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Buru Energy spuds Rafael Shallow 1, first Canning Basin well since 2021

Published 09/10/2024, 02:35 pm
Updated 09/10/2024, 03:00 pm
© Reuters.  Buru Energy spuds Rafael Shallow 1, first Canning Basin well since 2021

Buru Energy Ltd (ASX:BRU, OTC:BRNGF), alongside its Rafael Shallow joint venture partners Twinsouth Holdings and Jingie Investments, today spudded the Rafael Shallow 1 well in EP 428 in Western Australia’s onshore Canning Basin.

The well is targeting reservoirs in the Poole Sandstones and Grant Formation at a measured depth of 750 metres to 1,250 metres using the Silver City Drilling Rig 24. Drilling is expected to conclude later this month.

Rafael Shallow illustrative seismic section.

Rafael Shallow structural form map.

The Poole and Grant reservoirs are clastic (sandstone) reservoirs, similar to the previously discovered shallow oil pools on the Lennard Shelf in the vicinity of the legacy Blina Oilfield.

Buru recently secured $3 million in funding for the Rafael Shallow 1 exploration well, entering into farm-in transactions with two entities linked to long-term shareholders.

Read more: Buru Energy secures new funding for Rafael Shallow 1 well and completes successful capital raise

Proven conventional onshore resource

Buru CEO Thomas Nador said: “This will be the first well drilled in the Canning Basin since 2021, the year in which Buru discovered Rafael (deep) — the first proven significant conventional onshore gas and condensate resource in Western Australia north of Karratha.

“An oil discovery at the Rafael Shallow 1 prospect could provide a rapid development path that would add substantial value for the Rafael Shallow joint venture parties.

“In addition, a discovery could provide an alternative funding path for Buru’s 100% owned Rafael (deep) gas and condensate project, which is the company’s strategic development priority.

“I thank our new joint venture partners in the Rafael Shallow well, Buru shareholders, the Traditional Owners of the country on which Rafael Shallow is being drilled, our dedicated staff and Silver City Drilling for their collective effort and support in getting us to this point. I wish the team success for a safe and efficient program.”

Buru’s internal assessment of the Rafael Shallow 1 prospective gross unrisked resource, relating to the estimated quantities of petroleum that may potentially be recovered from future development, are:

The prospective resources are in exploration permit EP 428, which is held 75% by Buru entities, 15% by Twinsouth and 10% by Jingie.

Read more on Proactive Investors AU

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