Madalena Energy’s CAS.x-15 well tests at 430 bopd
MADALENA ENERGY Inc. has released the initial results of the completion and testing of the first horizontal multifrac well in the Vaca Muerta shale formation at the Coiron Amargo Sur Este (CASE) block in Argentina.
Madalena’s partner, Pan American Energy LLC, Sucursal Argentina (PAE), is the operator at CASE with a 55-per-cent working interest. Madalena and Gas y Petroleo del Neuquen, the provincial oil and gas company in the province of Neuquen, hold 35-per-cent and 10-per-cent working interests, respectively. Pursuant to certain transactions described in previous news releases of the company, the 2017 work program at CASE comprises two well re-entries with a net benefit to Madalena of up to $5.6-million in carried capital costs.
• PAE successfully re-entered the CAS.x-15 well and drilled horizontally for approximately 1,000 metres in the Vaca Muerta unconventional oil resource play at a vertical depth of approximately 3,200 metres;
• A liner with frac sleeves has been run and cemented. The well was completed rig less at the end of May with 37 hydraulic frac stages with approximately 6,500 klb of proppant and 90,000 barrels of total fluid;
• The well tested an average of 430 barrels of oil per day through three-millimetre choke for the last four weeks;
• Recovered approximately 18 per cent of fracture fluid during the first week and no water production has been reported since that time;
• The well CAS.x-15(ST) tested the Vaca Muerta shale structured concept, offering new insights into the play extension within the fracture trend;
• Total gross estimated cost of this re-entry is $8.72-million (U.S.), which includes the costs for drilling, completing and equipping the well.
Jose David Penafiel, chief executive officer of Madalena Energy, commented:
“The test results of CAS.x-15(ST) are extremely encouraging and we are now looking forward to increased production revenue as a result of this new well.
“The well results of CAS.x-15(ST) are significant on a number of grounds. It has significantly derisked Madalena’s Vaca Muerta acreage in the CASE block, supporting the company’s internal contingent resources estimates. To obtain these test results from just 1,000 metres and 37 frac stages is clearly satisfying, however, Madalena believes that with further improvements to the drilling and completion techniques, considerably more can be realized from the next wells that will be drilled on the CASE block. This result highlights the prospectivity of our Vaca Muerta acreage, we are excited to further delineate and develop the CASE acreage with our partner Panamerican Energy.”
About Madalena Energy Inc.
Madalena is an independent, Canadian-headquartered, Argentina-focused upstream oil and gas company with operations in four provinces of Argentina where it is focused on the delineation of unconventional resources in the Vaca Muerta shale, Lower Agrio shale and Loma Montosa oil plays. The company is implementing horizontal drilling and completions technology to develop both its conventional and resource plays.
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