Project Profile
Location: Middle Magdalena Basin
Area: 174,387 gross acres
Depth: 6,700-7,200 feet (2042 - 2195 metres)
The De Mares Block (174,387 gross acres) is located in the Middle Magdalena Basin immediately east of the La Cira-Infantas and Aguas Blancas oil fields. Aguas Blancas is located immediately south of the La Cira-Infantas oil field which has produced approximately 850 mmbbls to date. Parex has committed to fund 100% of a work-over of the Coyote-1 well for an estimated cost of US$3 million to earn a 50% working interest and operatorship of the De Mares Block. The Coyote-1 exploration well was drilled in 2012 based on interpretation of 200km of 2D seismic. It encountered oil bearing sands in the Esmeraldas/La Paz Formation at a depth of approximately 6,700-7,200 feet and tested low rates of 22 API oil. There is currently no oil production from this block and the Coyote-1 well is the only recently drilled well on the block. Subsequent to the Coyote-1 work-over, Parex and Ecopetrol have the option to drill one additional exploration well with Parex paying 100% of the costs. Parex is obligated to fulfil the farm-in agreement by April 2018 however, immediately following regulatory approval the Company expects to undertake the re-completion operation.
Operators:
Parex Resources: Operator with 50% interest
Ecopetrol: 50% interest
Contractors:
Subcontractors: