Gallic Receives Approval to Sidetrack Ossun-2 well in France
Gallic Energy Ltd. has announced that it that it has received government approval to sidetrack the Ossun-2 well located in the Aquitaine Basin in Southern France.
Gallic has secured a conventional double drilling rig and expects the drilling rig to be on-site prior to March 25, 2012 and that well activities will re-commence at this time.
The Ossun-2 well is a re-entry of a Société Nationale des Pétroles d'Aquitaine (“SNPA” a Total SA legacy company) wellbore previously drilled in the late 1960’s.
The well will be re-entered on existing casing to an approximate depth of 1,100 m where a whipstock will be set and new drilling will commence to an approximate total depth of 3,000 m.
In January 2012, Gallic encountered obstructions in the existing casing at a depth of 1,344 m at which point it was determined that the workover rig being used was not sufficient to overcome the obstructions and the well plan required change. The formation targets of the Ossun well are between 1,775 m and 3,000 m. Gallic’s main target is the 200 m thick Cretaceous Flysch Carbonate at an approximate depth of 2,700 m where SNPA had previously encountered natural gas shows that were never tested or produced. Well results are expected within 20-60 days from when the new drilling commences at 1,100 m and will be dependent upon testing parameters.
On November 2, 2011, the Company announced results from independent reserve consultants GLJ Petroleum Consultants Ltd. (“GLJ”) on the undiscovered petroleum initially-in-place (“UPIIP”) (effective September 30, 2011) resource potential for the geologic plays to be tested by the Ossun-2 well. The report indicates the Mean estimate of the distribution of UPIIP for the Ossun-2 play at an unrisked 248 BCF.
Mr. William H. Smith, President and CEO of Gallic, commented “We are pleased to resume operations at the Ossun-2 well after a month delay while we deployed a drilling rig. The new sidetrack plan for the well will allow Gallic to obtain modern open-hole logs over the potential reservoirs. This will give more definitive reservoir information than could the 1960’s vintage open-hole logs and the previously planned cased-hole logs. In addition, Gallic is setting its plans for the next well in France which is now expected to be the Hagolle well on our Ledeuix permit. We have developed the Hagolle play to a level where it is presently our next highest rank candidate for drilling”.
Gallic has a 100% working interest on its lands (320,000 acres), wells and permits in France.