The project is located along the Paradox Fold and Fault Belt, and is on a structural trend with the Big Indian, Lisbon, Lightning Draw, Little Valley & Lisbon South Fields.
The field is well served by country roads and the principle target is less than four miles from a 26-inch gas transportation pipeline that services up to 12.5% of the US domestic gas market.
The Golden Eagle Prospect consists of a large Mississippian structure created by basement tectonics, together with a large Pennsylvanian structure. Significant folding, faults and fracturing has generated substantial gas accumulations.
The Pennsylvanian section is expected to be similar in reservoir quality to that encountered in the giant Aneth field with a cumulative production in excess of 385 million barrels of oil and 343 Bcf of gas.
The Golden Eagle is a composite structure with mapped structural closure occurring between the depths of 8,000 feet to over 15,000 feet that includes the primary Pennsylvanian and Mississippian prospective units.
The structural style changes within the Pennsylvanian section from a four-way closed anticline to an underlying fault closure in the Mississippian and early Pennsylvanian. Flattening of seismic reflectors near the top of the Jurassic indicates that an early structure was likely in place during Jurassic time.
The Harley Dome Field (Cisco), located ten miles to the north, was designated a federal helium reserve in 1934 and has produced excellent volumes of oil and gas for many years.
More recently the Cisco field has been targeting and producing Helium gas.
The look-alike Lisbon Field is about 40 miles south-east. The Golden Eagle project is the only documented geologic structure in the Paradox Basin that is similar in terms of its structural style and size to the Lisbon Field.
To date, the Lisbon field has produced over 50 million barrels of oil and over 7.5 trillion cubic feet of gas. The field currently produces mainly Helium gas from the Mississippian level and has booked Helium reserves of approximately 750 million cubic feet.
The Golden Eagle Gas Field currently has three shut-in natural gas wells with demonstrated and confirmed migratory pathways. Two of the wells are development wells and the third has been engineered as a production well.
To date the wells have tested for molecules in the Pennsylvanian Ismay formation. PetroSun intends to rework these wells to target the Leadville formations, similar to the Harley Dome Field which is productive for helium at approximately 7%.
The well is scheduled for a 7,500-foot lateral line, the purpose is to encounter fracture zones that communicate with the Leadville formation that lies below the Ismay formation. The original Ismay perforations were tested for helium at 2.82% and methane at 76.23%.
The well recently underwent recompletion operations and successfully passed its mechanical integrity test. The well subsequently demonstrated a noticeable increase in pressure from the Lower Ismay formation where it tested for methane above 80%.
PetroSun intends to rework the well to perforate and test a lower zone that contains a large natural fracture and which will conceivably produce commercial quantities of gas flows with higher concentrations of helium.
This is a planned well, it does not exist yet.
Geological opinion is that the upper Pennsylvanian Beds in the Ismay Formation are highly stressed and fractured to the south east of PB#1.
The new horizontal well will traverse the upper Pennsylvanian Ismay formation structure with a continuous 1.5 mile exposure to the productive strata and fracture systems where helium has accumulated.