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Page 1
Background
75W
12N
PA
NA
Lower
Magdalena
Basin
8N
VENEZUELA
ALHUCEMA
E&P CONTRACT
Location
4N
ra
Cordil
le
Centra
l
Ocean
LAS QUINCHAS
ASSOCIATION CONTRACT
BOGOTA
U.M
agd
Bas alena
in
Basin
Pacific
Weste
rn Co
Cauca
rdillera
Basin
Llanos
Foothills
Pacific
The blocks are located within the prolific oil province of the Middle
Magdalena Valley. This province has produced over 2.2 billion barrels
of oil. To the northeast of the Contract areas is the De Mares area
(1.2 billion barrels produced) and to the south lies the VelasquezPalagua fields (450 million barrels produced). Located to the east is
the 1.5 TCF Opon gas field. Close to the western edge of the Las
Quinchas boundary lies the Chicala heavy oil field (12 mmbo) which
is being produced with steam injection.
71W
Caribbean Sea
Llanos Basin
COLOMBIA
Guyana Shield
200km
Play Overview
The Middle Magdalena Basin is preserved between the tectonically complex thrust
belts of the Central and Eastern Cordilleras. As a result of multi-phase faulting
significant trapping potential for hydrocarbons exists in the basin.
CENTRAL CORDILLERA
ARCE FIELD
THRUST BELT
Oil seeps
Oil seeps
Real Fm.
Basement
10 km
Reservoir
T E R T I A R Y
Mesa Gp
Miocene
Real Gp
Schematic Reservoir
Lithology / Source
Fields
Colorado Fm
Mugrosa Fm
Eocene
Esmeraldas
Fm
La Paz Fm
Paleocene
Lisama Fm
Oligocene
M
L
Umir Shale
La Luna Fm
Salto Lst
Simiti Fm
Basal Lst Gp
Tambor Fm
Jurassic
Giron Fm
Triassic
Jordan Fm
R
R
S
S
S
R
R
Basement
Colorado Fm.
Mugrosa Fm.
Subtle normal
fault traps
Formation
Recent/
Pliocene
M E Z O S O I C
Cretaceous
The primary reservoir objective is the Oligocene sand of the Mugrosa and Colorado
formations. These sands are stacked and contain porosities of 18 to 24% with good
permeabilities. The argillaceous content however can produce high water saturations
and the oil gravities can vary from medium to heavy depending on effects of water
flushing and biodegradation due to depth of burial. The Velasquez Field, for example,
has medium gravity oil and produces at rates up to 500 bopd. Similar rates can be
achieved in the heavy oil belt with steam flooding techniques.
Age
Chorro Gp.
La Luna Fm.
Cretaceous
Basement
January 2008
Page 2
ALHUCEMA
E&P CONTRACT
Sardinato
Arce
Arce 4 was drilled in July, 2006. The well was drilled to 3073 feet and intersected
a 300 foot oil section in the Oligocene Mugrosa sands. Testing produced
30.5 bopd of 13 API. A six month steam-flood testing programme was
initiated in 2007 but has proved to be problematic with equipment and
completion failures. Consequently the joint venture is reviewing its
options in the light of these problems and may consider acquiring
more seismic data over the Arce Field to allow more confident
selection of an updip location for a further appraisal well.
Morroa N.
Juanes
Arrinconada
Chicala N.E.
Chicala E.
Chicala
Acacia
Este
LAS QUINCHAS
ASSOCIATION CONTRACT
La Linda
Bukhara
Oil field
Prospect
Baul
Baul E.
Velasquez
10 km
January 2008
Page 3
SE
0.4
Arcacia Este Fault
0.6
0.8
Top Mugrosa
Reservoir Zone
1.0
Tertiary Unconformity
1.2
Basement
Baul
Baul is a highly faulted structure on the southern block boundary.
Baul-3 well encountered oil in the Mugrosa section. Reserves
potential of up to 5 mmbo is estimated in Baul.
Sardinato
ALHUCEMA
E&P CONTRACT
Bukhara
Morroa N.
Juanes
Arrinconada
Chicala N.E.
Chicala E.
Chicala
Alhucema Prospects
This area has a similar geological setting to Las Quinchas.
Regional evidence suggests that the Arce - Chicala heavy oil
trend extends from the south into the western part of Alhucema.
Structures such as Chicala NE, Arrinconada and Juanes have
similar potential to these Tertiary discoveries further south. Also
more deeply buried Cretaceous limestone reservoirs are
anticipated in structures such as Morroa.
Nearly 60kms of 2D seismic were acquired during 2006. Drilling
locations have been evaluated and it is planned for the first well,
Arrinconada-1, to be drilled in 2008.
Acacia
Este
LAS QUINCHAS
ASSOCIATION CONTRACT
La Linda
Bukhara
Oil field
Prospect
Baul
Baul E.
10 km
Velasquez
January 2008