Horizon is pleased to advise that drilling operations have commenced on two infill wells located in the Weizhou 6-12 Fields of Block 22/12, Beibu Gulf, People’s Republic of China.
The two well infill drilling programme is targeting undeveloped reserves in the WZ6-12 area, including the WZ6-12-A11 well into the producing WZ6-12 North field, and the WZ6-12 A3S2 well into last year’s WZ6-12 M1 discovery. Horizon 2P NEI reserves for these two wells are 0.3 MMbbl and 0.2 MMbbl respectively.
Both wells are being drilled from the existing WZ6-12 platform with one well side-tracked from an existing wellbore, and the other drilled from a recently completed rig slot extension. The two wells will tie in to existing facilities and are expected to deliver a combined total rate of ~1,900 bopd gross to the
existing WZ6-12 production facility, and will provide valuable reservoir data to determine production and reservoir performance in both the WZ6-12 N and WZ6-12 M1 oil pools.
Horizon’s share of capital costs associated with the infill drilling programme is forecast to be US$5 million, which will be internally funded using Horizon’s existing cash reserves and field production revenue.
