G2 Energy Corp (CSE:GTOO, OTC:GTGEF) said that its Permian Basin asset continues to maintain stable oil and gas production despite December's cold weather.
Acquired by G2 Energy TX1 Inc. on June 1, 2023, the Masten Unit's performance is attributed to G2's ground team, Oilwell Operators, implementing the Production Enhancement Plan.
In December, oil production reached 2,068 barrels, while gas production totalled 4,935 MCF (2,890.5 BOE).
The crude oil, sold to Phillips 66 (NYSE:PSX), generated gross revenue of US$162,213 (US$1,946,561 annually) with G2's net revenue amounting to US$117,347.
The next phase involves four pump replacements on producing wells, expected to increase production by seven to 15 barrels of oil per day (BOPD), representing a 10 to 20% boost. These workovers are scheduled when weather conditions permit, G2 told investors in a statement.
Commenting on the production stabilization, G2’s CEO Slawek Smulewicz emphasized the success of executing Phase One of the Production Enhancement Plan.
“We particularly like the low-risk, low-cost element of steady growth that we are seeing in the field,” Smulewicz said.
“The Plan will continue as outlined in Phase One. We will also continue to evaluate additional acquisition opportunities as they arise.”
The company said it plans to adhere to the outlined phases and remains open to evaluating additional acquisition opportunities.