Canadian Overseas Petroleum Limited (LSE:COPL, CSE:XOP) has announced promising developments in its operations in Wyoming, where it produced around 1,300 barrels oil equivalent for the month of May.
The company, in a statement, highlighted that it successfully converted three wells onto pumps which has boosted volumes.
It said that the first conversion resulted in a 110% rise in output to 190 barrels of oil per day (bopd) for May, whilst the second converted well is still stabilising but is yielding oil at higher rates also – the third only just resumed production at the end of May following the well operations.
These interventions are part of a broader production optimisation programme underway across COPL’s assets in Wyoming.
"The company is progressing on all fronts outlined in our last operations update,” COPL chief executive Arthur Millholland said.
“We are pleased with the progress on the construction of our Gas Gathering System Upgrades and are fortunate to have been able to acquire the necessary high-pressure production equipment we require here in Alberta, avoiding supply chain and long lead times in the United States.
“The results from our first well conversion have so far exceeded our expectations.”
He added: “Production from the converted wells takes time to settle down to design and implement a well specific paraffin treatment regime.”
Elsewhere in Wyoming, at the Cole Creek project area, COPL noted that the initial phase of recompletion in now complete for Frontier Oil (NYSE:FTO) and the company is now evaluating options for stimulation of well perforations. At the same time, COPL noted that joint venture talks are continuing.