy (25%) and Statesman Exploration (12.5%).


Wednesday, 12 April, 2006, 00:55 GMT  | last updated: Wednesday, 12 April, 2006, 01:07 GMT

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