London-listed Ophir Energy has spudded an ultra-deepwater wildcat well with the potential to host about 10 Tcf of gas offshore Tanzania.
Drilling operations are under way on the Mlinzi Mbali-1 well in Block 7, in which Ophir has an 80% net interest. The well is located around 210 km east of Dar es Salaam, and is being drilled by the Deepsea Metro I drillship.
Mlinzi Mbali-1 is the first well in the block, targeting a structural crest within a Lower Cretaceous channel complex, with secondary targets in the Upper Cretaceous and the Jurassic. Pre-drill estimates show that the two primary channel reservoirs in the Lower Cretaceous have the potential to contain mean prospective resources of around 10 Tcf. Success would significantly derisk the total resource potential within the overall Mlinzi Channel complex, which is estimated at up to 20 Tcf, as well as in other structures within the block.
The well is being drilled in a water depth of approximately 2,600 m (8,531 ft) and has a planned total depth of 5,650 m (18,538 ft) True Vertical Depth subsea. Operations are expected to take approximately 50 days.
Nick Cooper, CEO, said: “Mlinzi Mbali-1 is a playfinder well designed as the first test of the Cretaceous and Jurassic plays in the Northern Tanzanian Coastal Basin, and is the first of several high-impact wells that Ophir will be drilling over the next 12 months. The Mlinzi Mbali prospect is one of the largest prospects (on pre-drill estimates) to be drilled to date offshore East Africa. It is a high-risk frontier well, but in the success case this could unlock a significant new gas resource to support a second LNG project for Tanzania, following on from the deepwater discoveries already made in Blocks 1-4 to the south.”
Recommended Reading
Segrist: The LNG Pause and a Big, Dumb Question
2024-04-25 - In trying to understand the White House’s decision to pause LNG export permits and wondering if it’s just a red herring, one big, dumb question must be asked.
Texas LNG Export Plant Signs Additional Offtake Deal With EQT
2024-04-23 - Glenfarne Group LLC's proposed Texas LNG export plant in Brownsville has signed an additional tolling agreement with EQT Corp. to provide natural gas liquefaction services of an additional 1.5 mtpa over 20 years.
US Refiners to Face Tighter Heavy Spreads this Summer TPH
2024-04-22 - Tudor, Pickering, Holt and Co. (TPH) expects fairly tight heavy crude discounts in the U.S. this summer and beyond owing to lower imports of Canadian, Mexican and Venezuelan crudes.
What's Affecting Oil Prices This Week? (April 22, 2024)
2024-04-22 - Stratas Advisors predict that despite geopolitical tensions, the oil supply will not be disrupted, even with the U.S. House of Representatives inserting sanctions on Iran’s oil exports.
Association: Monthly Texas Upstream Jobs Show Most Growth in Decade
2024-04-22 - Since the COVID-19 pandemic, the oil and gas industry has added 39,500 upstream jobs in Texas, with take home pay averaging $124,000 in 2023.