Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Melbana Energy (MAY) completes its resource assessment on the Alameda-1 exploration well in its Block 9 Production Sharing Contract (Block 9 PSC) area, onshore Cuba
  • The assessment was completed by independent reserves and resources certifier McDaniel & Associates whom assessed the second of three oil reservoirs encountered by the exploration well
  • It was estimated that the Alameda reservoir contains 2.3 billion barrels of oil originally in place (OOIP) and a prospective resource of 148 million barrels of oil
  • Therefore, the total resource estimate for the combined Amistad and Alameda structures is 4.8 billion barrels of OOIP and 267 million barrels of prospective resource
  • Shares in Melbana are up 14.3 per cent, trading at 12 cents as of 11:01 am AEST

Melbana Energy has completed its resource assessment on the Alameda-1 exploration well in its Block 9 Production Sharing Contract (Block 9 PSC) area, onshore Cuba.

The assessment was completed by independent reserves and resources certifier McDaniel & Associates whom assessed the second of three oil reservoirs encountered by the exploration well.

It was estimated that the Alameda reservoir contains 2.3 billion barrels of oil originally in place (OOIP) and a prospective resource of 148 million barrels of oil.

The assessor said that this is a three-fold increase on the combined pre-drill assessment of prospective resource for the N (now the Alameda structure) and Piedra structures of 50 million barrels of oil.

Earlier this year, McDaniel estimated that the three oil bearing units encountered in the upper thrust sheet (collectively referred to as Amistad) contained a combined 2.5 billion barrels of OOIP and a prospective resource of 119 million barrels of oil.

Therefore, the total resource estimate for the combined Amistad and Alameda structures is 4.8 billion barrels of OOIP and 267 million barrels of prospective resource.

McDaniel’s resource assessment of the third and final structure encountered whilst drilling Alameda-1, the Marti structure, has not been received yet and was not covered in the company’s ASX announcement.

Executive Chairman Andrew Purcell commented that the assessment is a pleasing and very material addition to the considerable prospective resource estimate previously announced for the Amistad structure in the upper sheet.

“It reminds us all of the potential scale of the reservoirs that were encountered whilst drilling the Alameda-1 exploration well – a total volume of estimated recoverable resource that we expect will increase further again once the estimate for the final structure, Marti, is available to us,” he said.

The company implored its shareholders that all of the volumes quoted are on a gross unrisked mean estimate basis and were calculated based on Melbana’s 30 per cent participating interest in Block 9 PSC.

Shares in Melbana were up 14.3 per cent, trading at 12 cents as of 11:01 am AEST.

MAY by the numbers
More From The Market Herald
The Market Herald Video

" Woomera Mining (ASX:WML) appoints Jason Livingstone as new Managing Director

Mineral explorer Woomera Mining (ASX:WML) has appointed Jason Livingstone as its new Managing Director, effective from…
The Market Herald Video

" Security Matters (ASX:SMX) enters into $2m standby equity facility

Security Matters (ASX:SMX) has entered into a standby equity deed with Evolution Capital.
The Market Herald Video

" Ora Gold (ASX:OAU) obtains unsecured $500k loan facility

Ora Gold (ASX:OAU) has obtained an unsecured $500,000 loan facility from Ioma to assist with general…
Baby Bunting (ASX:BBN) - Chair and Non Executive Director, Melanie Wilson

" Baby Bunting (ASX:BBN) surpasses $500m sales for the first time

Baby goods retailer Baby Bunting (ASX:BBN) surpasses half a billion dollars in sales for the first…