Oilex awards two key contracts on Cambay PSC work programme
(ShareCast News) - Oilex announced the award of two key contracts to Schlumberger and Baker Hughes as part of its 2017 work programme at the Cambay PSC on Friday.
The AIM-traded firm said Schlumberger and Baker Hughes would advise on the optimal well and stimulation design required to achieve potential commercial flow rates.
It holds a significant multi TCF gas resource at the Cambay PSC in the EP-IV tight siltstones that required drilling optimisation and stimulation technologies to achieve commercial flow rates, the board said.
Both Schlumberger and Baker Hughes were considered "global leaders" in the stimulation of tight gas reservoirs by the board, and their selection reportedly followed a competitive tender process.
It said Schlumberger had been appointed to provide geomechanical, fluid sensitivity and proppant embedment testing on the Cambay-23z core along with their recommendations on future technical work.
The data from those tests would be used to carry out the geomechanical modelling required for optimisation studies.
Baker Hughes was appointed to provide detailed geomechanical modelling to assess and recommend optimised drilling and stimulation solutions to maximise production from the EP-IV reservoir.
In addition to providing a functional geomechanical model, Baker Hughes would provide specific recommendations on fluid chemistry and proppant optimisation required for the stimulation of any future wells.
Oilex said the studies had commenced and were anticipated to be completed within approximately three months.
The analysis of the core from Cambay-23Z was described as "essential" in the planning of both future wells and the stimulation process at the Cambay PSC, the board added.
"We are fortunate to be working with world class tight gas experts, Schlumberger and Baker Hughes," said managing director Joe Salomon.
"Their assistance is important to unlocking the commercial success of the large gas resource at the Company's Cambay project."