Challenger Energy Group PLC (LON:CEG) provided an upbeat assessment of the secondary reservoir targets in the Saffron-2 appraisal well, whilst drilling continues down to the well’s main target.
Third-party petrophysical analysis of log data has indicated some 165 feet of net oil bearing reservoir sands, the company said in a statement.
Drilling is meanwhile marked at a depth of around 3,850 feet, towards the target depth of 4,550 feet. The well remains on-track for completion by June 23 and production testing operations are planned to follow in July, the company added.
i3 Energy Plc (LON:i3) is to drill two new ‘high return’ wells in the Wapiti production area in western Canada in the coming weeks.
The decision to drill the two wells, slated to start in July, is expected to boost output and revenue at an estimated net cost of around US$2.1mln, which i3 noted is just 1.3x the forecasted net operating income for the next twelve months. It is expected that the drill programme will conclude early in the third quarter. The wells are expected to add around 175 barrels of oil per day net to i3.
The company has also executed a letter of intent to acquire an additional 230 boepd of production in the Wapit area. These assets, Cardium and Dunvegan, are described as ‘synergistic’ to the company’s existing interests in the area. It subsequently plans to invest in a programme of six well reactivations across Cardium and Dunvegan which is forecast to add 310 boepd, at a capital cost of around US$410,000.
Eco Atlantic Oil & Gas Ltd (LON:ECO) (CVE:EOG) said it is looking forward to announcing a new drill schedule offshore Guyana in the coming months. The explorer said its partner and operator of the Orinduik Block, Tullow Oil PLC (LON:TLW), is confident in the technical advancement and progression towards drill target selection in the third quarter of 2021.
It will follow the completion of desktop work this summer to reprocess seismic data. Progress on this timeline will see fresh exploration drilling offshore Guyana in 2022.
Zephyr Energy PLC (LON:ZPHR) provided an update on its recently acquired interests in the Williston Basin, North Dakota, where wells are in the process of being brought online for production. The company acquired non-operated interests in the package of wells back in March. In a statement, today, Zephyr said it has received two monthly revenue payments for the producing Iverson 11-14HU well.
Four wells – two at the S-Bar area and two at Feehan – were drilled but uncompleted (DUC) at the time of the deal and all have now been completed. The S-Bar wells have been brought into production so far and the Feehan wells are expected to be placed into production within the next month.
Mosman Oil and Gas Ltd (LON:MSMN) got the greenlight from the Australian authorities to conduct its proposed airborne gravity and gradiometry survey over EP 145, in the Amadeus Basin in the Northern Territory. It is anticipated that the company’s contractor will start the data acquisition programme in the week commencing 5 July 2021.
Previously, Mosman noted that it will be the first time that data acquisition will be undertaken across the whole permit, and, it will be used to identify focus areas for future programmes including seismic and potentially drilling.
A day earlier, Mosman updated investors on progress on the Falcon-1 well and the Stanley project in East Texas, US. The AIM-listed firm said the Falcon-1 well was re-completed in a new zone last week and can now confirm that the well is producing gas and oil with no reported water.
The flow is intentionally restricted with a 5/64 choke well to monitor performance, Mosman said, adding that the production rate with this choke is around 600 metric million British thermal units (MMBtu) per day (around 105 barrels of oil equivalent per day) and that the well has been operating at this level since June 12.
TomCo Energy PLC (LON:TOM) told investors the Greenfield Energy joint venture is now producing around 180 bopd at the Petroteq oil sands plant (POSP) at Asphalt Ridge, in Utah. It added Greenfield expects to shortly reach the targeted production level of 250 bopd, as it processes material with expected higher concentration of oil.
The company said that further shipments of oil are anticipated at similar prices to the first shipment, at around US$55 per barrel, though any change would reflect the prevailing oil price at the time.
Block Energy PLC (LON:BLOE) inked a deal with Baker Hughes to support drilling operations in Georgia. The memorandum of understanding (MOU) sets up a partnership enabling progress for its significant oil and gas opportunities, Block said.
The MOU envisages a production-led, multi-well drilling programme. The first project will be a horizontal well at the WR-BA well target location in West Rustavi, where the company is targeting 2.1mln barrels of recoverable resources.
Scirocco Energy PLC (LON:SCIR) is to invest GBP1.2mln in Energy Acquisitions Group Ltd (EAG), a vehicle in the sustainable energy sector with plans to acquire an anaerobic digestion (AD) biogas energy project in Northern Ireland. EAG has an agreement to acquire Greenan Generation Limited, which has a 0.5 megawatt AD plant, which creates biogas, and a new joint venture is expected to pursue a series of identified acquisition opportunities in the AD sector.
Scirocco highlighted that it is a value accretive investment funded by existing cash resources, in line with its new strategy to deliver shareholder value through acquisitions in the European energy market.