Highlights

• Strong gas shows (up to 157 times above background), fluorescence and elevated LWD resistivity encountered in multiple Upper Angwa reservoirs
• Similar strong gas shows (up to 151 times above background), fluorescence and elevated LWD resistivity encountered in multiple Lower Angwa reservoirs – potentially opening up a substantial new play in the Cabora Bassa basin
• Liner mobilised in preparation to complete the Mukuyu-2 well for a future flow test
• Preparing to drill ahead and potentially deepen beyond planned 3,750 mMD following positive results in Lower Angwa and then conduct wireline logging

Invictus Energy has provided an update of drilling the Mukuyu-2 well at its 80% owned and operated Cabora Bassa Project in Zimbabwe.

Managing Director Scott Macmillan commented:
'We continue to see highly encouraging signs through our Upper Angwa primary target, and now also in the top Lower Angwa, with increased strong gas shows, fluorescence and elevated resistivity from Logging While Drilling (LWD) tools across multiple zones down to the current TD (total depth) of the well with several hundred metres of undrilled section and potential upside still ahead.

'Results to date have been extremely encouraging through the Upper Angwa and additional positive indications of the play potential in the previously untested Lower Angwa is exciting.

“We are preparing to drill ahead following a change out of the drill bit and bottomhole assembly, and potentially deepen the well providing drilling conditions permit now that we have confirmed additional potential in the Lower Angwa formation, which opens up a substantial new play type in Mukuyu and the wider Cabora Bassa within our acreage position.

'Once Total Depth (TD) is reached it will be followed by a comprehensive wireline logging programme to evaluate results, with the aim of confirming the presence of moveable hydrocarbons in multiple zones and declaring a discovery.'

Progress and current operations

Since the last update, the drill bit, LWD tools and mud motor were changed out and drilling of the 8½” hole section has reached the current depth of 3,296 metres Measured Depth (“mMD”).

Strong gas shows (up to 157 times above background gas baseline), with associated drilling breaks, fluorescence in cuttings (indicative of presence of liquid hydrocarbons) and elevated LWD resistivity have been encountered in multiple Upper Angwa (Alternations Member) sandstone reservoirs.

The top of the interpreted Lower Angwa (Massive Member) formation was encountered close to the pre-drill prognosed depth. Further strong gas shows (up to 151 times above background gas baseline) have been encountered in multiple Lower Angwa sandstone reservoirs along with fluorescence in cuttings (see some examples in Figures 1 and 2) and elevated LWD resistivity.

Total gas observed from reservoirs in Mukuyu-2 to date is approximately four times greater than observed total gas peaks in Mukuyu-1. Background gas, including heavier hydrocarbons (C4 and C5), is approximately double the background levels observed in Mukuyu-1. Along with the fluorescence in the Upper and Lower Angwa Formation reservoirs this provides further evidence of an active petroleum system in the basin.

A failure of the LWD pulser necessitated a change out of the bottom hole assembly (BHA) which has subsequently been completed.

Current operation is running in hole to recommence drilling from 3,296mMD to TD.

Forward Plan

Exalo 202 Rig will recommence drilling through the Lower Angwa (Massive Member) to approximately 3,750 mMD before running a wireline logging evaluation suite.

The final TD may be varied depending on real time data on mudgas, stratigraphy and hole conditions.

A 7-inch liner has been mobilised which will allow for the Mukuyu-2 well to be completed in preparation for a future well test following the completion of operations.

The well remains within budget and on track to be completed within the previously guided 50 to 60 days total including any deepening of Mukuyu-2.