Parex Resources Inc. ("Parex" or the "Company") (TSX:PXT), a company focused on Colombian oil exploration and production, is pleased to provide an operational update.
Tigana & Tigana-Sur (Non-Operated, Block LLA-34, WI 45%): On December 11, 2013 Parex reported the initial Tigana-1 test rates from the Guadalupe Formation as approximately 1,600 bopd of 15 degrees API oil with a water-cut of 0.8%, prior to shutting the well in for pressure build-up.
The service rig was moved to the Tigana Sur-1 well, located 1,200 meters southwest of Tigana-1, to test the Guadalupe Formation. Tigana Sur-1 commenced production with an Electric Submersible Pump (ESP) on December 13, 2013 and was produced for a period of 144 hours prior to shut in for a 10 day build-up test. A total of 7,800 barrels of oil was recovered during the test at an average rate of 1,300 bopd. On December 30, 2013 the well resumed production and was tested at peak rates in excess of 2,800 bopd with final measured water-cut of 0.5%.
The service rig was then moved back to the Tigana-1 well to test one of five potential zones in the Mirador Formation. Using an ESP, the well was tested for 141 hours and a total of 14,554 barrels of oil was recovered for an average test rate of 2,477 bopd of field measured 20 degrees API oil.
The final measured water-cut in the well was 0.1% prior to shut-in for pressure build-up. The Tigana Sur-1 well is also prospective in four potential zones in the Mirador Formation and we plan to test these zones in 2014.
The drilling rig is currently drilling a delineation well at Tua-6. Following rig release, the rig will return to the Tigana/Tigana Sur pad to drill one or two delineation wells, while waiting on the construction of new pads that will enable additional delineation of the Tigana-1 and Tigana Sur-1 discoveries.
Akira (Operated, Cabrestero Block, WI 100%): The Akira-5 well was drilled 1,300 meters west of the Akira-2 well and 150 feet below the lowest known oil as defined by the Akira-2 well. Parex is currently testing the Akira-5 well. As previously reported, the Akira-6 well was cased and will be completed to coincide with the commissioning of the oil treatment plant in March 2014.
Adalia (Operated, Block LLA-30, WI 100%): The Adalia-3 well was drilled approximately 600 meters west of the Adalia-1 location and encountered pay in the C5 interval. A limited swab test was conducted with the drilling rig on location and the final rate from the well was 250 bopd of 38 API oil at a 1% watercut with a total of 43 barrels of oil recovered during the test. Bottom hole pressure recorders indicated that the swabbing operation resulted in a drawdown of only a few percent and analysis of the pressure recorder data indicates that the well has capability in excess of 1,000 bopd at moderate producing drawdown. An ESP pump is being installed in the well to allow for continuous testing of the well which will be produced into the existing Adalia facilities. The drilling rig will move off of the location after initial testing of Adalia-3 and a service rig will be moved to location to test the Adalia-2 well which was cased for potential C5 Formation pay.
