IGas Energy plc said it was on course to deliver its full year of production within guidance of 1,900 to 1,950 boepd from its assets onshore United Kingdom.
OPERATIONS
In early October, the company began a production drive to ensure its wells, plant and equipment were operating reliably.
IGas increased its operational rigs from three to five, returned 18 offline wells to production, converted two wells from jet pump to beam pumps, lowered operating costs and “significantly” increased water injection capacity.
NEW GLENTWORTH WELL
IGas added it had also submitted its planning application for the new oil well site at Glentworth to Lincolnshire County Council.
The company’s website states that oil will be extracted from the Mexborough Rock, which is a “conventional sandstone reservoir that has produced oil for the existing Glentworth-K site for 60 years”.
“The new wellsite will produce oil for up for 21 years and will include a well pad for the drilling of an appraisal well and up to seven horizontal development wells.”
The company said that Phase I of operations had the potential to add c.200 bbls/d and development of c.1.0 mmstb 2P reserves.
Oil produced at the site will be sold to a domestic refinery.
EFFICIENCY
Interim chairman Chris Hopkinson added that following a review, IGas had undergone changes to its corporate structure and approach to investment in production.
“There has been a restructuring and rightsizing of the executive committee that will enable improved strategic planning and more efficient decision making, as the business looks to create a strong and relevant future for its investor base.
“We are focused on putting cash generated during high commodity prices to work into maximising recovery from our existing assets and developing near term incremental production opportunities as well as growing our nascent geothermal business into a material enterprise.”