Source - RNS
RNS Number : 5003O
Echo Energy PLC
18 May 2018
 

18 May 2018

 

Echo Energy plc

("Echo" or the "Company")

 

Gas Discovery at ELM-1004

 

Echo Energy plc, the Latin American focused upstream oil and gas company, is pleased to announce the succesful completion of drilling of the ELM-1004 exploration well at the Company's Fracción C asset, onshore Argentina and a gas discovery for the first well in its four well exploration campaign.

 

The well has been drilled into the Lower Tobífera formation to a Total Measured Depth of 1,760 metres. The well encountered over 40 metres of gas shows through the Upper Tobífera with gas peaks of over 195,000 ppm and a full distribution of C1 to C5 hydrocarbons, as measured against referenced background gas levels of less than 10,000 ppm outside of the zone.

 

Pre-drill resources for the ELM-1004 well were calculated on the basis of net pay of 7-11-15m (P90-P50-P10). The determination of net pay from wireline log analysis with the complex mineralogy of the volcanic reservoir is, as normal in the basin, complicated, however initial interpretation computes around 14.5m of net pay within the section, that being towards the upper end of the range and encouraging from a volumetric and value perspective.

 

A production casing string is currently being run in anticipation of the arrival of the completion rig, scheduled for June 2018, at which point the well will be tested to determine deliverability of the reservoir.

 

Following completion of this phase of the operation on the ELM-1004, the rig will move directly to the second prospect in our four well exploration progamme, Los Alamos x-1 (ELA-1).

 

Fiona MacAulay, Chief Executive Officer of Echo, commented:

 

"We are very excited to have confirmed the presence of a substantial gas column in this first well of our four well exploration programme and look forward to the arrival of the completion rig and subsequent testing in June. Meanwhile our attention turns to ELA-1 where we expect to spud the well within the next few days."

 

For further information please contact:

Echo Energy plc

Fiona MacAulay, CEO

Will Holland, CFO

 

 

[email protected]

[email protected]

Smith & Williamson (Nominated Adviser)

Azhic Basirov

David Jones

Ben Jeynes

 

+44 (0)20 7131 4000

Hannam & Partners (Corporate Broker)

Giles Fitzpatrick

Andrew Chubb

Ernest Bell

 

+44 (0)20 7907 8500

 

Vigo Communications (PR Adviser)

Patrick d'Ancona

Chris McMahon

Kate Rogucheva

+44 (0)20 7830 9700

 

The information contained in this announcement has been reviewed by Echo Energy's Vice President, Exploration, Dr. Julian Bessa Msc, DPhil, a Fellow of the Geological Society and a Member of the Petroleum Exploration Society of Great Britain. The Company's internal estimates are made in accordance with SPE standards.

 

 

Bcf means billion cubic feet of natural gas. Ppm means parts per million.

 

The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
DRLARMTTMBMBTJP

Related Charts

Echo Energy (ECHO)

-2.25p (-15.52%)
delayed 09:24AM