On 7 May 2018, SDX Energy Inc. (SDX) announced that it had discovered gas in the LMS-1 exploration well in the Lalla Mimouna permit. The well encountered 16.4 m of net gas pay sands in the H-9 sequence of a Miocene shallow marine deposit with an average porosity of 32%.   LMS-1 was spudded on 27 April 2018 and drilled to a TD of 1,158 m.  SDX said the well had encountered heavier gas shows similar to LNB-1 well, indicating the presence of a deeper thermogenic source rock. It had also reported that the cuttings had shown evidence of fluorescence indicating the potential presence of liquid hydrocarbons in the encountered section.   This rig has left the location and returned to the contractor as LMS-1 was the last well of SDXâs nine-well drilling campaign.    SDX is the operator of the permit with a 75% interest and Office National des Hydrocarbures et des Mines (ONHYM), the national company, holds the remaining 25% (carried).  Background Information    On 1 February 2010, Circle Oil announced that it had signed a Petroleum Agreement with ONHYM the for the Lalla Mimouna area covering the Exploration and Exploitation of Hydrocarbons for the Lalla Mimouna Nord and Lalla Mimouna Sud exploration permits in the Rharb Basin. The permits cover an area of over 2,200 sq km and are issued for an initial period of 8 years with the right of automatic conversion to a minimum 25-year exploitation period in relation to areas where it is agreed that commercially exploitable hydrocarbons have been discovered. Under the terms of the agreement the percentage interest in the permits is Circle Oil 75% and ONHYM 25%. Circle Oil has agreed to carry out an initial targeted 80 sq km 3D seismic survey to assist in the assessment and ranking of prospects already identified in the area and to assess any newly identified prospects. The agreement also requires the completion of a minimum 2 well drilling programme in the first 3 years of the permits.     In August 2015, Circle Oil Plc plugged and abandoned the new-field wildcat NFA-1 in the Lalla Mimouna permit after reaching a TD of 1,077 m. The well recorded gas shows at the targeted Miocene sands.     NFA-1 is the third well drilled din the permit. The new-field wildcat El Anasba 2 (ANS-2) was suspended in early July 2015 after it encountered gas shows. The well is located on the northern flank of the East-West trending Anasba ridge.   The Lalla Mimouna 1 (LAM 1) exploration well yielded 1.9 MMscf/d and 1.1 MMscf/d through 16/64" choke from a 1,261-1,272 m (primary target) and a 1,181-1,183 m (secondary target) respectively. The well is located on the central part of the permit on the east-west trending Anasba Ridge.     On 27 January 2017, SDX announced that it had completed the acquisition of Circle Oil plcâs Egyptian and Moroccan assets. The company entered into heads of terms to finalise the acquisition for total cash of USD 30 million on 24 January 2017.    Â On 20 April 2018, SDX announced that it had hit a new play in the LNB-1 exploration well in the Lalla Mimouna permit. The well encountered 300 m of over pressured section in the gas bearing horizon in the primary Lafkerena sequence. The well also hit 2.6 m of net gas pay sands in the secondary Upper Dlalha target with an average porosity of 33%.  Â SDX Energy has been granted a four-month extension period for Lalla Mimouna permit through 22 July 2018.
Morocco (Rharb Sub-basin (Rharb-Prerif B.)) Lalla Mimouna 1