Dempsey 1-15 has reached the planned intermediate casing point and has been wireline logged.
The wireline and mud logs have confirmed 4 zones of interpreted gas saturated sandstones at field production levels (depths from approximately 1,000 metres (3,300 feet) to 1,560 metres (5,100 feet)). Based on log correlations and 3D seismic these gas filled sands have not been previously produced in this fault block of the field.
The net gas pay estimate from the logs ranges from 30 to 50 feet depending on petrophysical-parameter cut-off values used. These zones will now be protected behind casing for future testing and production.
As a reference point, the database on the Californian Regulator’s (DOGGR) website shows that Sacgasco’s and other offset production wells have produced natural gas volumes that have exceeded 1 Bcf of pipeline quality natural gas from individual equivalent zones.
As planned, 9 5/8” casing has been run to a depth of approximately 1,760 metres (5,800 feet), and is in the process of being cemented in place in preparation for drilling ahead into more than 5 remaining prospective underlying sandstone reservoir targets.
Sacgasco Managing Director Gary Jeffery commented:
“The drilling of the field-appraisal stage of the Dempsey Project has been successfully accomplished. This is only the first phase of the drilling of Dempsey 1-15 and the results are very pleasing. Our focus now turns to drilling more than 5 underlying targets.
“The local team, which has drilled many of the wells in the immediate area, estimate that there is sufficient producible gas in the discovered zones at field production levels to provide cashflow to more than pay for the well. This is consistent with our pre-drilling prognosis, and is based on analogue well and production data.
“Drilling to date has realised a number of significant ‘firsts’ for the Sacramento Basin in terms of hole sizes and casing depths. The drilling team has planned and safely drilled the well to the point where we are optimally placed to handle the drilling of the interpreted highly prospective underlying sandstone reservoir strata.
“Further updates will be provided on meaningful results from the drilling of the target sandstone reservoirs interpreted to exist from the current casing point to the proposed total well depth in basement rocks.
“Shareholders and investors are advised that the next wireline logging run is planned after reaching the proposed total drilling depth of approximately 3,200 metres.”
