The highly prospective Block H possesses company maker resources in excess of 1 billion BOE that could be economically developed in the current market environment.
United intends to execute a 2017 Seismic program that will confirm size & structural elements of the top Block H prospects.
Additionally United has designed a 2D Seismic program in the Fende area to define the full potential of the Tertiary and Cretaceous in the area. The Risked Mean Resource for Fende is 143,718 MBOE (McDaniel).
Block H is located in the Termit Basin which is part of the West Central African Rift System and is located in the Central-West portion of Chad.
The Termit Basin, at about 1000 km long, 150 km wide and up to 12 km thick, is one of the largest rift basins in Africa and was formed as during the breakup of Gondwanaland, rifting and the opening of the south Atlantic.
The basin has a significant difference in sedimentary fill from other African rift basins in that during Cretaceous time the basin was open to the South Atlantic Ocean and has potentially prolific marine source rocks.
The Termit Basin, although underexplored in Chad, has been extensively explored in Niger with tremendous success yielding numerous oil and gas discoveries. In Niger the basin has 975 MMbbls of 2P reserves and is currently producing 20,000 bbls/day. Three discoveries in Chad prove the extension of the functioning Petroleum System into the Chadian portion of the basin.
Petroleum System consists of Tertiary, Upper Cretaceous and Lower Cretaceous deposits of primarily lacustrine and marine sediments.
High permeability sands penetrated by a number of wells, the presence of good shale seals and the structural complexity of the basin creates a number of different trap options. Oil accumulations in the Eocene often occur in medium sized tilted fault blocks created during late extensional faulting. Cretaceous oil pools are found in erosional remnants at the base Tertiary unconformity, stratigraphic traps within the large fault blocks or in three-way closures against large down-to-basin extensional faults.
DISCOVERIES & PROSPECTS
There are three oil discoveries on Block H: Kanem and Kumia, as well as the Seidigi (Non-UHCL) discovery contained within the small, government owned, block inside Block H.
The Kanem discovery showed oil in the Cretaceous and tested oil in the Eocene zone and the Kumia discovery tested oil in the Cretaceous Sedigi Formation.
Through the use of automated closure detection from multiple phases of seismic interpretation, United investigated 6 distinct horizons and identified 531 closures.
3rd Party (McDaniel) NI 51-101 compliant, analysis of the six horizons on the block indicates a total Unrisked Mean Prospective Resource of 4,715 MMbbls of oil on the block.
3rd Party (Geoseis) has identified 6,600 MMbbls of Unrisked Mean Prospective Resource Oil and 1,427 MMbbls of Risked Mean Resource in six leads that included the largest of these closures.
EXISTING & PLANNED INFRASTRUCTURE
Large scale commercial production development in Block H, will economically support a new export pipeline
Block H is ~300 km from the capital City of N’Djamena and the existing N’Djamena refinery
The proposed NOTCO (Niger-Chad) pipeline from Agadem in Niger to Chad will route directly through Block H
United has the capabilities and experience to lead the development of an export pipeline system
Potential exists for tie-in to existing pipelines in Chad, reducing overall length of new pipeline required and improving project economics
CONTINGENT & PROSPECTIVE RESOURCE
United has completed multiple independent Contingent and Prospective Resource reports for Block H.