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Energy

Sound Energy says Tendrara gas flow “already highly commercial”

Sound Energy's Moroccan expansion is showing early signs of success.

Sound Energy PLC (LON:SOU) has told investors that gas flows from the Tendrara well are “already highly commercial” and added that the well is above initial expectations.

The company, in a brief stock market statement, said it has now made contact with a significant portion of the well’s net pay, and it is stabilising gas flows through a clean-up process.

Rig-less operations continue, and it is expected that further announcements will come within around two weeks.

At midday, Sound Energy’s AIM quoted shares rose 4.5p, 13.5%, to change hands at 37.75p each.

IN DEPTH: Sound Energy’s ambitious Morocco expansion

Sound Energy, last Monday, announced at that time it had measured a gas flow rate of 1.36mln cubic feet per day from 5 metres of pay.

The well was drilled to a depth of 2,665 metres and a total of 28 metres of net gas pay was encountered.

At that time, chief executive James Parsons said: “We eagerly await the post stimulation flow rate but I believe the early results of this first well already both prove a material commercial rate at Tendrara and provide significant early clues as to the regional potential of the Eastern Morocco TAGI reservoir."

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