Alameda-1 intersects 670 metres of oil shows

Melbana Energy release

SYDNEY, AUSTRALIA (05 OCTOBER 2021)

Melbana Energy Limited (ASX: MAY) (Melbana) is pleased to report the following update on the progress of the Alameda-1 exploration well being drilling in Block 9 PSC, onshore Cuba.

Melbana has a 30% interest in Block 9 and is the operator of the current drilling program.

As of 4:00PM Monday, 4 October (Cuban time), the well was drilling ahead at 1,820 metres in limestone and clastic sediments in the Upper Thrust Sheet.

Encouraging hydrocarbon shows (described as good by Melbana’s personnel on site) were encountered just below the first casing point at 454 metres, when moveable oil was reported at surface within the mud and cuttings samples. The oil, which appears to be lighter than that normally seen at this depth, was accompanied by elevated gas readings. Drilling continued through the shallow limestones and minor clastic sediments, with similar shows persisting over a gross interval of about 670 metres. This includes the interval of the anticipated “U1” secondary objective, through which excellent hydrocarbon shows were reported. Variable oil shows have continued to be encountered below this interval to the current depth of the well.

At this stage, the significance of these very encouraging shows is uncertain, but they will be evaluated when logs become available at the conclusion of the current hole section. Any further evaluation of deliverability and lateral extent of this new potential oil zone will be determined after the conclusion of drilling of the Alameda-1 well.

Melbana Energy’s Executive Chairman, Andrew Purcell, commented: “Encountering oil shows over such a significant interval is, of course, very encouraging. We hope to reach the next casing point sometime in the week ahead, following which we’ll run logs in order to provide our geoscientists with more data to assist them in their assessment of what we’ve encountered.”

The full release is available here.