The Broadford Bridge oil exploration well in West Sussex has problems with the cement bonding, UK Oil and Gas announced this afternoon.
In a statement made after the stock market closed, the company said the cement bond on sections of the well were “less than optimal”.
This is the second formal statement made by UKOG recently to explain problems with the well at Broadford Bridge near Billingshurst.
Two months ago, the company confirmed it had permanently abandoned the first well after sections were washed out and it had drilled a sidetrack well, called BB-1Z.
The company had been expected to be testing the flow of oil in the Kimmeridge limestone by now. Today’s news explains why observers have commented that they have not seen any tankers entering and leaving the site.
UKOG said the problem with the bond meant that the wellbore was “not effectively” connected to much of the best open natural fractures. It said:
“The testing to date has not properly evaluated the full flow potential of the overall Kimmeridge reservoir sequence.”
Further fresh cement slurry will now be squeezed through the 7-inch casing to rectify the problems, the company said, in what it described as standard oilfield practice.
UKOG will need to bring back a workover rig to clean the well and carry out the cement squeeze.
The need to drill a the sidetrack at Broadford Bridge during the summer delayed the release of the previous workover rig to Angus Energy’s Lidsey oil site near Bognor.
Stephen Sanderson, executive chairman of UKOG, said:
“Although the forthcoming workover presents additional unplanned work, the reservoir zone’s cement-bond integrity is readily rectifiable by the planned short cement-squeeze phase, a common-place and routine oilfield practice. The well will then be restored to an optimal condition for further testing.
“I am confident that the revised forward testing plan will be able to deliver the results that will help demonstrate BB-1z’s near term commercial viability.”
The statement also said UKOG had recovered “measurable volumes of light oil and solution hydrocarbon gas to surface”.
- UKOG shares opened on Wednesday 11 October down 30%.
Updated 11 October 2017 to include change to share price