The Israeli partners in the Yam 3 well today announced that the rig drilling the Yam 3 well can handle the high pressures in it and resume drilling to the target strata. The companies, Shemen Oil and Gas Resources Ltd. (TASE: SOG), Zerah Oil And Gas Explorations LP (TASE: ZRAH), and Zmiha Investment House Ltd. (TASE: TZMI), said that the Atwood Becon rig can technically handle pressures of up to 15,000 PSIG (pound-force per square inch gauge - a unit of pressure relative to atmospheric pressure at sea level) while pressure in the borehole is 9,000 PSIG.
"There is no technical or operational restriction preventing execution and completion of the well by this rig, subject to finding a suitable engineering solution to the high pressure," said the companies in a notice to the TASE.
The licensees added, "Since the incident, various activities been carried out in the borehole to deal with the high pressures, in order to continue drilling the well on the basis of the original engineering plan. The well operator believes this will be clarified within a few days. The well operator is also examining engineering alternatives."
Shemen Oil owns 84.2% of the Yam 3 exploratory license, Zerah owns 7.5%, Zmiha owns 3.34%, and well operator, Azerbaijan's Caspian Drilling Company Ltd. owns 5%
The well operator halted drilling of the Yam 3 well, in shallow water 16 kilometers west of Ashdod, last week, due to high pressure in the borehole. The well operator stopped drilling at a depth of 3,551 meters, to consider alternatives for reaching the target strata at 5,200-5,800 meters.
Netherland Sewell & Associates Ltd. (NSAI) gives the Yam 3 license a best estimate of 120 million barrels of oil and 1.8 trillion cubic feet of natural gas in potential resources.
Published by Globes [online], Israel business news - www.globes-online.com - on April 25, 2013
© Copyright of Globes Publisher Itonut (1983) Ltd. 2013