The North Sea
The North Sea is a very active area for exploration with recent large discoveries of oil and gas. Gulf Shores Resources is participating in a number of high impact projects in this prolific oil and gas producing region. We have partnered up with large, experienced explorer/producers to obtain a portfolio of high quality North Sea projects. The company continues to review other North Sea projects. The list of these projects, to date, follow: Quad 15 Block 18a, Maria Prospect
 Click to Enlarge |
 Click to Enlarge |
Gulf Shores (UK) Limited, a wholly owned UK subsidiary of Gulf Shores Resources Ltd. has earned an interest in block 15/18a, license P.233 by paying 11.11% of the cost to drill the Maria Paleocene prospect. Upon completion of drilling, Gulf Shores has earned an 8.33% interest in the 145 sq. km. (35,800 acres) block.
By drilling the well the Company also earned an interest in two Jurassic discoveries located in the southern half of the block, one of which tested 6650 barrels of oil per day and 10,000 MCF of gas per day.
The Maria 15/18a-12 well was drilled in Q1, 2008, due to severe winter storms, and uphole well bore stability problems, a full logging suite was not run. The logs that were run indicated a gross reservoir section of 98 feet, consisting of 95% clean sandstone, with an average porosity of greater than 30%. An MDT tool tested 18 different points within the reservoir section, interpretation of wireline logs, combined with MDT test data, established a 60 foot gross hydrocarbon column comprised of a 15 feet of gas pay and a 45 feet of oil pay.
The operator, Petro-Canada UK Ltd (25%), and ENI (50%) have advised Gulf Shores that they do not have any further plans to evaluate the remaining Paleocene prospectivity in the block. To move the Paleocene project further ahead Gulf Shores intends to structure a deal with Petro-Canada (25%) and ENI (50%) to acquire their rights in the Paleocene. When a deal is structured the Company will seek partners to drill an appraisal well offsetting the 15/18a-12 well.
Quad 30
Gulf Shores Resources is paying 20% of the cost of acquiring new 3-D seismic and 13.33% of the cost of drilling a test well to earn a 10% interest in a 422 square kilometer block located in Quad 30 in the North Sea. The block is located 8 kilometers west of the 100 million barrel Duncan Field and 30 kilometers south of the 70 million barrel Janice Field. Recently acquired seismic indicates that the block contains several Jurassic and Permian plays. A well recently drilled into one of the Jurassic plays logged oil before the well was abandoned due to insufficient zone thickness. 3-D seismic on the block indicates that the Jurassic thickens to the Northwest of that well. If successful, this project may have a total upside target potential of recovering 250 million barrels of oil. Lundin Petroleum AB is the operator of this project and a 3-D seismic survey is planned for the second quarter of 2008 with drilling anticipated later in the year.
Exploration Prospects Drilled in 2007
Block 12/17 - Ridgewood Prospect
Gulf Shores (UK) Limited, a wholly owned UK subsidiary of Gulf Shores Resources Ltd. paid 15% of the cost of drilling a test well to earn a 10% interest in Quad 12/Block 17b in the North Sea.
Lundin Petroleum AB, as operator of production licence P1301, in the Moray Firth area of the United Kingdom Continental Shelf (UKCS) spudded the Ridgewood well on December 21, 2007 and reached total depth of 5678 ft. on January 3, 2008 The well was drilled using the Global SantaFe Galaxy II jack-up rig and evaluated one reservoir target. This target is being plugged and abandoned as a dry hole.
play film
Quad 41/42 - Lytham & St. Annes Prospect
Gulf Shores paid 15% of the cost of drilling a test well to earn a 10% interest in the Lytham and St. Anne's project located in Quads 41 and 42 in the North Sea.
Lundin Petroleum AB, as operator of License P.1129, spudded the Lytham well on July 24, 2007 and reached total depth of 6,770 ft on August 17, 2007. Although gas shows were present in the Zechstein carbonates, the consortium felt the rates and reserves would be sub-economic and the well was plugged and abandoned.
play film
Laurel Valley
April 2007: The Laurel Valley 14/28a-5 well has been drilled to total depth, evaluated and plugged and abandoned as no hydrocarbons were encountered in commercial quantities. The drilling of the well has fulfilled the terms and conditions of the farmin agreement and Gulf Shores Resources has earned a 9.4% interest in Seaward Production Licenses P1089 and P1295. Data obtained from the 14/28a-5 well will be integrated into geological and geophysical models to evaluate the remaining prospectivity of blocks 14/28a, 14/29b and 14/23b.
The company has agreed to participate for its 9.4% share of the cost to acquire an electromagnetic (EM) survey on the licence. If the continuing modelling studies are shown to be effective and subject to weather and equipment availability, the survey will be shot in the fourth quarter 2007. Oilexco North Sea Limited is operator of the project area.
