Chevron Canada Resources Ltd. has disclosed a significant oil and gas discovery near Simonette oil field, 50 miles southeast of Grande Prairie, Aa.
Its wildcat at 7-30-64-26w5 flowed at rates of about 2,500 b/d of 45 gravity oil with 1.8 Mcf/bbl of sorption gas, with calculated maximum deliverability of about 5,000 b/d, through restricted choke from Devonian Swan Hills at about 12,464 ft. The gas contained less than 1% hydrogen sulfide.
The discovery well, which cut about 95 ft of net pay, bottomed in Cambrian at about 12,792 ft. Chevron holds a 75% interest in the well, Shell Canada Ltd. 25%.
The disclosure of data from the well, drilled in August-September 1993, came just before the 1 year confidentiality period expires in mid-September. The disclosure late last month capped a year of speculation, a flurry of leasing that began in 1990, and a string of wells in recent months in the Simonette area of West Central Alberta.
DRILLING UPDATE
Delineation drilling to assess field reserves northwest of Simonette will continue the next 6-8 months. In addition, Chevron and Shell have completed a 145 sq km 3D seismic survey of the area.
To date, five wells have been drilled to follow up on the strike, one of which is currently being tested at 13-17-64-26w5, according to Nickle's Daily Oil Bulletin, a Calgary publication. Wells at 15-23-64-27w5 and 16-2-64-26w5 are suspended, and wells at 12-16-64-26w5 and 13-9-64-26w5 were completed as oil wells. The well at 13-9-64-26w5, listed as a new pool wildcat, was drilled to 12,762 ft. The other oil well is listed as a development location.
Two wells are drilling ahead at 5-19-64-27w5 and 11-3-64-26w5, Nickle's reported.
Average production of the discovery well is expected to be 1,200 b/d, with the well currently producing at reduced rates under provincial government allowables. Those limits will be lifted upon approval of a development plan.
Chevron acquired rights to about 12,000 acres in the area while data on the discovery were tight. The rig was released Sept. 17, 1993.
Other companies have joined the Simonette area action.
Gulf Canada Resources earlier this year drilled a dry wildcat at 7-11-65-27w5, Nickle's reported.
Gulf's second effort in the northern portion of the play area was last reported standing cased at 12,992 ft to the southeast at 9-25-64-27w5. Directly offsetting Chevron's new pool wildcat at 15-23-64-27w5 is a third Gulf well at 2-26-65-27w5.
Shell is drilling a well at 3-25-64-1w6 to a projected 9,020 ft, targeting Belloy. And it has two wells probing Gilwood at 15,878 ft at 10-34-64-2w6 and 13,861 ft at 11-12-64-3w6.
Nickle's reported that leasing in townships 63-65 from range 26w5 to 1w6 has been dominated by brokers since early 1992. A total of $13.13 million has been spent to acquire about 91,732 acres.
Most of the Chevron operated wells are on licenses acquired with Shell in 199091. Gulf's wells are on a license purchased in 1990 by Seaton-Jordan & Associates Ltd.
Suncor Inc. in 1992 paid Shell $30 million (Canadian) for Shell producing properties in the Simonette area (OGJ, Apr. 27, 1992, p. 30).
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