Talos Energy Announces the Commencement of US $250 Million Zama Appraisal Program
Talos Energy LLC (TEL), founded in 2012 by Timothy Duncan is an oil and gas company with an equity raise from Riverstone holdings and Apollo Global Management valued at US$600-milliion. It is involved in the investigation, expansion, and fabrication of these main products in the Gulf Coast and the Gulf of Mexico. The company is centered in Houston, Texas.
Talos Energy operates block seven offshore Mexico, including Zama, with a participating interest of 35%. However, Premier oil and Sierra Oil and Gas are partners with a participating interest of 25% and 40% respectively in Block 7.
An appraisal program has been put in place and set to be accomplished by mid-year 2019.
Talos Energy’s appraisal program will be composed of three reservoirs, consisting of an Ensco 8503 rig and two wells.
Exploratory drilling of the Zama-1 field in the shallow waters of the Gulf of Mexico, announced by Talos Energy, Premier Oil and Sierra Oil and Gas early 2017 uncovered a formation that contained light crude oil that ranged from about 1.4 to 2 billion barrels.
To understand the reservoir’s aquifer support, TEL will spearhead the drilling of Zama-2 to the North of the Zama-1, confirming the oil-water contact thus gathering data.
The well under the Zama reservoir will be excavated about 500m to assess the Marte exploration prospect. Afterward, it will be followed by an up-dip vertical sidetrack drilled from the primary borehole which will undergo a drill stem test.
On the other hand, Zama-3, the second appraisal, will be drilled to the south of the initial discovery well to have a better understanding of reservoir geology, helping to define reservoir continuity and quality in that particular field.
While going over and above the National content requirements of the contracts, TEL and its partners plan on spending US$250 million excluding unplanned possibilities throughout the investigation and appraisal phase.
In a statement, Talos Energy’s Chief Executive Officer, Timothy Duncan, expressed his excitement for the project backed by not only partners with participating interests but also local Mexican suppliers. He also acknowledges the presence of numerous Mexicans involved in the Zama projects both on the rig and in the local communities that are supportive of the offshore operations.