Oil exploration company Petro Matad has started its 2019 Mongolian drilling programme.
The planned activity begins with four wells located in Block XX; this is adjacent to the country’s main oil-producing area, the Toson Uul Graben in the Tamtsag Basin. Drilling will commence in Q2 in selected areas of this block, with the exact schedule to be determined by the finalization of contracts.
The first well in the campaign will be Heron 1, part of the Heron Prospect, identified as the southerly extension of a proven oil basin drilled by PetroChina in Block XIX. The prospective recoverable oil is 25 million barrels in a trap area of 5 square miles.
Once Heron 1 well is completed, personnel and equipment will be moved to the Gazelle Prospect, where Petro Matad expects to recover 13 million barrels of crude. Red Deer Prospect will follow, with recoverable resources set at 48 million barrels of hydrocarbons.
Industry regulator Mineral Resources and Petroleum Authority of Mongolia (MRPAM) approved the proposal for a two rig-strategy, which allows successful operations to be immediately followed by appraisal drilling.