14th Aug 2019 16:45
(Alliance News) - Attis Oil & Gas Ltd said Wednesday its US subsidiary Attis Oilfield Services LLC has agreed to provide testing and reporting services for 987 wells in the Texas Panhandle.
In particular, the contracts are with Kodiak Operating LLC and Ponderosa TX Operating LLC, and are expected to generate positive cashflow from September.
In terms of field work, Attis produced 17,765 barrels of oil equivalent in the period from April 1 to July 31. Starting from August, the company has consistently averaged 110 barrels per day.
However, following the completion of initial reworks across its three fields, Attis expects future production for the existing pumping assets to be within the 110 to 120 barrels per day range.
Attis operates from three fields in Texas: the Austin field, Zink Ranch field and Fort Worth field joint venture.
"The stabilised production base we've built over the last four months provides the platform from which the company will expand its production and revenue. We believe the preliminarily reserve studies which are being refined together with the external geologists' team could open up development and new drill opportunities within our existing acreage," said Chief Operating Officer Thom Board.
Shares in Attis Oil & Gas were up 7.4% at 0.10 pence on Wednesday in London.
Related Shares:
AOGL.L