Zydeco-1 may have hit a mechanical setback, but the geological story has only grown stronger.
Galilee Energy now has three prospective targets in play at its Louisiana well, with Homeseeker B and the newly identified Stafford interval joining the primary Tweedel gas-condensate objective.
At the same time, the sale of Glenaras clears the decks for a sharper push into the US Gulf Coast.
The model holds up
Before drilling was interrupted by stuck pipe at 9,393 feet, Zydeco-1 delivered an important technical win.
The sequence encountered closely matched Galilee’s pre-drill model, reducing uncertainty around the depth and structural position of the deeper Tweedel target.
That matters because Tweedel remains the main prize, carrying gross unrisked prospective resources of up to 13.7Bcf of gas and 610,000 barrels of condensate.
The well has not reached Tweedel yet, but the geology is tracking as expected.
Two new targets join the hunt
Homeseeker B arrived on prognosis and returned elevated hydrocarbon indications.
The interval also correlates with the nearby B-1 well and sits structurally updip of its historical oil test, giving Galilee enough confidence to elevate it into a formal evaluation target.
Stafford was the surprise.
Gas readings exceeded the rig detector’s upper limit of 5,000 units across the full interval. A regional analogue previously tested at 1.2MMcf/d of gas and 48 barrels of condensate per day.
Neither Homeseeker B nor Stafford is included in the current prospective resource estimate, leaving both as additional upside.
A shorter, better-informed sidetrack
Galilee plans to sidetrack from the existing well at 2,760 feet, bypassing the affected open-hole section while retaining the casing, wellhead, pad and permits.
The revised well is expected to reach around 9,800 feet, compared with the original 10,400-foot design.
It will also use a shallower casing point to reduce exposure to the lost-circulation zone encountered in the first attempt.
Managing Director Joseph Graham said the well had evolved from a single-target program into a broader three-target opportunity.
Figure 1: Proposed Zydeco-1 sidetrack plan. All exploration objectives lie below the proposed kick-off point of 2,760 feet.
Glenaras exits, the Gulf Coast takes priority
Galilee has also agreed to sell the Glenaras Gas Project to Novus Energy.
The deal removes future funding, rehabilitation and project liabilities while returning around A$1.34M in security deposits, with a potential further A$500,000 payment.
Galilee will retain a 2% net overriding royalty, preserving exposure to future success without carrying the capital burden.
What’s next?
The immediate focus is finalising the sidetrack design, costs and contractor arrangements before drilling resumes.
Zydeco started as one shot at Tweedel.
It now offers three targets, a clearer geological model and a more focused company behind it.
