Invictus (ASX:IVZ) secures rig contract extension for a year in Cabora Bassa Basin - Kalkine Media

Highlights

• Invictus Energy (ASX:IVZ) and Exalo Drilling S.A have agreed upon a contract amendment for Rig 202 to remain in the Cabora Bassa Basin for another 12 months.
• Log analysis indicates multiple potential gas bearing reservoir units.
• According to the results, there is potential of the Upper Angwa formation over a 900m gross interval.
• Preparations to begin for Mukuyu appraisal with Phase 2 drilling and evaluation.

Independent upstream oil & gas exploration company, Invictus Energy Limited (ASX:IVZ) and Exalo Drilling S.A have agreed upon a contract amendment for Rig 202 to be there at the Cabora Bassa Basin in Zimbabwe for a year for drilling of future wells at the site.

The Company is drilling the Mukuyu-1 well in its 80%-owned SG 4571 licence in the Cabora Bassa Basin. According to the latest announcement, the Company has received a very good result from the Mukuyu-1 and sidetrack well with numerous gas zones and potentially liquid hydrocarbon bearing intervals interpreted from wireline logs and drilling.

As per Invictus, there is a proven hydrocarbon system in the Cabora Bassa Basin as evidenced from significantly elevated gas shows and fluorescence during drilling and confirmed the presence of rich source rock, seal, reservoir, trap, and timing.

An insight into ongoing operations

Following recent developments, Invictus rigged up the drill string to perform fishing operations to retrieve the wireline formation testing tool.

To begin installation of the side entry sub, the drill string with the overshot was run in hole to the casing shoe allowing wireline operations through drill pipe without interference from the rig’s top drive system. The side entry sub has been installed successfully and fishing operations are underway. Also, the wireline cable has been freed and the tool was engaged with the overshot.

As per wireline log interpretation, porosity of up to 15% and gas saturation of up to 90% has been calculated in some potential pay zones. However, this needs to be graded with fluid and core data and subsequently subject to error.

Management commentary

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Bottom line

Invictus considers that the drilling campaign and Mukuyu-1 and sidetrack well have been a tremendous success. It believes that the results achieved so far have strengthened its position in the industry given the petroleum potential of the basin has been proven. Overall, the Company holds a robust portfolio of multiple prospects and leads that have been substantially de-risked in addition to Mukuyu.

IVZ shares were trading at AU$0.145 in the early hours of 03 January 2023.