Preliminary results indicate multiple potential gas bearing zone

This morning our 2020 Energy Pick of the Year Invictus Energy (ASX: IVZ) put out preliminary results from its wireline logging program at its gas exploration project in Zimbabwe.

IVZ confirmed that preliminary wireline logging had been completed and that analysis was ongoing with initial results showing multiple gas bearing zones.

IVZ hasn't yet declared a discovery. It is waiting on a wireline formation testing tool to arrive on site so that it can “conduct pressure and fluid sampling to confirm presence of moveable hydrocarbons”.

Confirming moveable hydrocarbons is the final data needed for IVZ to declare a new discovery.

IVZ also said that while waiting for the tools to arrive, the company would use this down time to continue drilling down to a depth of ~3,800m to test the potential in its deeper targets.

IVZ now expects final drilling and analysis results within the next 5-7 days.

Here is what we know from IVZ’s Mukuyu-1 well so far:

• ✅ A 10-15m interval indicative of potential hydrocarbons (oil and/or gas) across the first three of its targets.
• ✅ Seal identified with several hundred-metre thickness above the primary targets. This was a key risk going into drilling. This hopefully means there’s a geological seal that’s strong enough to trap oil and/or gas in the primary targets IVZ is drilling now.
• ✅ Elevated gas shows up to 135x above background gas levels through the first of two primary targets.
• ✅ Elevated (100%) fluorescence, indicating condensate or light oil.
• ✅ Elevated Logging While Drilling resistivity.
• ✅ A working conventional hydrocarbon system.

What is IVZ doing next?

• 🔄 The well is currently being drilled down to a total depth of ~3,800m.
• 🔄 Wireline logging programme after drilling is completed. This will be when IVZ will try to identify any moveable hydrocarbons and ultimately put out a “net pay” number.

IVZ expects to complete both of these tasks within the next week.