Poland's PKN Orlen Spuds Second Horizontal Well in Lubelskie

Polish oil company PKN Orlen starts another horizontal project in Lubelskie.

The well in Berejow, on the Lubartow license area, is located over 50 kms North East from Syczyn, where the first horizontal wellbore drilled by the company's upstream arm. Orlen Upstream chose the location for another directional project, based on promising results of the core sample tests following the first vertical drilling in Berejow.

"The analysed rock core samples from the first well have revealed the presence of hydrocarbons in Berejow. Now we must estimate the volumes and - most importantly - the economic viability of the prospect,” said Wieslaw Prugar, president of the Orlen Upstream Management Board.

According to a press release, drilling work, to be followed by hydraulic fracturing, will take some 50 days and the total length of the wellbore will reach 3.8 km, including the 1km long horizontal section.

PKN Orlen is intensifying efforts to explore for shale gas in Poland.  Last week Orlen announced plans to spend 22.5 billion zlotys (5.5 billion euros or 7.1 billion dollars) on investments in 2013-2017, with at least 2.6 billion designated for shale gas development. 

The company is planning to start drilling up to three further vertical wells by the end of this year.  According to a press release, Orlen Upstream intends to drill at least 50 further wells before 2017. 

Last week the company announced an agreement with ExxonMobil to purchase two exploration licenses in the Podlasie Basin. Subject to  government approval, the number of licenses held by Orlen Upstream will incease to ten. Total acreage will increase by 2.150 sq km to reach almost 9 thousand sq km.