Site Navigation   OGI Homepage World Industry News Exploration & Discoveries Drilling & Completion Development & Production Licensing & Concessions Geosciences LNG/LPG Health Safety Environment Company News Special Features Technical Reports Regional Spotlight Oil/Gas Prices & Analysis New Products & Services Industry Calendar Industry Book Reviews Industry Associations Industry Links Search Archives   Drilling & Completion Mosaic loses Fairymount-7 to collapsed wellbore Dr Howard Brady. (4/27/2004 - OGI: Perth) Mosaic Oil reported today that it lost its Fairymount-7 well over the weekend when the drillbit encountered unexpected gravel, collapsing the hole. Mosaic said it is the first setback it has had in its successful drilling program using underbalanced horizontal tubing on its Queensland, Australia Surat Basin blocks. The company said it commenced drilling the Fairymount-7, in Block PL46, with the new technology on Saturday. Now, however, it said the drilling operation is being abandoned due to the collapse of the hole above the main target area. The drillpipe is to be cut above the blockage and the rig demobilized. The downhole motor assembly will be left in the hole. "We are certain reasonable oil reserve remain at this field," said Dr Howard Brady, Mosaic's CEO. "We had just encountered oil in the sand when the problems began at a shallower level. The hole collapse was severe and unexpected. Our main aim now is to abandon this site as soon as possible to minimize time and costs. We had budgeted $600,000 for this operation but the cost will now be at least $800,000." Mosaic is the operator of Block PL46 and the Fairymount Field with 100% interest. It is located approximately 80 km southeast of Mosaic's main Silver Springs operations. Click here for earlier report. OGI Homepage I Contact Us