In testing, the well yielded oil at a rate of 1,100 barrels per day which is significantly ahead of prior expectations. The well had previously targeted a rate of 325 bopd.
The initial well performance is better than any well drilled in Georgia in the last 50 years, Block said.
“We are delighted to report such encouraging test results from the first well we have sidetracked at our flagship West Rustavi field, delivering a production rate significantly higher than that initially presented,” said Paul Haywood, Block Energy chief executive.
“Current performance, complemented by the company's increased working interest in the licence, looks set to deliver great value to our shareholders.
“Management will now digest this extraordinary result and crystalise a development strategy beyond that already outlined to the market on Well 38. This is truly an exciting time for Block Energy, and we look forward to updating the market shortly.”
Block noted that the well was shut-in for a 72-hour period, and, it will subsequently be put into production via the existing test-scale facilities at West Rustavi.
The company presently owns 71.5% of the West Rustavi asset, though it recently entered into an agreement to take full ownership.