27th Jan 2020 12:31
(Alliance News) - Block Energy PLC on Monday said testing at a well at its flagship West Rustavi field in Georgia found higher gas production rates than expected.
Multi-rate production testing at well WR-38Z found a peak oil rate of 296 barrels of oil per day.
Block Energy said: "The formal multi-rate test began on January 3, recording high well productivity and higher gas production rates than expected."
Meanwhile, drilling has begun at a third well at the Georgia asset.
WR-51Z is expected to achieve output levels of 300 barrels of oil equivalent per day, and assuming a Brent price of USD60, it would generate Block Energy an extra USD3 million in revenue during its first year of production.
Well WR-16aZ is expected to be brought back into production in early February, after output was halted to allow for a facilities upgrade. The well generated 55 barrels of oil equivalent per day and Block Energy expects production there to improve.
Chief Executive Paul Haywood said: "We are glad to announce that our development programme is moving full-speed ahead on multiple fronts."
Block Energy shares were flat at 5.20 pence each in London on Monday afternoon.
By Eric Cunha; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
Block Energy P.