Russian oil company Lukoil has commenced drilling of new production wells at West Qurna-2 field as part of the second development phase.

The company has so far concluded contracts to drill 57 production wells, including 54 wells at Mishrif formation and 3 wells at Yamama formation.

The drilling campaign will ramp up production at West Qurna-2 from the current level of 400 thousand barrels per day to 480 thousand barrels per day in 2020.

To deliver the project Lukoil uses an approach to cluster drilling which envisages erection of two drilling rigs at one well pad.

This approach is new for Iraq and will provide for significant field development speed up and production growth within the shortest time.

Over five hundred Iraqis, residing in proximity to West Qurna-2 field, will be employed for the drilling campaign.

(Source: Lukoil)

By John Lee.

In a statement to the markets this morning, Dragon Oil gave the following update on its operations at Block 9 in Iraq:

In 2014, the partners in Block 9 in Iraq (Dragon Oil 30%) announced the discovery of oil in two formations in the consortium’s first exploration well, Faihaa-1.

“Open and cased hole tests were conducted in the Mishrif and Yamama formations with encouraging results.

“The well has been tested at 5,230 bopd on a 32″/64″choke from the Yamama reservoir. A production completion has been run in the well and the drilling rig has been released.

“The consortium plans to drill two additional appraisal wells in 2H 2015 in order to fast track the development.”

(Source: Dragon Oil)

By John Lee.

In its Interim Management Statement this morning, Dragon Oil gave the following update on its operations at Block 9 in Iraq:

In 2014, the partners in Block 9 in Iraq, announced the discovery of oil in two formations in the consortium’s first exploration well, Faihaa-1 in which Dragon Oil holds 30 percent.

“Open and cased hole tests were conducted in the Mishrif and Yamama formations with encouraging results.

“The well has been completed as a producer from the Yamama formation and the drilling rig has been released.

“The consortium plans to drill two additional appraisal wells in 2015 in order to fast track the development.”

(Source: Dragon Oil)

By John Lee.

In its 2014 Full-Year Results, Dragon Oil gave the following update on its operations in Iraqi Kurdistan:

On 10 September 2014, the partners in Block 9 in Iraq, Dragon Oil (30%) and Kuwait Energy (70% and operator), announced their first oil discovery at the consortium’s first target, the Mishrif formation, reached at 2,700 meters, in the Block 9 exploration well, Faihaa-1.

Preliminary open hole tests of the Faihaa-1 Mishrif formation resulted in flow rates of c. 2,000 bopd and 3,400 bopd of 20º API oil on 32″/64″ and 64″/64″ chokes, respectively.

Later in the year, in December, the partners reported their second oil discovery in the second target, the Yamama formation, reached at 4,000 meters in the same Faihaa-1 exploration well.

Preliminary open hole tests of the Faihaa-1 Yamama formation resulted in oil flow rates of c. 5,000 and 8,000 bopd of 35º API crude oil on 32″/64″ and 64″/64″ chokes, respectively.

The report from an independent petroleum engineer incorporating the results of testing the Mishrif formation indicated contingent 2C oil resources of 198 million barrels and contingent 2C gas resources of 56 Bscf net to Dragon Oil on a working interest basis.

More detailed testing on both formations will be conducted in the cased hole to help evaluate the commerciality of the findings. The consortium’s strategy is to accelerate the evaluation of the Faihaa-1 discovery by drilling two appraisal wells in 2015 in order to fast track the development.

Block 9 is located in the Basra province and covers an area of 866km2. The work commitment on the block within the initial five-year exploration period includes de-mining, seismic acquisition and interpretation and the drilling of the exploration well Faihaa-1.

(Source: Dragon Oil)

By John Lee.

In its Trading Statement this morning, Dragon Oil issued the following update on its operations in Iraqi Kurdistan:

“On 10 September 2014, the partners in Block 9 in Iraq, Dragon Oil (30%) and Kuwait Energy (70% and operator), announced their first oil discovery at the consortium’s first target, the Mishrif formation, reached at 2,700 meters, in the Block 9 exploration well, Faihaa-1. Preliminary open hole tests of the Faihaa-1 Mishrif formation resulted in a flow rate of c. 2,000 bopd and 3,400 bopd of 20 API oil on a 32″/64″ and 64″/64″ chokes, respectively.

“Later in the year, in December, the partners reported their second oil section discovery in the second target, the Yamama formation, reached at 4,000 meters in the same Faihaa-1 exploration well. Preliminary open hole tests of the Faihaa-1 Yamama formation resulted in oil flow rates of c. 5,000 and 8,000 bopd of 35 API crude oil on 32″/64″ and 64″/64″ chokes, respectively.

“The report from an independent petroleum engineer incorporating the results of testing the Mishrif formation indicated contingent 2C oil resources of 198 million barrels and contingent 2C gas resources of 56 Bscf net to Dragon Oil on a working interest basis.

“More detailed testing on both formations will be conducted in the cased hole to help evaluate the commerciality of the findings. The consortium’s strategy is to accelerate the evaluation of the Faihaa-1 discovery by drilling two appraisal wells in 2015 in order to fast track the development.”

(Source: Dragon Oil)

By John Lee.

In its Interim Management Statement on Tuesday, Dragon Oil gave the following update on its Iraqi operations:

On 10 September 2014, the consortium comprised of Kuwait Energy (70% and operator) and Dragon Oil (30%) reported its first oil discovery at Block 9, Iraq.

“The successful discovery was at the consortium’s first target, the Mishrif formation at 2,700 metres, in its Block 9 exploration well, Faihaa-1.

“Preliminary tests of the Faihaa-1 Mishrif formation resulted in a flow rate of circa 2,000 bopd of 20 API oil on 32/64″ choke. The consortium will conduct more detailed testing on Mishrif towards the end of the year.

“The consortium’s strategy is to continue drilling activities, exploring deeper horizons and collecting further data, to evaluate the discovery and to define an appraisal plan. De-mining operations on the block are ongoing.

(Source: Dragon Oil)

(Minefield image via Shutterstock)

By John Lee.

In its Drilling and Production Update issued today (Friday), Dragon Oil has said that it plans more detailed testing at its Mishrif site:

On 10 September 2014, the consortium comprised of Kuwait Energy (70% and operator) and Dragon Oil (30%) reported its first oil discovery at Block 9, Iraq.

“The successful discovery was at the consortium’s first target, the Mishrif formation at 2,700 metres, in its Block 9 exploration well, Faihaa-1.

“Preliminary tests of the Faihaa-1 Mishrif formation resulted in a flow rate of circa 2,000 bopd of 20 API oil on 32/64″ choke.

“The consortium will conduct more detailed testing on Mishrif towards the end of the year.

“The consortium’s strategy is to continue drilling activities, exploring deeper horizons and collecting further data, to evaluate the discovery and to define an appraisal plan.”

(Source: Dragon Oil)