PanAfrican Energy Tanzania has mapped and evaluated the Songo Songo West (SSW) exploration prospect adjacent to the Songo Songo Field. Timing for the drilling of Songo Songo West has been stretched out until unresolved financial issues in Tanzania can be satisfactorily addressed.
McDaniel & Associates conducted an independent assessment of natural gas resources in the SSW prospect in September 2008. The prospect is interpreted by McDaniel to be low risk with a 52% chance of success in the Neocomian and 35% in the Cenomanian. McDaniel assessed the PS0, unrisked recoverable resources in SSW at 450 Bcf and the mean, unrisked recoverable resources at 551 Bcf. Management’s unrisked mean GIIP for the Songo Songo West prospect of 810 Bcf compares with the McDaniel combined Neocomian and Cenomanian unrisked mean GIIP of 740 Bcf.The prospect is located in water depths of approximately 18 – 35 meters and will require a jack-up drilling rig. It is approximately 2.5 kilometres west of the main field and is mapped on seismic as having closure on an elongate north-south oriented tilted fault block trap. As with the Songo Songo main field, two reservoirs are envisaged to be present within the SSW prospect – the Neocomian and the Cenomanian, although the primary exploration potential lies within the Neocomian interval. SSW lies entirely within the Company’s Discovery Blocks.
Songo Songo West represents a major potential source of additional new reserves. PanAfrican is planning to drill an initial exploration well towards the south of the SSW structure. If it is successful and can flow at commercial rates, it is likely to be tied back to the existing processing plant and flowed for a period of time to test the long term deliverability of the gas. Once deliverability is confirmed, PanAfrican may drill a second well into the northern extent of the mapped structure to get a better understanding of the aerial extent of the reservoir and the recoverable reserves.