THE BOWSER: Winchester Energy (ASX: WEL) announced it will spud a new well, Arledge 16#2, in July targeting relatively shallow Cisco Sands at the newly defined Lightning prospect within the company’s operations base in Houston, Texas, USA.
Winchesters Energy activities are focused on oil exploration, development and production in the Permian Basin of Texas.
The Cisco Sands are a proven producer in the Permian Basin, historically producing over 5 million barrels and 2.25 billion cubic feet of gas with 89 producing wells averaging 57,000 barrels and 25 million cubic feet of gas per well a broad area.
The Cisco sands have produced approximately 100,000 barrels in the Bast Field located one mile to the northeast of the Arledge 16 #2 proposed well location.
The Lightning prospect has a Gross Prospective Resource best estimate P50 of 1.95 million barrels of oil (mmbo) in the lower sand lobe within the Cisco Formation.
The well will test a 150-foot section of the Cisco Formation targeting a thick sequence of thin bedded pay, demonstrated in offset wells and mappable on seismic.
Winchester described it as being a stratigraphic trap and the Arledge 16#2 well will test 150 feet of potential gross oil pay in the lower sand lobe with anticipated net potential of 29 per cent.
The company has interpreted the target interval, the lower lobe, to have about 40 feet of net pay based on wireline logs in Arledge 16#1 well.
Forty-six thousand (46,000) barrels of oil was produced from the same interval in Arledge 215 #1 down dip from the current location and oil shows were observed in up dip wells along with a positive DST test, all of which support the possible presence of oil.
Arledge 16#2 has a planned total depth of 5,500 feet and will satisfy lease hold drilling commitments and extend the Arledge lease (3,342 acres) by a further year.