26th Aug 2015 07:44
LONDON (Alliance News) - North Africa-focused oil and gas company Circle Oil PLC on Wednesday said the Ksiri South exploration well in the Sebou permit in Morocco has been plugged and abandoned.
Circle said the drilling on the well encountered unexpected rock formations and, as a result, has been plugged and abandoned. Technical data from the well is now being assessed with a view to further drilling in the area in the future.
The drilling rig has now been mobilised to drill Ksiri West, the next exploration well in the Sebou permit.
"The drilling conditions at KSS-A proved challenging, and as a result it was decided to plug and abandon the well in order to allow time for a new well design to be engineered. This was the most cost-effective approach, and it will allow drilling of the KSR-A well to commence ahead of schedule," said Chief Executive Mitch Flegg.
"Although we are disappointed to have not reached the prognosed target depth of KSS-A, we have minimised any cost implications by quickly moving on to the next well in the campaign," Flegg added.
Circle shares were down 4.1% in early trade to 5.154 pence.
By Sam Unsted; [email protected]; @SamUAtAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
Circle Oil Plc