Melbana Energy observes oil in Cuba appraisal

Melbana Energy Ltd. observed oil in the Alameda-2 appraisal well in Block 9 PSC onshore Cuba.

Drilling of Alameda-2 is ahead of plan with good oil shows, including oil in the mud and elevated gas readings within the reservoir interval through the drilled section between 700 and 1,110 m MD (consistent with what was encountered in Alameda 1). Drilling reached 1,597 m MD and it was decided to call total depth for the current hole size.

A third core was successfully taken while drilling through the Unit 1B reservoir. The core will be sent for lab analysis, and results will be integrated with the interpretation of wireline logs and resource definition.

Preparations are now underway to run wireline logs over the section just completed before running and setting the 7-in. casing string. Once this is cemented in place, drilling will continue with a 6 in. hole to the 1,960 m MD planned total depth for the well in Unit 3, the primary target for Alameda 2. One further core will be acquired along the way before wireline logging across the final section of open hole.

Flow testing will then be conducted on Unit 3 before performing cased hole testing of the appropriate shallower units encountered in the 8 ½-in. hole section.

Block 9 PSC covers 2,344 sq km onshore the north coast of Cuba, 140 km east of Havana in a proven hydrocarbon system and along trend with the multi-billion barrel Varadero oil field. It has 15.7 billion bbl estimated oil in place.

Melbana Energy is operator of Block 9 PSC (30%) with Sonangol holding the remaining 70%.