During Q2 2018 CC Energy Development SAL (Oman) successfully drilled and completed the Ulfa 3 appraisal well on Block 3 (Afar) in eastern Oman. The well is the second appraisal well to the Ulfa 1 NFW, which discovered oil in carbonates of the Precambrian Khufai formation. It follows the successful Ulfa 2 well and forms part of a three well appraisal campaign in 2018. Ulfa 3 was drilled around 2.6km SW of Ulfa 1 to appraise the western flank of the structure in order to define the reservoirs extent and oil-water contact. The well confirmed the reservoir extension to the west and also its good qualities. Intermittent testing has given good results and Ulfa 3 has been completed as a producer.<P />The deviated Ulfa 1 well was spudded in December 2016 and reached a final TD of 4,040m in Q1 2017. It tested a previously undrilled structure, located along the Farha South field (Huqf Uplift) trend, targeting sandstones of the Cambro-Ordovician Barik formation as well as carbonates of the Precambrian Lower Buah and Khufai formations. Ulfa 1 is the first carbonate discovery on Block 3, with the nearby Farha South Field producing from Barik sandstones. As such the company believes that the large carbonate section it produces from in the Shahd and Saiwan fields in Block 4, may extend northwards to the fringes of the Farha South Field.<P />In November 2016, JV partner Tethys Oil announced that in accordance with the terms of the Exploration and Production Sharing Agreement (EPSA) for Blocks 3 and 4, the JV partners have agreed new boundaries for Block 3 with the Ministry of Oil and Gas (MOG). The new boundaries exclude a 5,480 sq km area in the north-eastern part of Block 3, which has been returned to the MOG. Following the agreed adjustment, Block 3 now covers an area of 5,918 sq km and the exploration and production term is valid until 2040. CC Energy Development SAL (Oman) operates Block 3 with a 50% interest and is partnered by Tethys Oil Block 3 & 4 Ltd (30%) and Mitsui E&P Middle East BV (20%).
Ulfa 3 appraisal well on Block 3 (Afar) in eastern Oman.The well is the second appraisal well to the Ulfa 1 NFW, which discovered oil in carbonates of the Precambrian Khufai formation. It follows the successful Ulfa 2 well and forms part of a three well appraisal campaign in 2018. Ulfa 3 was drilled around 2.6km SW of Ulfa 1 to appraise the western flank of the structure in order to define the reservoirs extent and oil-water contact. The well confirmed the reservoir extension to the west and also its good qualities. Intermittent testing has given good results and Ulfa 3 has been completed as a producer.