Talos confirms Bulleit appraisal well as commercial discovery

Houston-based Talos Energy has confirmed its Bulleit appraisal well, which is located in the U.S. Gulf of Mexico, as new commercial discovery. First oil is expected in 2020.

The Bulleit oil appraisal well is located in Green Canyon 21, which is operated by Talos Energy with a 50% interest. Talos’ partners are EnVen Energy Ventures and Otto Energy.

The well was spud in early May, using the Noble Don Taylor drillship. Following initial LWD data later in May, Talos encountered encouraging results compared to the pre-drill estimates.

According to Otto Energy’s statement on Thursday, the evaluation of the upper DTR-10 target in the Bulleit oil appraisal well has confirmed that the well has delivered a commercial outcome.

Otto said that petrophysical evaluation of wireline data had confirmed 202 feet MD/119 feet TVD of oil pay in the DTR-10 sand which encountered superior sand development, reservoir characteristics, and fluid properties relative to pre-drill expectations.

Additionally, multiple oil samples were successfully obtained in the DTR-10 with the Reservoir Description Tool (RDT) which confirmed the presence of high-quality, 31-degree API oil. The oil samples will provide PVT information for the optimization of the subsea development.

The current development plan is a subsea tie-back to the Talos-operated Green Canyon 18 platform approximately 10 miles away with first oil expected in 2020.

Deeper MP sand requires side-track

Since Otto’s previous report on May 20, 2019, the attempt to drill to the deeper objective MP sands has been prevented due to poor hole conditions below the DTR-10 sand. Given the hole conditions, the joint venture has elected to sidetrack above the DTR-10 sands at 9,400 feet MD and plans to repenetrate the DTR-10 sand in a desirable location while attempting to reach the deeper MP target with a fresh well bore. The sidetrack operations do not compromise the ability of the well bore to be used to produce the DTR-10 from this well location as the new penetration point will be within 50 feet of the current intersection of the DTR-10 sands.

The sidetrack operations will take approximately seven days to drill and cement 11-7/8” liner in the new hole section. Drilling from the 11 7/8” liner to TD the well is expected to take a further 15 days.

Otto’s Managing Director, Matthew Allen, commented: “The petrophysical evaluation of the DTR-10 sands have confirmed a new commercial discovery, with excellent rock properties and high quality oil. Upon the conclusion of the drilling operations, the well will be suspended as a future producer, with completion and hook-up operations in 2020.

Testing of the deeper exploration target of the well, the MP sand, is ongoing and will require a sidetrack due to compromised hole conditions. The MP sands provide additional upside to an already very successful drilling program and Otto is very excited about the remaining potential in this well.”