Citation drills ahead at Atzam-4

by on September 27, 2012 4:16 am GMT

The Australia-listed company, formerly known as Clean Global Energy, said the well was drilling ahead at 862.6 metres following a bit change.

Drilling is expected to reach the primary C18 and C19 reservoir targets, at a depth of about 1219.2 metres, in about 10 to 15 days.

Citation stated that oil and gas shows were encountered over a 15.24-metre section in the C14 carbonates, from limestones and vuggy dolomites.

Numerous samples from the interval indicated up to 50% oil saturation, the company said.

In addition, current structural interpretation has indicated that the Atzam-4 well formation tops are being intersected about 91.44 metres higher than the productive Atzam-2 offset well, which lies about 500 metres to the west.

Following the completion of a flow testing programme on Atzam-4, the Atzam-5 well is expected to spud, Citation said.

Atzam-4 is located in Block 1-2005 in the South Peten basin of Guatemala.

Citation is the majority holder of Block 1-2005, as well as Block 6-93, through its 70%-owned subsidiary, Latin American Resources.

The two blocks have been estimated to hold proved plus probable reserves of 2.3 million barrels of oil.