Marathon Oil plans to continue exploration works in Kenya’ in Sala-1 following 2013 drilling in Bahasi 1 exploration that reached 9,500 feet that was plugged and abandoned despite minor gas shows.
Sala-1 is particularly attractive to the company following previous wells drilled in the sub-basin confirmed a working petroleum system.
According to a letter to shareholders the company says it has set aside $529 million that will focus on testing significant oil potential including drilling 2-3 net wells (8-10 gross) in the Kurdistan Region of Iraq, Kenya, Ethiopia and the deepwater Gulf of Mexico, and on conducting seismic surveys.
This is part of a 2014 capital and exploration budget of approximately $5.9 billion is concentrated on high-quality, organic reinvestment in the Eagle Ford area.
Other than Kenya the company also has a presence in Ethiopia in the Tultule exploration well, which is approximately 2 miles from the Sabisa-1 exploration well on the South Omo Block, reached a total depth of 6,891 feet in December which had minor gas shows and was plugged and abandoned.
Additionally, at least two exploration wells are planned for the eastern side of the block in 2014 to test multiple sub-basins. The first of those wells, Shimela-1, is expected to spud in March 2014 and which he holds a 20 percent non-operated working interest in the South Omo Block.[twitter-follow screen_name=’oilnewskenya’]