Project Profile
Value: Undisclosed
Location: Tranquilo Block, in Tierra del Fuego, Chile
Production: 4.0 million cubic feet per day of gas
Area: 92,417 acres (whole block)
Start-up Year: -
Palos Quemados gas field is a discovery made on the Tranquilo Block, in Tierra del Fuego in Chile. GeoPark Holdings Limited made the discovery. GeoPark operates and has a 29% working interest in the Tranquilo Block. The rest of the partners are Pluspetrol (29%), Wintershall (25%) and Methanex (17%) The block covers an area of 92,417 acres.
GeoPark drilled and completed the Palos Quemados 1 well to a total depth of 1,600 metres. A test conducted in the El Salto formation, at approximately 805 metres, resulted in a production rate of 4.0 million cubic feet per day of gas, through a choke of 10 millimetres and with a well head pressure of 1,050 pounds per square inch.
Further production history will be required to determine stabilised flow rates and the extent of the reservoir. The Palos Quemados 1 well is located approximately 6 kilometres from a regional gas pipeline and studies are underway to assess facilities needed to connect the gas to market. The Palos Quemados field is the first gas discovery in the Tranquilo Block by GeoPark and the first hydrocarbon discovery in the Magallanes Fold and Thrust Belt in more than 40 years.
During the fourth quarter of 2014, GeoPark wrote-off two exploration probes on the Tranquilo and Otway blocks, which contributed to a hefty US$23.9 million impairment booked during the period.
Operators:
GeoPark: Operator with 29% interest
Pluspetrol: 29% interest
Wintershall: 25% interest
Methanex: 17% interest