22nd Jul 2015 08:23
LONDON (Alliance News) - PetroNeft Resources PLC Wednesday said production from license 61 in Russia is currently running at around 2,400 barrels of oil per day as its progresses with its drilling programme in Russia to bring more wells online.
That figure is substantially up from the 2,000 barrels of oil per day reported in March and the 1,950 barrels per day reported in May.
The Russian-focused oil company said the T-503 horizontal well, on the Tungolskoye field within the license, was initially running at a sustained rate of 550 barrels of oil per day when it was brought online on July 14, but said the latest test rate was actually 675 barrels of oil per day.
"Higher oil rates should be possible once the well has fully cleaned up completion and drilling fluids," said the company.
The Tungolskoye T-51B well also was completed. The well was important as it provided the "necessary stratigraphic control" needed for the T-503 well, but the reservoir was too tight to produce any oil from it. The T-51B well will be used as a water source well for the T-503 well going forward.
Stratigraphic control relates to the degree of understanding of the stratigraphy of an area.
The T-508 vertical well is now being drilled. The primary purpose of the well is to provide the necessary stratigraphic information for the drilling of a horizontal well in the south-east of the oil field, and will be completed as either a producer or injector.
At the Sibkrayevskoye field within license 61, the company is processing and interpreting 1,000 kilometres of 2D seismic data, with early indications suggesting the structure at the field is "larger than previously understood," it said.
At the West Lineynoye, also in the same license, the vertical pilot hole of the L-10 well was completed and whilst the company intersected a reservoir, there was no oil within it. The well is now being drilled horizontally to intercept a different reservoir near the L-8 exploration well which is currently producing around 50 barrels of oil per day.
The well is being drilled from a surface location near the L-8 well and can immediately be tied-into the Lineynoye facilities through existing infrastructure, said PetroNeft.
In total, current production from all the fields within license 61 stands at 2,400 barrels of oil per day. In May, the company said production from the license was averaging 1,950 barrels of oil per day.
Petroneft is aiming to increase production to between 3,500 to 4,000 barrels of oil per day by the end of 2015 after it completes the drilling programme.
PetroNeft shares were up 1.1% to 4.45 pence per share on Wednesday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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