Hurricane Energy spuds Halifax well (UK)

Hurricane Energy plc has spudded the Halifax well, in the North Sea, offshore UK, using the Transocean Spitsbergen drilling rig.

The well, formally known as well 205/23-A well, is located in the recently recently awarded P2308 license (“Halifax”), for which Hurricane believes is contiguous to and extends northeast from its existing Lancaster license.

The recently drilled Lancaster Pilot well (205/21a-7) encountered a minimum oil down to (ODT) of 1,620m TVDSS, indicating that the Lancaster oil accumulation is likely to extend beyond the Lancaster license boundary.

The company says it believes that if mobile oil can be demonstrated outside of local structural closure by the Halifax Well, off the Shetland Isles, then the Lancaster field could extend further northeast along the Rona Ridge.

A previous well (205/23-2) drilled on the Halifax structure encountered oil and gas shows in sandstones immediately above the basement. Also, Hurricane’s analysis of basement cuttings from the 205/23-2 well indicates the presence of oil thus mitigating the oil charge risk to Halifax, Hurricane says.

Seismic interpretation indicates the presence of a well-defined fault network within the fractured basement of the Halifax Prospect, analogous to that seen in Lancaster.

The company plans to drill the Halifax Well below local structural closure and will then perform an open hole drill stem test (“DST”). In the event of a successful DST, it is envisaged that the well will be deepened to investigate the oil water contact.

Robert Trice, Chief Executive of Hurricane, said: “This has already been a hugely successful drilling campaign for Hurricahne and the Halifax Well marks an exciting opportunity with which to close it. The prospect is also a logical conclusion to the drilling program as, following the success of the Lancaster Pilot Well, we believe that the oil column extends beyond the Lancaster block boundary and potentially up to the Halifax Prospect. We look forward to updating the market with initial well results towards the end of Q1 2017.”

Hurricane Energy is working to develop its Lancaster field, with the sanction of the Lancaster early production system expected in the first half of the year. The company in November 2016 signed heads of terms with Bluewater Energy Services for the use of the Aoka Mizu floating production storage and offloading vessel (FPSO) on the Lancaster field.

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