Exploration Blocks

Exploration

The Company is 100% interest holder in three onshore licenses that are in their exploration periods;

  • Block 3105 West Manambolo
  • Block 3106 Morondava
  • Block 3107 Manandaza

In addition the Company has interest in an additional license.

  • Block 3102 Bemolanga

Block 3102 Bemolanga

The Bemolanga license area contains the Bemolanga Field Bitumen discovery. The field has had over 400 core holes drilled in the shallow Amboloando formation (0 to 200 meter depth) prior to Madagascar Oil operations. The surveys yielded bitumen with a range of 9-13 degree API oil from cored wells with surface seeps yielding ultra heavy bitumen of less than 9 API. Madagascar Oil expanded investigation of the license in 2006, and in 2008 Total E&P operated the license until mid-2016. An aggressive schedule of drilling in 2009 and 2010 analyzed 160 additional cored wells to further quantify the resource base which in turn allowed an assessment of the efficiency and economics for ore extraction and recovery.

Results indicated that bitumen volumes are at least as large as initial estimates and bitumen quality is in line with prior work at approximately 5.5% by weight in the ore. Laboratory testing has indicated favorable results for extraction performance of 75% using the type of hot water extraction process also applied in Canadian bitumen extraction projects. The low ore grade makes an economic project scenario difficult to achieve.

An airborne Full Tensor Gravity (FTG) gravimetric survey has been completed which has allowed the identification of potential basement structures and from this a new seismic infill program has been derived.

Block 3105 West Manambolo

The West Manambolo License contains a legacy dataset of 6 wells drilled between 1971 and 1993 and 808 Kilometres of 2D seismic. The well dataset includes the West Manambolo-1 well gas discovery drilled by Amoco in 1985. Madagascar Oil carried out a seismic acquisition program in 2009 over the East Manambolo structure. Additional work carried out by the Company includes the GORE geochemical survey in 2011 and the 2012 Airborne Gravity Gradiometry study.

The seismic dataset has been re-processed and a full reinterpretation of the license carried out in 2013/14 culmination in a new Exploration Report completed in January 2015.

The request for the license extension to 2016 is pending approval. The extension has a single well commitment to be fulfilled.

Block 3106 Morondava

The Morondava License contains a legacy dataset of 2 wells drilled in 1984/85 and 2,398 Kilometres of 2D seismic. The well dataset includes the Namakia-1 and Saronanala-1 wells both of which had oil shows while drilling. Madagascar Oil carried out a seismic acquisition program in 2009. Additional work carried out by the Company includes the GORE geochemical survey in 2011 and the 2012 Airborne Gravity Gradiometry study.

The seismic dataset has been re-processed and a full reinterpretation of the license carried out in 2013/14 culminating in a new Exploration Report completed in January 2015.

The request for the license extension to 2016 is pending approval. The extension has a single well commitment to be fulfilled.

Block 3107 Manandaza

The Manandaza License contains a legacy dataset of 2 wells drilled in 1991 and 1993 and 964 Kilometres of 2D seismic. The well dataset includes the Manandaza-1 well which recovered 10 Barrels of 41° API Light Oil at the end of a Drill Stem Test of the Lower Sakamena Formation. Madagascar Oil carried out a seismic acquisition program in 2009 over the north of the Manandaza-1 structure. Additional work carried out by the Company includes the GORE geochemical survey in 2011 and the 2012 Airborne Gravity Gradiometry study which also concentrated on the north of the license area.

The seismic dataset has been re-processed and a full reinterpretation of the license carried out in 2013/14 culminating in a new Exploration Report completed in January 2015.

The request for the license extension to 2016 is pending approval. The extension has a single well commitment to be fulfilled.