Business
Costayaco-2 Drilling Commencement - Operational Update - Putumayo Basin - Colombia
CALGARY, and LONDON, Dec. 11 /CNW/ - Solana Resources Limited (TSX-V: SOR; AIM: SORL) is pleased ...
About this update from Kutcho Copper Corp
[{"type":"text","content":"\n\n\n\nCALGARY, and LONDON, Dec. 11 /CNW/ - Solana Resources Limited\n(TSX-V: SOR; AIM: SORL) is pleased to announce that the Costayaco-2 well\nlocated in the Chaza Block, Putumayo Basin, southern Colombia was spudded on\nDecember 6, 2007. Costayaco-2 is the second well in the Costayaco field that\nwas discovered in the second quarter of 2007. The Costayaco-1 discovery well\ntested at a maximum combined rate of 5,906 barrels of oil per day ("bopd")\nfrom four separate formations. Costayaco-2 is 625 metres northeast of\nCostayaco-1 and is expected to penetrate the target structure at the same\ndepth as Costayaco-1. Drilling is anticipated to take 32 days with completion\nand testing operations to follow. Costayaco-3, 965 meters west-southwest of\nCostayaco-1, will be drilled with the same rig in the first quarter of 2008,\nimmediately following Costayaco-2. Costayaco-3 is expected to penetrate the\ntarget structure lower than Costayaco-1 and should significantly increase the\nCompany's understanding of field size.\n\n\nCostayaco-1\n\n\nCostayaco-1 has been flowing from the Caballos formation at approximately\n2,200 bopd (1,000 bopd net of royalty to Solana) with all production trucked\nto the nearby Toroyaco facility. Testing of commingled production from two\nzones (Caballos and Villeta T) using a jet pump is currently under way.\n\n\nSeismic\n\n\nThe acquisition of 70 square kilometres of new 3-D seismic data over the\nCostayaco field and 25 line kilometres of new 2-D data over Chaza block\nexploration leads was completed in early December and the data is currently\nbeing processed. The interpretation results from this data will be used for\nplanning future Costayaco wells and developing exploration plays respectively.\nAdditionally, the Costayaco-2 and Costayaco-3 results, in combination with the\nnew 3-D seismic data, will greatly enhance our understanding of field size and\nallow us to plan field development, including additional drilling, facilities\nand pipelines.\n\n\nInfrastructure\n\n\nA crude oil truck unloading facility at Uchupayaco, and the tie in of\nthis facility into the existing 8 inch line that runs to the Santana Station\nhas been completed. Costayaco production is now being trucked to this\nfacility, but will ultimately flow in a 10 kilometre 8 inch pipeline from the\nCostayaco-1 location to Uchupa...