P2497 Block 20/4c (Zermatt) – JOG 100% Working Interest

20_4c

The licence is classed as an Initial Term, Phase A with a two (2) year duration to perform technical studies to evaluate further the exploration potential in Block 20/4c. The licence working obligations include a Drill or Drop obligation to be elected after two (2) years.

Zermatt prospect

The Zermatt J64 prospect concept is a combined stratigraphic-structural trap, involving termination of an Upper Jurassic isopach thick on to the flanks of the surrounding highs. A J63 to J64 reservoir interval is proposed, with the top, lateral and base seals provided by claystones of the Kimmeridge Clay Formation. Source intervals are organic rich claystone of the Kimmeridge Clay and Heather formations.

Chamonix prospect

The Chamonix J62 prospect concept is a combined stratigraphic-structural trap, involving termination of an Upper Jurassic isopach thick on to the flanks of the surrounding highs. A J62 reservoir interval is proposed, with the top, lateral and base seal by claystones of the Upper Jurassic Kimmeridge Clay Formation (KCF). Source intervals are organic rich claystone of the Kimmeridge Clay and Heather formations.

Chamonix underlies the Zermatt prospect hence both prospects can be drilled with one exploration well. Combined mean recoverable prospective resource estimates for the two prospects are 64MMboe.

Courchevel lead

Courchevel is a lead mapped at Late Jurassic, Sgiath Formation level. The lead is a down faulted trap, with a potential stratigraphic pinch-out towards north in the maximum case. A shallow marine Sgiath Formation sandstone reservoir is proposed, with the top, lateral and base seal provided by claystones of the Upper Jurassic Heather Formation. Source intervals are organic rich claystone of the Upper Jurassic Kimmeridge Claystone Formation and Heather Formation.

On the 14th December 2020 JOG advised it had undertaken and completed a comprehensive subsurface evaluation across all of the Company’s licensed acreage including Licence P2497. This evaluation has validated existing prospectivity and, as a consequence, the Zermatt prospect has been matured to drillable status. In the success case, upside potential to Zermatt could be tested by an initial exploration well deepened to test the underlying Chamonix prospect which is analogous to Zermatt.

Subject to funding, a drilling campaign is planned from 2022. In the success case, it is envisaged that development would be made via short distance, subsea tiebacks to the planned GBA facility.

Zermatt

The Zermatt prospect is located in the Ettrick sub-Basin to the north east of the Polecat (well 20/04a-8) and Marten (well 20/03c-4) oil discoveries and is identified as an amplitude anomaly mapped at Upper Jurassic, Kimmeridge Clay Formation (J64) Burns Sandstone Member stratigraphic level.

The trapping mechanism is purely stratigraphic in nature with the Kimmeridge Clay providing the top sea, the bottom seal and lateral seal. The reservoir is thought to have been eroded from the structural highs located to the west (Buzzard) and north west (Halibut Horst) of the prospect.

Rock physics analysis has been able to shed light on the possible sandstone areal extent. Using fluid replacement modelling from a Polecat well (well 20/04a-8), and synthetic forward modelling, it was concluded that the sandstone is seismically a soft response compared to the overlying shale, while the fluid response is uncertain. The attribute extractions using this conclusion resulted in delineating a meandering feature attributed to the sand fairway sourcing from west and north west of the prospect.

The principal risk associated with Zermatt is believed to be the trap definition and the presence of effective reservoir. Given the proximity to the H2S rich Polecat and Marten oil discoveries it is quite likely that the Zermatt prospect will contain H2S.

A well drilled to test the Zermatt prospect can, in the success case, be deepened to test the Chamonix prospect, with a similar amplitude response to Zermatt, mapped at J63 stratigraphic level.