SDX announces pair of discoveries in Morocco
London-listed SDX has made a pair of gas discoveries in Morocco following a two-well drilling campaign, the company said in a stock filing on November 14.
The SAK-1 well has already been hooked up to the company's infrastructure, with tests indicating in-place gas "on the higher side of the pre-drill P50 estimate of 0.44bn ft3," SDX said. The well opens up a new production area to the northwest of the company's main well base, it said, noting that several follow-on prospects had been identified within the SAK area.
The KSR-20 well also struck gas and is now undergoing a pressure build-up test. It will be put on stream as soon as permitting and tie-in work is completed.
On the back of these successes, SDX said it had identified several more drillable prospects and would expand its well campaign next year. So far it has identified more than 70 prospects across its Moroccan acreage that is covered by 3D seismic surveying, 25 of which have been high-graded and contain 20bn ft3 in total P50 unrisked resources.
"We are pleased with the results of both the SAK-1 and KSR-20 wells. In addition to opening a new play fairway with numerous follow-on drillable targets, the wells will contribute immediately to production and revenue growth in an area where demand and gas pricing is robust," company CEO Mark Reid said in a statement. "Morocco remains a key area of potential growth for SDX and we look forward to planning further drilling in 2023."