San Leon Energy PLC (AIM:SLE, AQSE:SLE, FRA:SZX1, OTC:SLGYF) updated on its investment in the Oza field where a re-entry well has flowed 2,463 barrels of oil per day in testing.
The testing operation is ongoing, with two further zones set to be tested, and it is expected that the well will subsequently be put on commercial production.
San Leon invested in Oza via a subscription agreement with Decklar Petroleum through which it is purchasing US$7.5mln of 10% unsecured subordinated loan notes along with a 15% interest in the company’s equity.
The AIM-quoted firm additionally has the option to make further investments into Decklar.