CanArgo resumes testing at Manvi

CanArgo Energy Corporation has announced that well testing operations resumed today at its Manavi-12 well in Georgia. The Manavi-12 (M12) well was drilled to a total depth of 16,762 feet (5,109 metres) in December 2006 having encountered a number of significant hydrocarbon shows throughout the Cretaceous carbonate interval, which was the primary target in the well.

Initial testing responded with limited flow due to either formation damage or lower than expected permeability, but did produce oil (40.5o API) and gas to surface. It was subsequently decided to acid fracture stimulate a selected reservoir interval and this operation was completed in late January 2008.

Following the acid stimulation, the well was flowed back for a period to recover the frac fluids (spent acid and chemicals). The initial flow-back contained encouraging shows of oil and gas, but the maximum oil cut observed was only 5-7%. It appeared that there was a significant water incursion into the wellbore with no indication as to the source of this excess water. It was noted that following an earlier testing of the well, an oil cut of approximately 50% was observed.