Successful spuds set up oil production return in Kwanza Basin onshore Angola

The resumption of crude production in the Kwanza Basin onshore Angola after a three-decade hiatus is a step closer after positive drilling results in the KON-11 block, energy company Corcel announced Dec. 28.

In a statement, the London-listed company said the recently drilled Tobias-14 (TO-14) well confirmed the presence of oil "throughout", mirroring results from the TO-13 well on the same block.

Together, the results effectively confirm that production can be begin once again on the potentially "significant" deposit, Corcel added.

The company holds a 20% stake in the block through its 90% share of Atlas Petroleum Exploration. State-owned oil company Sonangol is the operator with 30%, alongside Brite's Oil and Gas with 25%, Grupo Simples with 20% and Omega Risk Solutions with 5%.

"We've confirmed that the same formations are contiguous between both wells, and data indicates that these zones contain movable oil throughout the reservoir," said Corcel executive chairman Antoine Karam in the update. "Give the historically wide well spacing of the field, there appears to remain substantial areas both undrained and now potentially recharged since the original field was shuttered."

The TO-14 well was drilled to a depth of 781 meters, close to the historic TO-4 well, which previously produced 12,580 b/d of crude.

"Overall, the drilling results for the TO-14 well were positive, with oil shows found throughout the Binga reservoir in alignment with the distribution seen in historic production wells in the Tobias field, confirming both moveable fluids and the ability to reactivate production in the field," Corcel added in the statement.

The partners will proceed to flow test the TO-14 and TO-13 wells, before "designing the early production system."

Modern technology

KON-11, which sits south of the Angolan capital Luanda, was originally developed by Petrofina in the 1960s and 1970s with a total of 12 vertical wells. It reached peak production of 17,500 b/d and a total of 29 million barrels produced but has been inactive since the 1990s.

Sonangol and Corcel said production on the acreage could be boosted through the use of modern drilling technology, including sidetracks and horizonal drilling.

AIM-listed Corcel, which has assets in Angola and Brazil, said the field could contain 65 million barrels of unproduced prospective oil resources.

Production could begin producing in Q2 2024, the company said previously.

Angola is seeking to boost output after years of production declines caused by underinvestment in mature fields and little exploration activity.