Rose Petroleum PLC (LON:ROSE) confirmed it is lined up to drill a well in the first quarter of 2019 after it agreed an updated operational plan with the Utah Bureau of Land Management.
As part of the agreement the boundary of the Gunnison Valley Unit (GVU), in the Paradox Basin, has been extended to include acreage acquired by Rose earlier this year.
That acreage is host to the proposed GVU 22-1 well which, based on 3D seismic, is considered to be a top-ranked well location.
READ: Rose Petroleum receives final permit to start drilling
Rose told investors that it has been in discussions with various drilling companies to secure an appropriate rig so that the GVU 22-1 can be spudded at the earliest opportunity.
The company said it aims to secure the necessary drill programme funding ahead of the anticipated spud in the first quarter.
At the same time, Rose has also engaged Schlumberger to review the seismic analysis and other work around the GVU 22-1 structure.
"We appreciate the pragmatic approach taken by the BLM and are pleased that we have been able to jointly agree a revised operations plan that is for the overall benefit of all parties,” said Matthew Idiens, Rose chief executive.
“I am pleased that we now have a formal plan that allows us to drill our highest-ranked target first, which is key to the development of the project. Having clarity over operations and the BLM approval enables us to refocus on the well financing and farm-in process.”
Idiens added: “We look forward to announcing the conclusions of the Schlumberger work when possible and look forward to working with them on the GVU 22-1 well path optimisation."