AWE’s Al Meashar-2 to test oil shows

AWE Limited reports that as at 0600 hours Yemen time on December 29, 2010 (-8 hours EDST) the Al Meashar-2 appraisal well in Block 7, Yemen, had reached a total measured depth of 3,750 metres and was preparing to run a drill stem test. During the previous week wireline logging was completed over the basement interval that had oil shows over the interval 3,200 to 3,750 metres. Progress for the week was 290 metres.
Al Meashar-2 is the first appraisal well of the Al Meashar-1 oil discovery, which was drilled in early 2010. The discovery encountered oil in the fracture basement; however oil flow rates were limited due to potential reservoir damage which was incurred while drilling.
The appraisal well was drilled from the existing Al Meashar-1 well pad and deviated parallel to the discovery well. The well is planned to be drilled using Managed Pressure Drilling, which is designed to minimise damage from drilling fluids in the reservoir.
The participants in Block 7 are:
ARC Energy Holdings Ltd* 21.25%
Oil Search (ROY) Ltd (Operator) 34.00%
Kuwait Foreign Petroleum Exploration Co. (Aden) Ltd 21.25%
Yemen General Corporation for Oil and Gas 15.00%
Mitsui E & P Middle East B.V 8.50%
Source: Press release