III-E structure contour depth map and the constructed 3D structural model show general dipping to the north and south with the highest portion located in the eastern and southwestern areas of the top of AEB IIIE. The top is affected by several normal faults and most of them have NW-SE trends. The structural closures and horst block faulting produces the most promising locations, in the form of mostly three-way dip and sometimes four-way dip closures, that favor the trapping of hydrocarbons in the case of AEB III-E rock units which have good reservoir characteristics. The AEB-III-E Member consists of sandstone zones with shale and siltstone zones. The composition is suitable for hydrocarbon accumulation. AEB-III-E underlies AEB-III-D where its shale (bottom part of AEB-III-D Member) acts as a cap rock. The analysis shows that AEB-III-E Member has about 362 ft reservoir thickness with porosity of about 16 % and water saturation near 100 %. It is found that there is no hydrocarbon found in AEB III-E Member in J-1X well and this is contrary to expectations. Therefore, it was necessary to re-study from another point of view. From the authors' point of view, using the fault seal analysis technique may be the key to solving this mystery in this study. The Allan Diagram is conducted to emphasize the fault-seal analysis and petrophysical characteristics of reservoirs of the study area to develop its hydrocarbon trapping potentiality. Allan's Diagram shows that the fault F1 probably represents where the location of the J-1X well is not only at the down-dip part of the member but also at the point of its leak zone. So, it represents no hydrocarbon potentiality at the J-1X well. On the other hand, hydrocarbon potentiality could be found in other locations