The SD-3X well flowed at a maximum rate of 16.1mln cubic feet of gas per day over an eight-hour clean-up, and, following a brief shut-in (with no pressure decline measured), further tests at varied choke sizes recorded rates of 5.3mln and 8.4mln cubic feet per day. An extended flow test, over 12 hours, saw an average rate of 10.5mln cubic feet per day.
Eland shares edged higher on Thursday after the explorer told investors that the new Opuama-10 well in Nigeria, is now complete and is set to be handed over to the production team imminently.
Opuama-10 will shortly been tested for initial production rates, though Eland highlighted that it is expected to yield 4,000 to 6,000 barrels of oil per day, in line with expectations. It would bring field production to between 28,000 and 30,000 bopd.
That would give Eland’s Elcrest subsidiary between 1,800 and 2,700 bopd of additional production, taking its net production to between 12,600 and 13,500 bopd. At the same time, it has now been decided that the Opuama-11 well will now be brought forward after Opuama-10 encountered six oil bearing reservoirs of which only two have been delivered into production.
Touchstone on Tuesday confirmed strong production growth in the first half of the year and told investors that it will now expand its new drilling plans for the remainder of the year.
The Trinidad-focused junior oiler intends to drill an additional four wells in the campaign, before the year’s end.
It expects to drill the wells across the WD-4 and WD-8 properties. It increases the capital budget by US$4.8mln though the company said the new wells are expected to add incremental production volumes in early 2019 and further bolster its growth plans. In the second quarter, ended 30 June, drilled three new wells and performed four well recompletions – for a capital spending of US$4.52mln.
Sound has sharpened investor attention as it announced that mobilisation has now begun for its first new well for the Tendrara project area in Morocco.
The company, in a stock market statement, said that the National 110 IE (1500HP) land drilling rig owned by Saipem is now on its way to the location of the TE-9 well pad, which is currently under construction. The National 110 IE was used for all the company's previous wells in Morocco and is earmarked for all the upcoming wells (TE-9, TE-10 and TE-11).
Tlou told investors that the first well of its proposed pilot coal bed methane project is expected to spud in September. Equipment for the programme is arriving onsite ahead of drilling, it said in a statement.
Additionally, the company noted that a compulsory pre-tender meeting had taken place with the Botswana's Ministry of Mineral Resources Green Technology and Energy Security.
Tlou said that management believes that the meeting was positive and there appears to be continued government goodwill to advance the project. Additionally, it requested clarification of some terms in the RFP documents and were pleased with the responses received.
Independent Oil and Gas Plc (LON:IOG)
IOG has announced a US$15mln funding for the proposed high impact Harvey appraisal well, due to be drilled in the fourth quarter. Associate and partner London Oil and Gas (LOG) is to provide a new non-convertible loan facility.
The loan will carry interest at LIBOR plus 9% per year, and, LOG will also receive share warrants that give them the opportunity to acquire 20mln new IOG shares, at a price of 32.18p per new share.
United appears impressed with the first ‘fast-track’ data from the recently shot 3D seismic across the Walton-Morant licence, offshore Jamaica. Specifically, the explorer said the high-grade Colibri target, previously mapped in 2D seismic, has been clearly identified.
"The work programme to de-risk the 200mmbbl Colibri target on Walton-Morant continues to proceed on schedule and under budget,” said Brian Larkin, UOG chief executive. “Being able to clearly identify Colibri on the 3D seismic at such an early stage is highly encouraging and with this in mind, we are looking forward to the processing and interpretation work being completed.“
Canadian Overseas Petroleum Ltd (LON:COPL)
COPL has raised £3mln of new capital to support the group’s ongoing efforts to advance its assets in West Africa. It is issuing some 895mln new shares at 0.335p.
The explorer said the capital injection will cover around US$400,000 per month including a full technical team comprising geologists, a geophysicist, reservoir engineers, and a drilling engineer.
"The proceeds from the placing will be directed towards on-going general expenses, which covers our qualified technical team and in-house counsel,” said Arthur Millholland, chief executive.
Genel has relayed to investors details of the ‘fast track’ development at the Peshkabir oil field in Northern Iraq, where partner and operator DNO is ramping up.
Peshkabir had previously grown to yield around 35,000 barrels of oil per day, up more than 100%, thanks to the completion of the Peshkabir-4 and Peshkabir-5 wells. Now, two more wells - Peshkabir-6 and Peshkabir-7 – have been completed and are about to undergo production testing as they come online.
Two further new wells are also slated for the remainder of this year, with Peshkabir-8 to spud in 10 days, to be followed by Peshkabir-9 in October. DNO is targeting production of 50,000 bopd from Peshkabir by the end of the year.
"Peshkabir is proving prolific in production and has generated over US$300mln in gross revenue since startup last year, or three times the investment," said Bijan Mossavar-Rahmani, DNO executive chairman.