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Empyrean Energy: Dempsey 1-15 Well (Onshore California) 2nd Zone to be Placed on Production Pending Stimulation


Empyrean Energy (EME: AIM), the oil and gas development company with interests in China, Indonesia and the United States, is pleased to announce that it has been informed by Sacgasco Limited (ASX: SGC) (“Sacgasco”), the operator of the Dempsey 1-15 well in the Sacramento Basin, onshore California, that initial flow testing of the second deepest zone of gas shows in the Dempsey 1-15 well is complete.

This zone flowed gas on 12/64 inch choke at a rate of approximately 140 mcf/d with approximately 150psi tubing pressure at the time testing concluded. No water was produced. Following the test, shut in tubing pressure rose to over 6000psi within 32 hours. 

This zone is interpreted to be a significant gas discovery with high pressures but low permeability over the zone of perforations. The forward plan is to fracture stimulate this zone to improve the permeability in the vicinity of the wellbore and achieve greater connectivity to the zones immediately above and below.

Planning, design and the approval process has commenced. At this stage it is not known exactly how long the approval process will take. The well is to be placed on production to sales until the approvals are gained and the well is ready to stimulate.

As previously advised, testing is occurring from the bottom up. This zone of gas must be adequately assessed before moving up hole to the next zone of interest that exhibited significant gas shows whilst drilling.

No conclusions should be drawn as to the ultimate flow rates or commerciality of this second deepest zone until the stimulation production test and stimulation program and testing are fully completed.

Empyrean CEO Tom Kelly commented, “It is very early days in the testing of the Dempsey 1-15 well, and whilst the bottom two zones have both flowed clean dry gas with very high down hole pressures, both zones exhibit tight permeability. The pressure and potential extent of gas reservoir are significant and every effort is being made to use industry best practices in order to see if we can stimulate the second deepest zone to achieve a much better flow rate before moving up hole to test the next zones of interest.”

This announcement has been reviewed by Empyrean's Technical Director, Mr Frank Brophy BSc (Hons), who has over 50 years experience as a petroleum geologist.


Visit source site

empyreanenergy.com/rns-announcements/

CaliforniaUnited StatesEmpyrean EnergyDempsey Gas WellonshoreSacgascoAIM

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