TAG Oil starts production from Badr multistage well

TAG Oil Ltd. is producing oil from its first multistage unconventional horizontal well in Badr-1 oil field in the Western Desert of Egypt and has started shipping the crude oil for further treating and handling.

BED4-T100 (T100) was drilled in the Abu-Roash “F” (ARF) formation. Drilling included a vertical pilot assessment well for coring, open-hole logging, formation imaging, pressure measurement, and fluid sampling (OGJ Online, June 20, 2023).

Current T100 oil production is 400 bo/d and associated gas-oil ratio is 150 scf/bbl. The well is continuing to unload fracture fluid. Production rates represent about 130 bo/d per 100 m of lateral horizontal length completed in the ARF unconventional tight, carbonate reservoir. This production is better than analogous reservoirs and aligned with performance simulation forecasts.

The newly installed jet pump system is designed to lift 600 b/d of fluid at peak efficiency. Current fluid rates have fluctuated between 400-500 b/d. The company continues to optimize productivity of the T100 well by gradually increasing pump speed and reducing intake pressure to reach the best stabilized production rate.

Tag Oil has now sent crude oil to two third-party receiving terminals in the Western Desert and is engaging in agreements and implementing infrastructure for regular shipments of ARF crude oil in third-quarter 2024. Total oil produced from T100 to date is more than 10,000 bbl.

Based on the results of this discovery well, the company will drill the next ARF well with a full 1,000-m lateral section.

TAG Oil’s current field development plan consists of drilling 20 horizontal wells to be completed with multi-stage fracture stimulation focusing on the east central part of the BED-1 concession area. The area contains 178.3 million bbl P50 volume of oil-initially-in-place (OIIP) and mean volumes of 179.0 million bbl.

On October 2023 TAG Oil signed a petroleum services agreement with Badr Petroleum Co. to develop the ARF unconventional formation in the 107-sq km BED-1 concession in Egypt’s Western Desert.