Prospex Energy PLC (AIM:PXEN) shares jumped 10% to 4.85p on Friday after the company confirmed that gas production from its Viura field in northern Spain has reached full planned capacity.
The AIM-listed group said the Viura-1B well is now producing 180,000 normal cubic metres of gas per day, matching its target plateau rate.
The well, operated by HEYCO Energía Iberia, was brought back online on 17 October, with measured output on 22 October slightly higher at 186,333 cubic metres, or around 6.9 million standard cubic feet per day, at a 30% choke setting. Water production remains low and continues to decline.
Prospex holds a 7.24% economic interest in the Viura field through its 7.5% stake in the operator. The company is currently entitled to 14.47% of production income until it recoups its initial £8 million investment plus 10% annual interest.
Chief executive Mark Routh said the field had “achieved the planned plateau production rate within a week” of restarting output, describing the result as confirmation that Viura is a “prolific gas field” expected to generate strong cash flow for years to come.
The Viura acquisition added about 6.5 billion cubic feet to Prospex’s reserves, with total recoverable reserves at the field estimated at 90 billion cubic feet, subject to further review once new seismic data are assessed.