Empyrean Energy Plc (LON:EME) told investors that gas production and sales has begun from the Dempsey well, in the Sacremento basin onshore California.
The well, which is 30% owned by Empyrean, is flowing gas at a rate of 140 thousand cubic feet of gas per day.
An application process is underway for the permitting of the enhanced reservoir stimulation of the well is proceeding as planned, and it expects stimulation operations expected in the first quarter of 2018.
"This is a milestone achievement and with production and gas sales now underway at Dempsey 1-15 crucial data on the quality of the reservoir will now be collated ahead of fracture stimulating this zone,” said Tom Kelly, Empyrean chief executive.
“We have been informed by Sacgasco, the operator of the well, that the fracture stimulation planning and permitting has commenced in earnest and is proceeding smoothly with a view to commencing during the first quarter of 2018.
“I look forward to providing further updates as they become available."