Ivanhoe Energy Drills Zitong Block Wells to Total Depth

Ivanhoe Energy’s Zitong-1 and Yixin-2 wells on the Zitong block in south-west China have been successfully drilled to their total depths.

At Zitong-1, the upper Xu2 sandstone was encountered at 4,121m with high mud gas readings, and the primary target, the complete Xu2 formation, was drilled to a total depth at 4,294m.

The Yixin-2 well reached a total depth at 4,165m in the Xu3 formation along with the Xu4 and Xu5 formations.

The wells were logged with Zitong-1 cased and cemented, while Yixin-2 is running casing before cementing.

Initial testing of the Zitong-1 well on the 70km² Guan structure is expected to begin in the Xu2 formation. At Yixin-2 an initial short-term flow test of the lower section of the Xu4 formation will be performed.

Ivanhoe Energy president and CEO David Dyck said that the Zitong block is highly prospective and has the potential for several trillion cubic feet of natural gas.

“As we proceed with our testing programme at Zitong-1 and Yixin-2, and follow up with a development programme for the block, we aim to demonstrate the significant upside potential,” Dyck said.