29th Jul 2015 07:30
LONDON (Alliance News) - LGO Energy PLC Wednesday said it has encountered recoverable hydrocarbons from the latest well to be drilled in Trinidad.
The company said the GY-676 well encountered a net pay of 250 feet from the Goudron sandstone and a further net pay of 222 feet from the C-Sand interval.
The well is the fifth to be drilled in the area in 2015, and once the company has drilled the remaining two wells it said it will provide some form of production guidance.
Currently, production stands at around 951 barrels of oil per day, which does not include the latest three wells which have been drilled on the project, GY-672, GY-673 and GY-674, which were brought online toward the end of the second quarter of 2015.
"Goudron continues to operate in a very efficient fashion with low historical operating costs of less than USD10 per barrel which is beneficial in the low oil price environment in which we continue to have to operate," said Chief Operating Officer Fergus Jenkins.
The next well in the planned sequence, GY-677 will be the sixth of 2015 and the 14th of the company's field development programme at the Goudron project.
LGO Energy shares were down 14.4% to 1.50 pence per share on Wednesday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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