8th Sep 2014 10:35
LONDON (Alliance News) - Kea Petroleum PLC Monday said its Puka-1 and Puka-2 wells have continued to produce steadily as it looks to evaluate the suspended Douglas-1 well at its Tikorangi site.
Puka-1 and Puka-2 have continued to produce about 110 barrels of oil per day, though the company said that present indications are that an "increased stoke rate to increase production out of these wells is not recommended as this could risk prematurely coning water into the wells."
The Puka field is operated in a joint venture with MEO Australia Ltd, an independent oil and gas company.
Kea and MEO are also evaluating the suspended Douglas-1 well at its Tikorangi site, also in New Zealand, for recoverable resources. The well was suspended in October 2012, with both parties now agreeing to "commence some initially limited sampling and pressure testing of the Douglas well," said the company.
"Initial analysis of the prospectivity of the outlined Tikorangi structure suggests a recoverable resource potential of between 5 - 20 million barrels of oil" said Kea.
"Whilst the vastly larger potential rests in a successful Tikorangi prospect, the Directors of Kea remain optimistic about the prospect for further successful wells," said Chairman Ian Gowrie-Smith.
Kea Petroleum shares were trading 13.12% lower at 0.682 pence per share Monday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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