Victoria Oil & Gas Upbeat over Latest Cameroon Well
Gaz du Cameroun (GDC), owned by UK-listed Victoria Oil & Gas (VOG) announced November 8 that its latest well on its Logbaba block has found an 84.5 metre net gas sands layer.
Preliminary analyses from its La-108 onshore well "significantly exceeded pre-drill expectations." VOG said that flow tests are planned immediately, and that it expects LA-108 to be a producing well by the end of November.
The company added that the 84.5 metre-wide gas sands layer was more than the 58m-wide gas sands layer at its previous deeper La-107 well; the latter then flow-tested at a maximum rate of 54mn ft³/d. Well La-107 was drilled at a depth of 3,180 meters, whilst the newer La-108 was drilled to 2,865m.
"La-107 has already delivered us a significant increase in available gas supply and we look forward to releasing flow test results from La-108 by the end of November,” said VOG chief executive Ahmet Dik. The company said that additional reserves from La-107 and La-108 would allow GDC to conclude more long term supply contracts with major consumers near the port city of Douala basin where demand is growing. Dik said: "We estimate that there is demand for over 150mn ft³/d of gas in the Douala Basin and GDC is presently the sole provider to the region.”
The new discovery should also boost investors’ confidence and support VOG as it seeks to raise between $20mn and $26mn to finance expansion of its activities in Cameroon.
Olivier de Souza