Alvopetro Drills 44.4m of Natural Gas Pay in Murucututu Well
Event summary
- Alvopetro completed drilling the 183-H2 well in Brazil's Murucututu field, reaching 3,176.5m depth.
- Well encountered 44.4m of potential natural gas pay in the Caruaçu Member with 9.6% average porosity.
- Company plans to complete the well in up to seven intervals, targeting Q4 production startup.
- Drilling rig will move to the first Murucututu development well from the newly constructed 183-G pad.
The big picture
This well result represents another step in Alvopetro's strategy to balance organic growth in Brazil with its Canadian operations. The company's capital allocation model, which reinvests half of cash flows into growth opportunities, positions it to capitalize on favorable geologic and fiscal conditions in both markets. The success of this well could influence investor perceptions of Alvopetro's ability to execute its dual-market strategy.
What we're watching
- Production Timing
- Whether Alvopetro can meet its Q4 production target for the 183-H2 well.
- Resource Potential
- How the preliminary results from 183-H2 compare to GLJ's prospective resource estimates.
- Development Pace
- The speed at which Alvopetro advances its Murucututu development program following this well.
Related topics