Shabeel North Well A Success. Oil Found. The Haters Are Devastated

[Dr_Osman]

RGRYY | 7/27/2012 2:50:00 AM

 

RANGE RESOURCES LTD - Puntland Drilling Update

27 July 2012

 

The Manager

 

Company Announcements

 

Australian Securities Exchange Limited

Level 6, 20 Bridge Street

 

Sydney NSW 2000

 

By e-lodgement

 

DEEPENING OF SHABEEL NORTH WELL

 

Range Resources Limited ("Range" or the "Company") provides the following update on the Shabeel North well currently being drilled in Puntland, Somalia by the Company's Joint Venture Operator, Horn Petroleum Corp. (TSXV: HRN).

 

Further to the recent announcement on the testing of the upper Jesomma sand reservoir which yielded fresh water, the well continued drilling through the entire Jesomma reservoir section and had reached a depth of 2,200 meters. The section contained several additional sands with oil and gas shows and a full set of electrical logs was run to determine if these sands contained potential oil zones which would warrant further testing. The analysis of these logs indicate that the most prospective looking zone in the well was the upper Jesomma sand interval that had already been confirmed by testing to contain fresh water and thus no further testing could be justified.

 

Based on the positive evidence of oil shows and the presence of good quality reservoir in the Jesomma, the partnership has decided to deepen the well in order to evaluate the potential of the Lower Cretaceous and Jurassic sections. The current revised total depth will be approximately 3,400 meters and is expected to take an additional 15 to 20 days to reach that depth. The Jurassic section in the nearby Shabeel well had thin reservoir sands with oil and gas shows, but this section was determined to be not thick enough to warrant testing. These sands are expected to thicken basinward towards Shabeel North. There was also evidence that there may have been faulting in the Shabeel well which could have cut out a significant portion of the basal reservoir section, which is not expected in Shabeel North.

 

Horn Petroleum President and CEO David Grellman stated "While we are obviously disappointed that the Jesomma sands tested wet, the overall results of the two wells drilled during this campaign are quite encouraging in the long term prospects for oil potential of the basin. We have confirmed a working petroleum system, good quality reservoirs and thick impermeable sealing rocks. The two Jesomma structures drilled to date appear, subject to final petrophysical analysis, to have issues with the integrity of the trapping mechanism. We are still hopeful that the lower zones in the Shabeel North well may have favourable trapping geometries against the deeper thick carbonate and anhydrite sections seen in the original Shabeel well."

Yours faithfully

 

 

Peter Landau

 

Executive Director

 

Contacts

 

Range Resources Limited

 

Peter Landau

 

Tel : +61 (8) 9488 5220

 

Em: plandau@rangeresources.com.au

[Dr_Osman]

Where are the haters who said no oil in shabell north? I don't see this at all. The first exploration well Shabeel 1 showed oil but it wasn't the basin that is being targeted. Shabeel North is not even the basin but it is closer to it then shabeel 1 and it has now shown an active petroleum system. Electrical logs were conducted and Shabeel North is such a good indication of oil we will be digging 3400 meters confident.

 

We will find the basin and start production immediately and become a dubai

[Carafaat]

Dr_Osman;853166 wrote:

Where are the haters who said no oil in shabell north? I don't see this at all. The first exploration well Shabeel 1 showed oil but it wasn't the basin that is being targeted. Shabeel North is not even the basin but it is closer to it then shabeel 1 and it has now shown an active petroleum system. Electrical logs were conducted and Shabeel North is such a good indication of oil we will be digging 3400 meters confident.

 

We will find the basin and start production immediately and become a dubai

[Dr_Osman]

carafaat your hiding from the bosaso post, maxaa dhacay ina adeer ma maseer ba ku haayo? Cuqdada iska saar ee confront Bosaso and look at your jungle

[Che -Guevara]

Come down Ditoore, no one is hating.

[Dr_Osman]

che, why havent u posted in the bosaso post. The videos are amazing and so green and lush with proper trees not jungle like trees but lined up picturesque trees with a well laid out city

[GaraadMon]

You do know that they haven't tested any fluids from the first well right? And that it may very well be water as the well is only 3.5 Km away. Then again there could special circumstances surrounding the wells (faulting etc.). I'm hoping for the best as I've invested in HRN, but you're being delusional if you'd call the drill campaign a success.

[Chimera]

[MoonLight1]

Hurreeeeey.. Puntland has been reinstated as a non smoking area.

[Somalia]

They are going to go deeper due to oil shows, this is not success, just good news.

[Dr_Osman]

Its awesome that we are even able to discuss oil drilling and production in puntland

[Homunculus]

Oil in Puntland is a harbinger of good things for all Somalia. South Somalia will have great reservoirs of oil in the Somali basin, and Somaliland shows great promise as an oil producing region.

[Marksman]

I hope each region will put big money in infrastructure. Good roads and pavement. That's not a lot to ask for.