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Columbus Energy looks forward to next stage of gas injection at Innis-Trinity field

Predator Oil & Gas is funding the gas injection venture and has the right to acquire the project later this year

Columbus Energy Resources PLC - Columbus Energy looks forward to next stage of gas injection at Innis-Trinity field

Columbus Energy Resources PLC (LON:CERP) told investors that it looks forward to the next stage of continuous gas injection at the Inniss-Trinity project, in Trinidad.

Inniss-Trinity is being progressed as a pilot project, testing enhanced oil recovery within a mature field.

It is being funded by joint venture partner Predator Oil & Gas Holdings PLC (LON:PRD) which has the right to acquire the project outright in due course.

READ: Columbus Energy inks temporary extension for Goudron services

Predator O&G earlier today said the project remains on track for revenue, and, “encouragingly” the project economics are still attractive at US$20 per barrel oil (WTI crude).

Whilst Trinidad has policies in place to tackle coronavirus (COVID-19), the Inniss-Trinity field remains operational as oil field personnel have been issued with passes to travel to and from the field.

Moreover, Predator noted that prior to the coronavirus outbreak it had already installed a remote access system, allowing pressure data to be monitored as well as providing control of gas injection.

“The next step is to inject CO2 at even higher pressures and on a continuous basis and Predator's CO2 provider is currently working to achieve this objective as quickly and safely as possible working under the current revised HSE protocols,” Predator said.

It added: “Positive cash flow at low oil prices will be critical during this transition period and the company now has additional time to potentially expand CO2 EOR operations in Trinidad for very low capital investment”.

In the company’s own statement, Columbus chief executive Leo Koot said: “Columbus and Predator continue to advance the CO₂ pilot project. We look forward to the next stage of continuous injection.”

Predator is supporting the funding of the venture, and it has an option to acquire the project for US$4.2mln – the option has a deadline of September 30, 2020.

Quick facts: Columbus Energy Resources PLC

Price: 2 GBX

AIM:CERP
Market: AIM
Market Cap: £18.36 m
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