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Dana Discovers Substantial Hydrocarbon Column with First Well Offshore Mauritania

Source: www.gulfoilandgas.com 12/29/2003, Location: Africa

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Dana Petroleum is pleased to announce that the Pelican-1 exploration well, drilled in Block 7 offshore Mauritania, has discovered significant hydrocarbons within its primary, Tertiary age target horizon. The well was drilled to a total depth (TD) of 3,825 metres (11,659 feet) with oil and gas shows encountered while drilling from approximately 3,400 metres to TD. Subsequent wireline logging has indicated a gross hydrocarbon column spanning over 300 metres, within which a number of good quality reservoir sands have been developed. Preliminary analysis of log and pressure data indicates the hydrocarbon type within the sands at this crestal location on the structure to be gas. It is too early to conclude whether Pelican-1 has discovered an independent gas field or a gas-cap overlying an oil field. Preparations are underway to suspend the well to enable re-entry for future use as appropriate.

Pelican-1 is the first well to be drilled in Block 7, which covers a vast licence area of 13,469 square kilometres. This is equivalent to over 3.3 million acres or approximately the size of 60 North Sea blocks. The Pelican well is therefore a key data point which gives considerable encouragement for the future exploration of the northern Mauritania region. A comprehensive well data gathering programme has been successfully completed, including reservoir fluid sampling and sidewall cores. Detailed analysis of all the information obtained is now required to determine the significance of the Pelican discovery, and in particular the potential for oil to be located down-dip of the Pelican-1 well location, the forward appraisal programme and the improved outlook for prospectivity elsewhere in Block 7.

Commenting on the news, Tom Cross, Dana's Chief Executive, said:

"We are obviously delighted that our first exploration well offshore Mauritania has discovered a substantial hydrocarbon column. Dana's technical team will now begin a comprehensive analysis of the Pelican-1 well data and integrate the positive Block 7 findings with ongoing work to assess prospects in Block 1 and Block 8. This will enable decisions on further drilling to be taken over the coming months."


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