Australia-based Karoon Gas said Monday that its Echidna-1 well in Brazil’s offshore Santos Basin has discovered an oil pay zone.
The well, located in Block S-M-1102, intersected an oil bearing section in Paleocene sands.
The mudlog showed elevated gas readings and oil florescence in sandstones, Karoon said.
Wireline logging will be conducted to determine the extent of the gross and net columns at the find.
“The presence of a Paleocence oil column needs to be confirmed with data from the planned wireline logging program to be undertaken immediately,”Karoon said.
The wireline program will involve taking pressure data, reservoir fluids sampling and petrophysical logging.
Karoon said that additional intervals of elevated mudlog gas and oil florescence have been observed in the Maastrichtian section and will be further evaluated during the wireline logging program.
The Echidna-1 well was spud on March 31 and reached its planned total depth of 7,805 feet on April 12
Karoon holds 65 percent operating interest in offshore block S-M-11-2.
Ontario-based Pacific Rubiales Energy holds the remaining 35 percent working interest.