In the first 27 days of July production at Welch was 1,180 barrels, of which 896 barrels was attributable to Mosman. This represents an average aggregate production (before royalties) of around 44 barrels per day. The previous six month average of circa 24 barrels per day had been below well capacity as water injection pump repairs had limited well production.
Mosman said the increase in production at the Welch Permian basin project in Texas, is directly attributable to the recent work-overs and repairs completed in early July. Mosman has now asked its consultants to consider any further wells that can be repaired in the near-term.
“We proceeded with the repairs as a result of obtaining funding from the recent placement and the repairs have resulted in an immediate effect on production. This is an encouraging evidence that Mosman continues to achieve its strategic objectives to build a strong production base," said John Barr, Mosman’s chairman.
Shares of Mosman were up 23.2% at 0.77p in early deals.