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Weekly Highlights
LATIN AMERICA I
WEEK COMMENCING 24-March-2014
Compiled by: Carla McGettigan (carla.mcgettigan@ihs.com), Deborah Resley
(deborah.resley@ihs.com), Michael Dyer (michael.dyer@ihs.com)
ARGENTINA
Exploratory Drilling
- On 2 March 2014 state-operated oil and gas company YPF SA announced that it had made a
significant oil discovery with its Los Caldenes 2 outpost well, Los Caldenes Block, Neuquen Basin. The
block has seen no active drilling since 1999. The well is located 30 km north of the Rio Negro city of
Cinco Saltos. It was spud on the 26 November 2013 as a deeper-pool wildcat to test the Pliensbachian
to Callovian Cuyo Group along with the Kimmeridgian Tordillo/Sierras Blancas reservoir. The well
reached a total depth (TD) of 3,154 m (10,348 ft) and tested oil in the Kimmeridgian Sierras Blancas
Formation. The reservoir was perforated over two intervals; namely 2,605 to 2,611 (8,547 to 8,566 ft)
and 2,624 to 2,626 m (8,609 to 8,615 ft) and flowed 880 bo/d on a 10 mm choke. The operator has
reported in-place estimated resources of 15 MMboe from the well. YPF holds 100% of the Los
Caldenes Block.
BOLIVIA
Production & Reserves
- Oil production in Bolivia averaged 5,252 bo/d in February 2014, up by 22 bo/d from J anuary 2014,
which represents an increase of 0.43%. From a yearly average perspective, the 2014 average daily oil
production is 5,241 b/d, compared to the 2013 average oil production of 5,160 b/d. This represents an
annual increase of 81 bo/d (1.57%).
- Gas production in Bolivia averaged 2,218 MMcf/d in February 2014, up by 68 MMcf/d from J anuary
2014, which represents an increase of 3.16%. From a yearly average perspective, the 2014 average
daily gas production is 2,184 MMcf/d, compared to 2013 production of 2,058 MMcf/d. The current daily
average represents an increase of 126 MMcf/d (6.13%).
- Condensate production in Bolivia averaged 47,640 b/d in February 2014, up by 1,562 b/d from J anuary
2014, which represents an increase of 4.32%. From a yearly average perspective, the 2014 average
daily condensate production to date is 46,859 b/d. Compared to 2013 production of 38,267 b/d, the
2014 daily average to date represents an increase of 8,593 b/d (22.45%) over last year.
BRAZIL
Exploratory Drilling
- Petrobras filed an oil show report with the ANP on 20 March 2014 for the 4-BSU-014D-BA (4-BRSA-
1228D-BA) directional new-pool wildcat (NPW) drilling in the Bonsucesso Production Concession. The
NPW was spudded in the block on 25 February 2014. It has a proposed total depth (PTD) of 2,200 m
measured depth (MD) and 1,890 m true vertical depth (TVD) with the early Cretaceous Agua Grande
Formation as the primary target. The well is located in the northwestern area of the block about 230 m
southwest of the 1 BSU 0001 BA oil discovery for the field in the western area of the onshore
Reconcavo Basin. Petrobras has 100% working interest in the block awarded on 6 August 1998.
Field Development
- On 19 March 2014 Petrobras announced that production commenced from the FPSO P-58 in the
Campos Basin J ubarte Production Concession. Initial production is from the 7-BFR-007-ESS
development well, producing from the pre-salt, early Cretaceous Macabu Formation. Petrobras will tie-

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in an additional 15 production wells during the course of 2014 with eight wells that will be producing
from the pre-salt formations, and seven wells will be post-salt producers. Additionally nine injection
wells will be connected. The production system consists of 250 km of flexible pipelines and two
subsea manifolds. In mid-March 2014 Petrobras was granted an Environmental Permit for Operations
for the FPSO P-58 in the J ubarte Production Concession.
CHILE
Exploratory Drilling
- On 12 March 2014 local sources reported that state oil and gas company ENAP was drilling ahead on
deviated unconventional outpost well Cabana Oeste ZG 2 on the 100%-held Arenal Block in
Magallanes Basin. The proposed total depth (PTD) is 2,450 m (8,038 ft) to test the Paleocene Zona
Glauconitica. The well was spudded in early February 2014. No further details were provided.
- On 12 March 2014 local sources reported that state oil and gas firm ENAP had suspended gas
discovery well Dorado ZG-1 new-field wildcat (NFW) on the Dorado-Riquelme Block, Magallanes
Basin. The well spudded late in 2012, was cored in February 2013 and reached a total depth (TD) of
2,360 m (7,743 ft) March 2013, when it was suspended pending fracking. The operator reentered and
fracked the Paleocene Zona Glauconitica tight sandstone in the well early February 2014. The well
flowed 1.84 MMcfg/d and 9.4 bc/d. ENAP operates the Dorado-Riquelme Block with a 50% interest,
and partner Methanex holds the remaining 50%.
- On 12 March 2014 local sources reported that state oil and gas company ENAP discovered tight gas
and some condensate in the Palenque Oeste ZG 1 new-filed wildcat (NFW) well in the Dorado
Riquelme Block of the Magallanes Basin. The well spudded late 2012 and reached a total depth (TD)
of 3,300 m (10,827 ft) in early 2013. The operator reentered the well in February 2014 and fracked the
Paleocene Zona Glauconitica interval, which flowed 1.77 MMcfg/d and 15.7 bc/d. ENAP operates with
50% and partner Methanex Corp holds the remaining 50% of the prolific Dorado-Riquelme Block.
- On 12 March 2014 local sources reported that state oil and gas company ENAP had completed
fracking and was testing the Cabana Sur ZG 1 located on the 100%-held Arenal Block in Magallanes
Basin. The well was spudded in December 2013 and reached a total depth (TD) of 2,275 m (7,464 ft) in
early February 2014. The objective is the tight Paleocene sandstones of Zona Glauconitica. The
operator fracked this interval and is currently testing the well. No further details are were provided. The
unconventional reservoir is successfully producing gas from the Cabana Field, located in the southwest
area of the block.
- On 12 March 2014 local sources reported that ENAP was drilling ahead on outpost well Cabana Sur
ZG 2 on its 100-% held Arenal Block in Magallanes Basin. The operator spudded the well in mid-
February 2014 to test the Paleocene Zona Glauconitica. No further details were provided.
- On 12 March 2014 local sources reported that state oil and gas firm ENAP had suspended as an oil
discovery in the Tobifera Formation the new-field wildcat (NFW) Lautaro Sur 6 on Arenal Block in the
Magallanes Basin. The operator reached a total depth (TD) of 2,600 m (8,530 ft) in November 2013.
Reportedly, the well had oil shows while drilling through the Tobifera section. The Lautaro Sur 6 is
located in the southern part of Arenal Block and 3.5 km east-northeast of the Lautaro Sur Field
discovery; the Lautaro Sur 1 well was drilled in J uly 1970 with estimated ultimate recoverable reserves
of 10 Kbo and 15 Mcfg from the Lower Cretaceous Springhill Sandstone.
PERU
Exploratory Drilling
- On 4 March 2014, independent Peruvian oil and gas company BPZ Energy announced plans to begin
drilling an outpost well in the Delfin Field, on a separate fault block but contiguous with the Corvina
structure in offshore Block Z-1, J ambeli Sub-basin. The Corvina Field is productive from the Upper
Zorritos Member, a marine deltaic sandstone of Lower Miocene (Burdigalian) age. The Delfin Field was
discovered in April 1973 by Tenneco Oil of Peru and contains estimated ultimate recoverable reserves
of 199 MMbo and 90 Bcfg. The discovery well was drilled to a total depth (TD) of 2,972 m (9,750 ft).
BPZ operates with 51% and partner Pacific Rubiales holds the remaining 49%.