Reconnaissance Energy Africa Ltd (TSX-V:RECO, OTCQX:RECAF, FRA:0XD) said flow test samples from its Kavango West 1X Sidetrack discovery well in Namibia indicate thermogenic gas with liquid potential.
Samples from the Huttenberg and Elandshoek formations show maturities ranging from late oil to early gas.
The upcoming horizontal test is intended to establish sustained flow rates, from which additional samples will be taken to determine liquid composition and liquid yields from the gas stream.
The Jarvie-1 rig is back in operation at the well, starting with casing removal from the vertical wellbore ahead of setting a whipstock at about 2,500 metres, with equipment on site or in transit, rig maintenance finished and all permits filed.
Pending approvals, horizontal drilling could start in October and take about a month, targeting a wellbore of up to 1,000 metres to intersect natural fractures across the Kavango structure, with an open hole completion to maximize flow rate and flow testing to follow immediately, before acid wash.
"Measuring a flow rate and determining liquids content at KW1X are essential for moving towards a Final Investment Decision at the Kavango discovery," CEO Brian Reinsborough said.
In Angola, preliminary results from soil sampling on the company's MOU acreage suggest a working petroleum system that is thermogenic with liquid content potential, similar to the Namibian side of the play. Micro seeps at surface point to vertical migration from deep hydrocarbon accumulations. The next phase is a 2D seismic program, possibly in 2027, to outline the structural trend of the Damara Fold Belt.
Offshore Gabon, 3D seismic reprocessing at Ngulu should wrap up before year end using Full Waveform Inversion to help image oil-bearing reservoirs in the Loba field and the concession's salt-related exploration inventory, while a resource report is commissioned, appraisal well locations for the Loba discovery are chosen and well planning for an anticipated spud is underway.
ReconAfrica shares had added over 9% in Toronto on Monday afternoon.
