Tullow Oil French Guiana Zaedyus-2 well comes up dry

Commercial hydrocarbons have not been found at the Zaedyus-2 appraisal well in offshore French Guiana after Tullow Oil completed drilling but the group is confident the French Guiana block remains "highly prospective".

Commercial hydrocarbons have not been found at the Zaedyus-2 appraisal well in offshore French Guiana after Tullow Oil completed drilling but the group is confident the French Guiana block remains "highly prospective".

The Zaedyus-2 well, which was drilled 5km up-dip from the Zaedyus 1 well, encountered 85 metres of reservoir quality sands with oil shows but no commercial hydrocarbons.

Tullow Oil pointed out that the reservoirs at this location were not connected with Zaedyus-1. Information obtained from the two wells using 3D seismic data suggests the reservoirs are geologically separated from Zaedyus-1.

As the Zaedyus-2 well is up-dip and disconnected from Zaedyus-1, the Group said the result had "no bearing on the bulk of the undrilled prospectivity which is located downdip of Zaedyus-1"

Angus McCoss, exploration director at Tullow Oil, said: "While the Zaedyus-2 well has not proved an up-dip extension of the Zaedyus discovery towards the apex of the fan, the well has provided very valuable data for the exploration and appraisal strategy of the Cingulata fan system going forward."

"The French Guiana block remains highly prospective, particularly down-dip and still offers excellent potential for multiple exploration successes. These early lessons learned by the joint venture are being incorporated into our ongoing well campaign," he added.

Tullow has a 27.5% stake in the Guyane Maritame licence and is partnered by Shell, which is the operator and holds a 45% stake, Total and Northpet, a company owned 50% by Northern Petroleum PLC and 50% by Wessex Exploration.

The share price fell 5.03% to 1,302 pence by 11.58 GMT.

Recommended

Share tips of the week - 12 August
Share tips

Share tips of the week - 12 August

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
12 Aug 2022
Britain’s ten most-hated shares – w/e 9 August
Stocks and shares

Britain’s ten most-hated shares – w/e 9 August

Rupert Hargreaves looks at Britain's ten most-hated shares, and what short-sellers are looking at now.
10 Aug 2022
Aviva: One for income investors to tuck away
Share tips

Aviva: One for income investors to tuck away

Insurance giant Aviva is one of the highest yielding stocks in the FTSE 100 – and it’s cheap, too, making it a tempting target for income investors. R…
10 Aug 2022
Director dealings w/e 5 August: what company insiders are buying and selling
Stocks and shares

Director dealings w/e 5 August: what company insiders are buying and selling

Directors’ share dealings can often give investors an insight into the sentiment of company insiders. Here are some of the biggest deals by company di…
9 Aug 2022

Most Popular