Eland Oil & Gas PLC Opuama-8 and -9 Infill Wells Update (0662C)
January 17 2018 - 1:00AM
UK Regulatory
TIDMELA
RNS Number : 0662C
Eland Oil & Gas PLC
17 January 2018
17 January 2018
Eland Oil & Gas PLC
("Eland" or the "Company")
Opuama-8 and -9 Infill Wells Update
Eland Oil & Gas PLC (AIM: ELA), an oil & gas production
and development company operating in West Africa with an initial
focus on Nigeria, is pleased to announce that its joint-venture
subsidiary Elcrest Exploration and Production Nigeria Ltd
("Elcrest") has successfully drilled and completed the Opuama-8
well. The Opuama-8 well has been handed over to the Opuama field
production team and the well will flow test into the production
facilities and on to export.
Under the regulatory guidelines the Opuama production team will
conduct a Maximum Efficient Test ("MER Test") incrementally testing
the well at increasing choke sizes. It is expected that, following
completion of the MER Test, initial production from Opuama-8 will
be in line with previous guidance, at between 5,000 and 7,000bopd
(gross).
Furthermore, following the successful completion of Opuama-8
infill well, the OES Teamwork Rig was mobilised to the Opuama-9
drill site and has since spudded the Opuama-9 infill well. Drilling
is expected to be completed in February, with first oil from
Opuama-9 of between 4,000 and 6,000bopd (gross) expected in the
first quarter of 2018.
The Opuama-9 well is intended to produce the D1000 reservoir,
with possible secondary production targets in the D2000 and D5000
reservoirs. In addition, the well will determine if the shallow 'C'
sands contain oil in a crestal location and will be deepened to
appraise the E2000 reservoir.
Production performance from Opuama field is strong, with gross
production from Opuama-1, -3 and -7 wells being approximately
18,000bopd.
George Maxwell, CEO of Eland, commented:
"We are pleased with the successful drilling and completion of
the Opuama-8 well and we look forward to confirming stabilised
production rates in due course. The success of Opuama-8 will result
in increased production and cash generation from OML 40.
Our drilling programme will continue beyond Opuama-9, where our
continued investment will further enhance both production and cash
flow levels."
For further information:
Eland Oil & Gas PLC (+44 (0)1224 737300)
www.elandoilandgas.com
George Maxwell, CEO
Ronald Bain, CFO
Finlay Thomson, IR
Canaccord Genuity Limited (+44 (0)20 7523 8000)
Henry Fitzgerald O'Connor / James Asensio
Panmure Gordon (UK) Limited (+44 (0)20 7886 2500)
Adam James / Atholl Tweedie
Tom Salvesen
Camarco (+44 (0) 203 757 4980)
Billy Clegg / Georgia Edmonds / Tom Huddart
In accordance with the guidelines of the AIM Market of the
London Stock Exchange, Pieter van der Groen, a geologist and
Eland's Chief Operating Officer, who has a geology degree from
Auckland University, a Masters degree in Petroleum Geology from the
University of Aberdeen and has over 25 years of relevant experience
in the upstream oil and gas industry and who is a member of the
Society of Petroleum Engineers and meets the criteria of qualified
person under the AIM guidance note for mining and oil and gas
companies, has reviewed and approved the technical information
contained in this announcement.
Notes to editors:
Eland Oil & Gas is an AIM-listed independent oil and gas
company focused on production and development in West Africa,
particularly the highly prolific Niger Delta region of Nigeria.
Through its joint venture company Elcrest, Eland's core asset is
OML 40 which is in the Northwest Niger Delta approximately 75km
northwest of Warri and has an area of 498km(2). In addition, the
Company has a 40% interest in the Ubima Field, onshore Niger Delta,
in the northern part of Rivers State.
The OML 40 licence holds gross 2P reserves of 83.2 mmbbls, gross
2C contingent resources of 41.2 mmbbls and a best estimate of 254.5
mmbbls of gross unrisked prospective resources. The Ubima field
holds gross 2P reserves of 2.4 mmbbls of oil and gross 2C resource
estimates of 31.1 mmbbl.*
Net production figures relate to Elcrest Exploration and
Production Nigeria Ltd ("Elcrest"), Eland's joint venture company.
Production rates, when oil is exported via Forcados, are as
measured at the Opuama PD meter, are subject to reconciliation and
will differ from sales volumes.
*Netherland, Sewell & Associates Inc CPR report 31 June
2015
The information contained within this announcement is deemed to
constitute inside information as stipulated under the Market Abuse
Regulations (EU) No. 596/2014. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.
This information is provided by RNS
The company news service from the London Stock Exchange
END
STRLFFEILEIRLIT
(END) Dow Jones Newswires
January 17, 2018 02:00 ET (07:00 GMT)
Eland Oil & Gas (LSE:ELA)
Historical Stock Chart
From Apr 2024 to May 2024
Eland Oil & Gas (LSE:ELA)
Historical Stock Chart
From May 2023 to May 2024