The Horse Hill oil site in Surrey looks increasingly likely to be one of the UK’s leading onshore producing fields, its leading investor said this afternoon.
UK Oil and Gas plc, announcing results from extended well tests, said flow rates from one section of the Kimmeridge Limestone was higher than that achieved two years ago.
The company said the Kimmeridge Limestone (KL) 3 zone had produced continuous oil rates of 563-771 barrels of oil per day (bopd). This flow was recorded over 24 hours and was above the rate of 464 bopd measured over 7.5 hours during initial tests in 2016, UKOG said.
In a statement to investors, UKOG said four tankers of the KL3 crude had been sent to the Fawley oil refinery in Hampshire. Gas rates reached up to 186,000 cubic feet per day, it added.
UKOG’s chief executive, Stephen Sanderson, said:
“Whilst these are early days in the planned KL3 EWT [Extended Well Test] sequence, with the well still “cleaning-up”, the continuous and sustained high oil rates can only be seen as highly encouraging for the overall EWT objective of establishing the commerciality of the Kimmeridge.
“The Directors consider that these positive KL3 test results now make it increasingly likely that both the Kimmeridge and Portland oil pools are set to make Horse Hill one of the UK’s leading onshore producing oil fields.
“Permanent production at Horse Hill is targeted in 2019.”
The statement said the crude oil from the KL3 extended well test was a light 40-41o API. It flowed continuously to the surface, without the need for a pump, for 50 hours.
It said the test had produced no formation water, unlike the recent well test at Balcombe (see DrillOrDrop report). The water extracted from the well was wholly returned heavy completion brine.
It also suggested that the KL3 and KL4 zones were one single connected oil pool, extending vertically to 358ft.
UKOG said it would test the KL4 zone next. This reported a rate of 901 bopd during a four-hour period in 2016.
10/10/18 Typo corrected to “completion brine”