Corridor Resources has suspended further exploration at the Old Harry prospect in the Gulf of St. Lawrence following the completion of the integrated geotechnical analysis.
Situated under 470m of water, the prospect comprises a 43,000-acre undrilled structure with four-way closure between Newfoundland and Quebec in North America.
The integrated geotechnical analysis included data from a controlled source electromagnetic survey (CSEM) and reprocessed 2D seismic.
Due to complexity in the CSEM data, which was taken in late 2017, the company reprocessed 762km of its 2D seismic over the Old Harry structure and carried out an integrated geotechnical review.
The review suggested that the geology and geochemical / petrological analysis of the Old Harry structure is more complex than anticipated and also indicated that the resource could be more gas prone than oil prone.
It also suggested that it may host lesser amounts of hydrocarbons than originally estimated.
Furthermore, Corridor concluded that a 3D seismic survey of the overall structure is required before an exploration well is spud at the prospect.
It also stated that the unavailability of joint venture partner for the prospect, coupled with its inability to proceed further alone, compelled the company to terminate any plans of additional capital spending and exploration.
Corridor also stated that there is no feasible alternative to drill an exploration well on the prospect before the expiry of the current licence on the Newfoundland side in January 2021.
Accordingly, the company has decided to make a formal request to the authorities in Quebec, as well as to the Canadian Government to grant a new licence to extend Corridor’s land tenure on the Newfoundland.