The well began drilling operations in early June 2010 and was drilled to a final total depth of 15,850ft on August 4, 2010. Well logs indicate in excess of 100ft of potential net oil pay in several oil zones including the Mirador, Barco, Gacheta and Une, with the Mirador zone containing the majority of the indicated oil pay.
Canaguay-1 was terminated at a shallower depth than planned as the prospective oil bearing formations were encountered in a structurally higher elevation than originally prognosed.
As part of an agreement to borrow the Nabors Rig 119 from Petrobras, Quetzal agreed to return the rig no later than August 15, 2010. The company has commenced sourcing a suitable service rig and initial testing is expected to begin in approximately 60 days.
Bob Szczuczko, CEO of Quetzal, said: “The successful drilling of this well in Colombia is a major turning point for our company and it is unfortunate that we cannot keep the Nabors rig to conduct our testing program. In the future we need to share drilling rigs of this depth capacity with our neighbors and returning the rig on time should ensure continued cooperation.”
Quetzal has a 25% working interest in the Canaguaro Block and is the operator. Partners in the project are Brownstone Ventures (Barbados) with 25% interest and Condor Exploration with the remaining interest.
