San Leon reports Durres block contains 2 bln barrels of oil

TIRANA, Feb. 13 – Europe- and North Africa-focused oil and gas group, Dublin-based San Leon estimates its Alban Structure in the Durresi Block offshore Albania, contains prospective resources of approximately 3.2 TCF of gas and 145 mmbbls of gas condensate in the mean case. Estimates for the identified prospects and leads on the Durresi Block indicate it contains prospective resources totalling up to two billion barrels of oil equivalent of un-risked mean case recoverable prospective resources. A reservoir engineering study is currently being undertaken with an objective of an exploration well being targeted in 2014.
Following the acquisition of 840 square kilometres of 3D data on the Duresi Block in 2011, the company initiated a Pre-Stack Depth Migration (PSDM) of the data in March 2012. The PSDM was completed in September 2012.
“This licence has exceptional potential and the continued interest from parties is very encouraging. We have decided to extend the process to accommodate data room attendees. The PSDM and AVO analysis has been an integral part of this process and due to the time consuming nature of this on-going work, the whole process from 3D acquisition to farm-out execution is taking longer than anticipated,” said Executive Chairman, Oisin Fanning, adding that with existing interested parties seeking further data and new entrants requesting access to the data room, the best way to maximise value for our shareholders is to extend the farm-out process.
The Durresi Block is located on the proven Apulian Margin, on trend with a number of Tertiary gas and Mesozoic/Tertiary oil discoveries in the Italian Adriatic to the northwest, while the Patos-Marinza field, which is estimated to contain up to 7.7 billion barrels of OOIP, is located to the south east. The Alban Structure is located in 150 metres water depth with reservoir target range being between 1,500 metres to 2,500 metres.
There are a number of project development options to Italy and Albania and sensitivity analysis confirms robust project economics. Multiple regional pipeline projects are planned for the South East Europe area, including the Trans Adriatic Pipeline, which is planned to run through the Durresi Block.