Touchstone Exploration has announced that the Cascadura Deep-1 well encountered significant hydrocarbon accumulations based on drilling and wireline log data. The company said that wireline logs indicated natural gas pay totaling approximately 1,315 net feet in four unique thrust sheets in the Herrera sands from a depth of 5,455 feet to total depth.
The Cascadura Deep-1 exploration well was spud on October 27, 2020 using Well Services Petroleum Ltd. Rig #80.
Paul R. Baay, President and Chief Executive Officer said, "I am pleased that the Ortoire block continues to outperform our expectations. The Cascadura Deep-1 well is the best well we have drilled on the Ortoire property to date and it has provided three key pieces of information, primarily that the Cascadura field has numerous targets with each one of the thrust sheets providing its own unique opportunity. It has also shown that the system is hydrocarbon charged and that in time we will require more drilling horsepower to evaluate the deeper zones. We now have a unique opportunity to design a development drilling program in the area and expand our exploration program while we complete and tie-in the existing Cascadura and Chinook wells. The time required to undertake this will allow us to secure additional equipment and submit a full field development plan to proceed with a continual drilling program. As we move into 2021, Touchstone is entering a new phase that will see rapid production growth along with a balanced portfolio of development and exploration opportunities."
James Shipka, Chief Operating Officer, said, "The Cascadura structure continues to exceed our expectations, and the Cascadura Deep-1 exploration well confirms that this is a unique structure with tremendous potential. Although we were unable to drill to our planned total depth, the information gathered while drilling and the hydrocarbon accumulations encountered are truly exceptional. Not only did we encounter a massive section of turbidite deposits nearly 3,000 feet thick, we established the intermediate thrust sheet as a viable reservoir and expanded the known boundaries of the sands tested in the Cascadura-1ST1 well. In the intermediate section, wireline data identified in excess of 300 feet of prospective pay in two thrust sheets, one of which has not been previously encountered in the area. While those 308 feet of sand met the threshold for pay based on log data, wellsite sampling saw hydrocarbon indicators throughout the entire section which we aim to gain a better understanding of through our production testing program. In the sands previously evaluated in Cascadura-1ST1, we were able to not only confirm the continuity of the structure, we were able to identify the base of the sand package at nearly 200 feet below the total depth of the original well. Finally, the information obtained at Cascadura Deep-1 provides great insight into what was observed at the Chinook-1 well which the Company expects to commence production testing later this month."
The Cascadura Deep-1 well is the fourth of the amended five well exploration commitment under Touchstone’s Ortoire Exploration and Production Licence. The Company has an 80% working interest in the licence but is responsible for 100% of the drilling, completion and testing costs associated with the initial five exploration wells. Heritage Petroleum Company Limited holds the remaining 20% working interest. Touchstone had no reserves booked for the Cascadura Deep-1 well in the Company’s December 31, 2019 independent reserves report. Further testing is required to determine the economic viability and potential of the well, and the Company plans to commence completion and production testing operations during the first quarter of 2021