San Leon discovers frackable rock in Polish well

Poland-focused San Leon Energy has uncovered rock formations at a Polish exploration well that are akin to the bounteous Bakken Formation in North America.

Poland-focused San Leon Energy has uncovered rock formations at a Polish exploration well that are akin to the bounteous Bakken Formation in North America.

A successful stimulation test on the Czaslaw-1 well in the Nowa Sol licence in Poland indicated that the rock formation would yield hydrocarbons from 'fracking' drill techniques.

Advertisement - Article continues below

Aim-listed San Leon's Executive Chairman Oisin Fanning said: "Results of these tests have been as good as we could have expected and go a long way to building what could be regarded as a Bakken-type resource play.

"There is a huge amount of oil in place in the Main Dolomite and we are committed to unlocking both the conventional and unconventional potential of the petroleum system."

During a four-day stimulation test, small amounts of hydrocarbon gas were produced and flared along with burnt acid and small amounts of oil.

The company said that analysis of the downhole pressure measurements showed "satisfactory" reservoir pressure of 129 bar, with "pressure transient analysis indicating encouraging system permeability of 0.01-0.1 measured depth, which is in line with that of the Bakken Formation in North America".

Fanning said: "Successful further stimulation of this well, and the drilling and stimulation of a number of appraisal wells, would be required to establish this as a developable resource, but any such success would have a material positive impact upon both San Leon and Poland."

San Leon's Polish team are now working on a plan for the well with US stimulation experts, any further operations expected this summer, subject to permissions and equipment availability.

Shares in San Leon Energy were up 2.1% to 7.3p at 11:45 on Thursday.




Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

Industrial metals

Governments’ money-printing mania bodes well for base metals

Money is being printed like there is no tomorrow. Much of it will be used to pay for infrastructure projects – and that will be good for metals, says …
27 May 2020
Investment strategy

Are you a permabear? Three red flags to watch out for

Contrarian investors are often seen as bearish because the market tends to go up over time. But if that bearishness goes too deep, you risk seriously …
26 May 2020
EU Economy

Here’s why investors should care about the EU’s plan to tackle Covid-19

The EU's €750bn rescue package makes a break-up of the eurozone much less likely. John Stepek explains why the scheme is such a big deal, and what it …
28 May 2020