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Frontera Resources Mobilises Workover Rig to Mtsare Khevi Gas Complex

Source: www.gulfoilandgas.com 9/6/2017, Location: Asia

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Frontera Resources Corporation, a European focused independent oil and gas exploration and production company, is pleased to announce the mobilization of a workover rig to Ud-2 well, situated inside the 950 square km Mtsare Khevi Gas Complex area located in onshore Block 12 in Georgia.

Block 12 covers 5,060 square km in the Kura Basin of eastern Georgia and contains existing significant gas discoveries in the Miocene-aged Gareji and deeper Oligocene-aged Maykop reservoirs.

Existing oil and gas export pipelines and domestic gas distribution infrastructure run through Block 12. A state-owned 230 MW gas power plant is also located in the Block 12 area, with a second plant of the same capacity expected to be built in 2020.

The Ud-2 well had been drilled by a previous operator with significant gas shows recorded while drilling in the Gareji and Maykop reservoirs between 2450m and 5289m, with drilling mud weights of 17,5 ppg and 17,9 ppg respectively. As previously announced, based on the Netherland, Sewell & Associates resource estimate, the Gareji and the Maykop reservoirs of the Mtsare-Khevi Gas Complex are estimated to contain 8.3 TCF of Gas in Place (OGIP) with 6.15 TCF considered to be recoverable.

The workover rig will execute operations to clean the well, retrieve the packer and set the bridge plug at 3340m, following which three gas-bearing intervals located between 2620m and 3320m will become accessible for perforation and extended testing. Of these intervals, two are in the Gareji and one is in the Maykop formation. Workover operations are expected to be completed by the end of September, followed by well testing to commence in October.

The Company intends, within approximately 6 weeks after completion of well testing, to connect the Ud-2 well with the Mtsare Khevi gas processing facility which is situated18 km from the well location and is directly linked with the national gas distribution infrastructure. This will allow swift commencement of sales of gas produced from this well.

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