Empyrean Energy Plc (LON:EME) told investors that testing operations are due to resume on the Dempsey well in California’s Sacramento basin.
Production testing will restart later this month, following a review of all existing results and data.
In the new programme, the company intends to test shallower zones which had extensive gas shows and higher porosity - and therefore are seen to have a better chance of flowing hydrocarbons without stimulations.
"We look forward to testing operations re-commencing at Dempsey following an extensive technical review process,” said chief executive Tom Kelly.
“We have worked closely with Sacgasco, the operator of the well, to review the existing data, results and views of independent consultants.
Kelly added: “We are delighted to have reached consensus on forward operations that allow imminent testing of further prospective zones whilst maintaining the flexibility to revisit any zone at a later date to produce, re-evaluate or stimulate if required.
“Shareholders should note that Empyrean believes that testing these zones higher up in the well before any plan to fracture stimulate a deeper zone (or any zone for that matter) may provide a better chance of commercial gas flows and is a more logical next step now that we are able to stimulate at a later date if needed.”
Empyrean also noted that its Californian partner is working on an application to allow stimulation of zones in the Dempsey well in the future.