CAMAC Energy Inc. has been informed by Allied Energy that the Oyo-7 well offshore Nigeria in OML 120 has confirmed the presence of hydrocarbons in the Miocene formation. This marks the first time a well has been successfully drilled into the Miocene formation of the Oyo oil field, CAMAC said in a news release.

Hydrocarbons were encountered in three intervals totaling approximately 20 m (65 ft), as interpreted from LWD data.

“The Miocene is the most prolific producing zone offshore Nigeria, and the presence of these hydrocarbons significantly derisks the large Miocene prospects in our blocks,” CAMAC CEO Kase Lawal said in the release.

The Oyo-7 well has successfully achieved its primary and secondary objectives and will now be temporarily suspended. Drilling of the horizontal section and completion activities are expected to commence in the 1Q 2014, the release said. It is currently anticipated that Oyo-7 will begin production mid-2014 at an initial production rate of 7,000 b/d of oil.