Energulf (ENG) elects not to participate in testing operation.
Universal Power Corp. (TSX: V.UNX, Stock Forum) announced Thursday they have been notified that logging operations are complete on the Kunene #1 well on Block 1711, offshore Namibia.
During drilling the well encountered significant hydrocarbon shows in two zones, says Universal Power, sampling and coring have been completed and analysis is being conducted.
Universal Power holds a 3% carried interest in Block 1711 through its investment in Kunene Energy, while Sintezneftegaz, a Federation of Russia oil and gas company based in Moscow holds a 70% working interest, and EnerGulf Resources (TSX: V.ENG, Stock Forum) holds a 10% working interest.
Testing of the prospective lower feature by Sintezneftegaz Namibia Ltd. is designed to confirm hydrocarbon makeup and saturation and will allow the partners to assess the commercial viability of the well, says Universal Power. Testing is estimated to take 16 days, but results will not be published until received and approved by Namibian Government because of tight hole status of the well.
Knowledge Katti, director of the company said, "We are very pleased that the Kunene # 1 well has significant hydrocarbon shows and we look forward to receiving results from the testing of this well.”
Yesterday, Energulf Resources announced that it believes the results of the operations to date have enhanced the prospectivity of Block 1711 by demonstrating that hydrocarbons are present. The company added that “at this date we believe that this first well ever drilled in the Namibe Basin south of Angola, will probably not be a commercial producer.” EnerGulf has elected not to participate in the testing operation, but says it believes the Kunene well information will allow it “to evaluate existing prospects and identify new leads and prospects on the block.”
On the Universal Power Corp. Bullboard, superstar905 commented:
“At the very least, this could likely be a massive gas find. Speaking with UNX, they've confirmed that the massive zone of hydrocarbons, along with the "make up" of the zone, gives reason to believe that there is OIL there. Also, it was mentioned a while back on the Jordenfonden that they have "wet gas"....I think this is what the UNX was referring to as to the make up of the massive zone of hydrocarbons[sic].”
lonegaurdian also raised several points, including:
“Im sorry but its kind of funny to me this whole situation; everyone is acting like ants after the hill is kicked. -Alright, first of all ENG had a 15% chance of finding hydrocarbons; they did! a current unproven amount, with around 800 ft of zones of interest. The fact this wildcat well was not "Cased and abandoned" means it beat most peoples expectations - It is not yet known if the first well Kunene 1 is commercial, the fact it still may be is good news, not the same as if they had said we may have a billion barrels but compared to a completly dry well very very good news[sic]”.
Visit the Universal Power Bullboard or Energulf Resources Bullboard for ongoing discussion on the companies and Kunene #1 or leave a comment below.
