Mosman Oil and Gas Ltd (AIM:MSMN) said a frac at the G-2 production well at the Cinnabar Project in Texas successfully connected the First Wilcox reservoir zone to the production well and enabled the zone to flow.
Earlier in the month, the company completed a detailed development plan for the Cinnabar lease's three production wells, where production was included in the gross quarterly production numbers of 1,775 boe.
The plan is being implemented with gas infrastructure upgraded to enable gas lift either from produced gas or purchased gas, it said.
As part of the frac process, the well has been swabbed to recover frac fluids and initial flow established.
The well is currently being produced intermittently by allowing pressure to build up and flowing for a while before shutting in to allow pressure to build, the company said, promising a further update once a steady flow rate is established.
Chairman John W Barr said: "It is positive that the workover at the historic G-2 well has led to initial flow being established. We continue to move forward to optimise production of both oil and gas at Cinnabar."