- Oil and gas explorer Byron Energy identified hydrocarbons at its SM58 011 well, located in the Gulf of Mexico
- The company CEO said the findings place the SM58 development in a good position to become commercial
- Byron Energy’s share price is up 19.57 per cent this morning, currently sitting at $0.28 per share
Byron Energy’s share price is showing a near 20 per cent increase, following positive updates at the SM58 011 well in the Gulf of Mexico.
Hydrocarbons, which are the main components of petroleum and natural gas, were identified at the well.
Byron’s CEO Maynard Smith said the well’s recent results set the SM58 development in a good position to become commercial.
“We are very enthused and excited by what we have seen thus far in the SM58 011 well, and are confident that this result will lead to a commercial development of SM58,” Maynard advised.
The intercept was made once drilling reached a measured depth of 10,875 feet, which is equal to a true vertical depth of 9.832 feet.
The hydrocarbons were identified through logging while drilling, including the use of gamma rays and resistivity tools. The gross thickness is measured at a 300 feet depth.
High quality O sands were recognised during the logging. According to the company, a well developed reservoir looks likely too.
The well will be drilled to its total depth before additionally logging takes place. Additionally, Byron will assume all costs for the well.
Byron Energy’s share price is up 19.57 per cent this morning, currently sitting at $0.28 per share, as of AEST 11:26 am.