7th Aug 2014 09:28
LONDON (Alliance News) - Soco International PLC Thursday said it plans to keep its full year production guidance, despite operational delays after it hit geological problems at a well in Vietnam.
The FTSE 250-listed oil and gas explorer and producer said in an activity update that it expects the CNV-7PST1 well in the Vietnamese Ca Ngu Vang field to be completed in September. The company said the well hit unexpected geological problems in the upper hole section of the well, just above the reservoir, and that borehole instability issues mean that part of the well has to be re-drilled and a new casing put in place.
Despite this, Soco plans to keep its full year production guidance at 14,000 to 15,000 barrels of oil equivalent per day.
The company said partners at its Te Giac Trang field in Vietnam continue to focus on achieving approval for the H5 field development plan on site, and meeting its first oil target during September or October 2015.
Soco said work is ongoing on the plan, which is expected to be submitted for approval by the end of the third quarter.
It added that the first two wells of an in-fill development programme on site have been completed and are producing in line with expectations.
The company also said its Lidongo X Marine-101 exploration well has started drilling in the Marine X1 Block, off the coast of the Republic of Congo.
The well tests the extension of an adjacent gas/condensate/oil field into the Marine-XI license block and has a provisionally planned total depth of 2,600 metres depth subsea, but it could go all the way down to 3,100 metres below.
Soco added that, after receiving all necessary regulatory approvals, a lake bed seismic survey on its Lake Edward site in the Democratic Republic of Congo was completed in July. The company said the data will now be processed and interpreted.
Soco International shares were down 0.2% to 427.50 pence on Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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