Stamper Oil & Gas Corp. (TSXV:STMP) announces new oil findings and test flow results on Block 25 in an update on its operations in Sudan.
As quoted in the press release:
The Rawat C-10 well on Block 25 was drilled resulting in a discovery, proving up the economics of the well. It had impressive flow rates of 2,255 barrels per day (two thousand two hundred fifty five barrels) in two zones. The management believes that this discovery will add to the evaluated reserves previously announced in the on January 23, 2018.
The Company has 35% working interest in the Block 25 prospect. The CAPEX obligation under the Exploration & Production Sharing Agreement has already been fulfilled by the Sudanese operating company.
The development well Rawat C-10 was drilled down to the Galhak sands of campanian age. Results from the drill stem tests (DST) within zones at 1,550m through 1,566m contributed to impressive oil flow rates of 2,065 barrels per day. A second test area in the Galhak sands at intervals tested 1,587m through 1,599m had oil flow rates of 190 barrels per day Correlation between the wells RC5–RC10–RC6 clearly indicates prospective Galhak sands for forthcoming additional potential infill wells. Well logs of all correlating wells indicate additional multiple oil bearing zones to be tested on completion.
The discovery of development well Rawat C-10 and the high oil flow rates gives management more confidence and complements Stamper’s aggressive development strategy put forth in the Oil & Gas reserves and economics evaluation report (“Chapman Reserves Evaluation Report”) for Stamper on the Sudan development prospect under National Instrument 51-101 (“NI 51-101”).
Third party seismic interpretation within central basin shows potential Galhak sands run across the central sub basin at places formation thickness is recorded up to few hundred meters. Earlier test reports of drilled wells in Rawat central sub basin suggest flow rates range from 350 bbl/d to 1,741 bbl/d are significantly lower than new discovery well being reported.
Block 25 prospect is located in the White Nile State in the south eastern portion of the Republic of Sudan, adjacent the border with Republic of South Sudan. The land is arid and relatively flat. The area is sparsely populated and is located west of the White Nile. There is limited road system and agriculture in the area. The nearest major communities are Kosti and Rabak about 150 km north of the project area where there is a railway station, airport and a major sugar refinery. The Government of Sudan is anxious to develop its oil resources and the Company has the full support and assistance of the government.
David Greenway, CEO of Stamper Oil & Gas, commented:
We are anticipating that we will receive an update from Chapman Petroleum Engineering on evaluated reserves shortly. We believe this will support the Company’s execution plan for our Sudan assets and to deliver growth in net asset value per share for our shareholders.