After the collection of stratigraphic data from all wells that have penetrated the Otavi formation, the Upper Otavi Group has been subdivided into the Huttenberg and Elandshoek formations.
As previously disclosed, after extensive wireline logging, the Huttenberg contained ~85 metres (~280 feet) of net reservoir with 64 metres (210 feet) of net hydrocarbon pay across a gross interval of ~400 metres (~1,300 feet) containing multiple limestone reservoir units. Mud and gas samples have been collected throughout this section and the deeper Elandshoek and have been sent to the United States for analysis.
The deeper Elandshoek contained an average of 20% total gas throughout the entire 560 metres (1,837 feet) drilled through the section, indicating a hydrocarbon-saturated section. The vast majority of the Elandshoek section produced visible oil sheens and oil bubbles in the mud pits at the surface. Within this gross section, post-well analysis shows 81 metres (265 feet) of hydrocarbon fluorescence (increased from the previously disclosed 61 metres) observed in cuttings, a direct indicator of hydrocarbons.
Indications of fracturing were pervasive based on well logs. Additionally, rapid increases in gas readings after drilling connections indicated hydrocarbons flowing actively towards the wellbore. Gas readings and hydrocarbon presence at the well’s total depth of 4,260 metres remained encouraging. Drilling was stopped due to the operational limitations of the rig.
Production Test
ReconAfrica and its partners decided to proceed directly to production testing and not to perform a drill stem test (“DST”), which will allow for more controlled testing of isolated intervals of interest. This decision was made because the 2,000 metres of open hole section posed operational challenges to adequately test the entire gross Otavi reservoir at one time.
Production casing and testing equipment is being sourced from multiple international locations. Testing operations are expected to commence in the first quarter of 2026 and is expected to last approximately four to eight weeks. The testing may include the evaluation of up to eight zones of interest with each test lasting 5 to 10 days.
ReconAfrica is the operator of PEL 73 with a 70% working interest. Its partners are BW Energy (20% WI) and the National Petroleum Corporation of Namibia (“NAMCOR”, 10% carried WI).
Nick Steinsberger, Senior Vice President Drilling & Completions, commented: “We are preparing to conduct a production test on Kavango West 1X, which will allow us to conduct a longer flow period and pressure buildup analysis to better calculate potential production rates and reserve estimates. Early planning suggests that we may test up to eight separate reservoir intervals of interest.”
