G2 Energy Corp (CSE:GTOO, OTC:GTGEF) announced that it achieved stable oil and gas production at its Masten Unit located in the Permian Basin in Levelland, Texas in January.
The company noted that production remained at a stable baseline despite low temperatures during the month causing the wells to be shut down for three days to prevent any damage.
In January, the Masten Unit produced 2056 barrels of oil and 4,346 thousand cubic feet (MCF) or 2,780.5 barrels of oil equivalent of gas.
Estimated revenue for oil sold to Phillips in January, 2016 barrels, is expected to bring in gross revenue of US$142,188, with G2’s net revenue being US$107,831.
Meanwhile, Oilwell Operators has conducted tests on the tubing of two wells which are potential candidates for workovers as part of G2’s Production Enhancement Plan.
The company’s next planned workovers are to replace four pumps on producing wells which is set to increase production by 10% to 20% or by between 7 and 15 barrels of oil per day. This work will be carried out when permitted by weather conditions.
“The production stabilization at our Masten Unit is the result of our team focusing and executing on Phase One of our Production Enhancement Plan,” G2 Energy CEO Slawek Smulewicz said in a statement.
“We particularly like the low risk, low-cost element of steady growth that we are seeing in the field. The Plan will continue as outlined in Phase One. We will also continue to evaluate additional acquisition opportunities as they arise.”
G2 Energy is a junior oil and gas producer listed on the CSE exchange. Its primary focus is to acquire and develop additional overlooked, low-risk, high-return opportunities in the oil and gas sector.