Sound focus on Morocco after Badile disappointment

Sound Energy will switch its focus to its ongoing activity in its Sidi Moktar licence onshore Western Morocco following the sub -commercial gas volume discovered at Badile.

Badile was the company’s biggest potential asset in Italy and was targeting 142Bscfe net to Sound in the Conchodon Dolomite reservoir. The well had a geological chance of success of 34% and encountered a 12m gas column in a reservoir that would likely have been able to achieve productivity given that fractures were present (as evidenced by the mud losses experienced while drilling). However water influx into the wellbore together with resistivity data was consistent with a gas/water transition zones resulting in a lower volume than prognosed.

Meanwhile, Sound is continuing its initial operational work in two wells on the Kechoula gas discovery in Sidi Moktar, where it holds a 75% WI. The wells, Koba-1 and Kamar-1 were originally drilled in 2014 by Longreach and on the basis of these well results the Lower Liassic reservoir was independently assessed in 2014 by GLJ petroleum Consultants to contain unrisked mid-case original gas in place of 293 Bscf.

Sound has been on location since May this year and is completing, perforating and testing the Lower Liassic in both wells, with possible additional testing of the Argovian, a sandy dolomite, in Koba-1, and the Dogger in Kamar-1. The original Koba-1 well encountered unexpected abnormal pressures resulting in water influx and probable formation damage as a result of exposure to high mud weights. It will be critical for Sound to get beyond this damaged zone in order to achieve productivity from the reservoir. Kamar-1 was drilled after Koba-1 and did not experience any drilling difficulties, as it was planned in the expectation of potential high pressure. In the past the company has suggested that the work programme may also include a sidetrack. Sound has not elaborated on this, however it could be a way to avoid the reservoir damage in Koba-1 if necessary.

In Eastern Morocco, a CPR is due by the end of the year on the Tendrara licence, where the company internally estimates mid case gas originally in place of 0.63Tcf over the TE-5 horst. The development plan for this is due for FID at the end of 2017. After the company demonstrated good deliverability at the TE-6 and TE-7 locations, the TAGI reservoir at the 12km step out well TE-8 encountered poorer quality reservoir. This is quite typical of the TAGI reservoirs seen in neighbouring Algeria, where reservoir quality can vary significantly within a field. Sound is currently reprocessing existing 3D seismic in an effort to delineate the distribution of good quality reservoir in Tendrara.