14th Jun 2018 13:14
LONDON (Alliance News) - Eland Oil & Gas PLC on Thursday said its joint venture subsidiary Elcrest Exploration & Production Nigeria Ltd completed the Opuama-9 well in Nigeria.
The AIM-listed oil & gas producer said that the Opuama-9 well has been handed over to the field production team, and will flow test into the production facilities and on to export.
The Opuama production team will conduct a maximum efficiency test, incrementally testing the well at increasing choke sizes. Eland expects Opuama-9's initial production to be at the upper end of its previous guidance of between 4,000 and 6,000 barrels of oil per day.
The company also said that a teamwork rig will arrived at the Opuama-10 drill site, where spudding is expected to begin in June. The company expects production to be between 4,000 and 6,000 barrels of oil per day.
"Opuama-9 has been a challenging well but we are extremely pleased that production is likely to be at the high side of our estimate and simple well payback at current oil prices still predicted to be sub 90 days," said Chief Executive George Maxwell.
"We will soon move to and spud Opuama-10 and look forward to a successful drilling program," Maxwell added.
Shares in Eland were trading 1.2% lower at 119.00 pence each on Thursday.
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