Independent oil and gas company, Chariot Oil and Gas, has failed in its latest bid to find oil offshore Namibia, the company announced on Thursday.
The company drilled in its Central Blocks licence offshore Namibia in which it owns a 65 percent stake, Azinam (20 percent), NAMCOR (10 percent) and Ignitus (5 percent).
“The well has been safely drilled to a total measured depth of 4,165m to test the stacked targets in Prospect S. The well penetrated the anticipated turbidity reservoir sands, in line with the pre-drill prognosis, however the reservoirs were water-bearing,” the company said.
It said data collected will be used to calibrate the existing data sets to understand the implications of the well results on the prospectivity of the surrounding area.
The well, which was drilled by the Ocean Rig Poseidon drillship, will be plugged and abandoned.
“Whilst very disappointing that we have not established a hydrocarbon accumulation in the prospect, we have learnt valuable information about the reservoir potential of these turbidite systems which form the primary targets across many of the prospects within the Central Blocks portfolio. We will further evaluate the extensive data gathered in the well to understand the implications for the Central blocks portfolio,” said Chariot CEO, Larry Bottomley.
Last month, Tullow Oil also announced that its Cormorant-1 exploration well in the PEL-37 licence, offshore Namibia had encountered non-commercial hydrocarbons.
Tullow’s first exploration in Namibia cost US$30 million (N$420 million).
Tullow also has PEL 30, but its spokesperson, George Cazenove, refused to comment on which licence the company will focus on next.
The Cormorant-1 exploration well was drilled to a total depth of 3,855 metres and penetrated the objectives of the Cormorant prospect.
The drilling was also carried out by the Ocean Rig Poseidon drillship at a water depth of 548 metres.
Tullow operates the PEL-37 licence with 35 percent equity and is partnered with ONGC Videsh Ltd (30 percent), Pancontinental Oil & Gas (30 percent) and Paragon (5 percent).
Chariot Oil & Gas Limited spokesperson, Henry Lerwill, said last month that the gross cost of drilling the well was going to be between US$20 million and US$25 million.
Oil companies have invested N$25 billion drilling for oil offshore Namibia since 1990, the Namibia Petroleum Operators Association said in April.
The number of oil exploration licences issued by the Ministry of Mines and Energy has jumped from two in 2007 to 14 in 2018.