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Monday, 21 July, 2008, 01:10 GMT | more prices >>

Apache hits six with Julimar Northwest

By Upstream staff

US independent Apache has made its sixth find at Permit WA-356-P on Australia's Northwest Shelf, logging 43 feet of net pay at the Julimar Northwest-1 exploration well.

Company boss Steven Farris said: "Apache has now drilled six successful exploration wells on Permit WA-356-P, validating the geophysical techniques used to identify natural gas-bearing stratigraphic traps.

"We are planning to drill three additional wells on the block during 2008.

"This latest well further strengthens our belief that the ultimate size of this gas accumulation is in the range of 2 trillion to 4 trillion cubic feet," he added.

The find was made in the J-17 sand, which was also present in the Julimar-1 discovery well about five kilometres to the south-east.

Julimar-1 hit 132 feet of net pay in four zones, including 42 feet in the J-17 sand.

Seismic, log and pressure data indicate that the J-17 gas pay hit in Julimar Northwest-1 is in communication with and connected to the upper pay zone intersected in Julimar-1 and Julimar East-1, which is about 10 kilometres from the latest well.

The average porosity and permeability of the gas pay intersected in Julimar Northwest-1 is of higher quality than the equivalent zone in Julimar-1, which tested at an equipment-limited rate of 42 million cubic feet of gas and 627 barrels of condensate per day.

The Julimar-1 discovery tested a total of 85 MMcfd from two zones.

Apache holds a 65% stake in the 239,440-acre block, with Kuwait's Kufpec holding the remainder.