Sources inform "Globes" that drilling at the Shimshon well has in the past few days reached the target strata and initial tests have found signs of natural gas. At this stage additional tests are being carried out including electrical logs to determine if gas is present in commercial quantities.
Even though the final results are not yet clear personnel at well operator ATP Oil & Gas Corporation (Nasdaq: ATPG), which owns 40% of the prospect, are optimistic about the final results.
Isramco Ltd. (Nasdaq: ISRL; TASE: ISRA.L) CEO Avi Gefen told "Globes" that, "It is still too early to determine (if there is a discovery) but we are starting the logs stage and when we have solid information we will report it as required." Isramco holds 39% of the license and Kobi Maimon's Naphtha Exploration Limited Partnership (TASE:NFEX.L) holds 25%.
Drilling at the Shimshon well, located offshore from Ashkelon, began in April towards strata that are supposed to contain 2.3 trillion cubic feet of natural gas with a 20% probability. This is a low probability compared with the Tamar sands and about a quarter of the amount contained in the Tamar reservoir.
In early June, "Globes" revealed that drilling was delayed for two weeks due to a breakdown, which cost the license partners $19 million.
Published by Globes [online], Israel business news - www.globes-online.com - on June 24, 2012
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