Buccaneer Energy Limited (ASX:BCC) (PINK:BCGYF) is pleased to provide the following update on the progress of the 100% owned Kenai Loop # 4 well:
11.00am (Sydney) 10 October 2012 / 4.00pm (Anchorage) 9 October 2012.
8,425' Measured Depth ("MD")
Completed intermediary casing and cementing operations to 8,425' MD, base of the Beluga formation.
Conducted installations of additional 10,000psi blow-out protector ("BOP") equipment, currently rigging up and testing BOP to drill ahead to Total Depth ("TD") of 13,000' Total Vertical Depth ("TVD").
Continue to evaluate wire line logging results to 8,425' MD.
Log while drilling ("LWD") will be employed from the intermediary casing point (8,425' MD) to TD.
The primary target in the Kenai Loop # 4 well are 7 stacked potential pay sands in the Tyonek formation, the well will have a bottom-hole location approximately 2,000' north-west of the successful Kenai Loop # 1 well. All of the 7 stacked potential pay sands have been identified and mapped using data from the recent 3D seismic interpretation and all have hydrocarbon indicators.
The targeted pay sands within the Tyonek include the 9,700' and 10,000' sands that are currently producing 5.0 million cubic feet per day ("MMCFD") from the Kenai Loop # 1 well on a 5/64" choke. This gas is being sold to a local utility at an annual weighted price of US6.24 / MCF.
View the full Buccaneer Energy announcement at the link below: