Predator Oil & Gas Holdings plc has completed its acquisition of operator T-Rex Resources (Trinidad) Ltd and 83.8% of the Cory Moruga licence, onshore Trinidad.
SNOWCAP
The licence includes the Snowcap discovery, with oil previously produced on test from the Snowcap-1 and Snowcap-2ST wells.
Over the next three years, Predator will re-enter Snowcap-1 to bring the Herrera No. 8 Sand back onto production.
The existing 3D sesimic on Cory Moruga will be reprocessed and an appraisal/exploration well drilled to test all eight Herrera reservoir intervals comprising Nos. 1 to 8 Sands.
Restoration of production is targeting a predicted rate of 100 to 200 bopd based on a successful wax treatment programme and re-completion of the well.
The company plans to survey Snowcap-2ST-1, which also previously encountered oil-bearing Herrera Sands, for possible re-entry and production.
Predator added it would immediately begin planning for the workovers with production restarting in early 2024 on successful operations.
FDP
Predator’s outline for an amended field development plan includes up to 20 development wells drilled over three years after the initial work programme.
Potential long-term production for the fully developed Cory Moruga field is 5,000 to 9,000 bopd.
The company said a “possible longer term miscible CO2 EOR scheme” could be implemented at the appropriate time in the FDP.
Predator also aims to publish its independent technical report before the end of 2023.
The completed transaction T-Rex’s owner, Challenger Energy Group plc, also results in Predator paying US$1 million to Challenger.
Predator will pay a further $1 to regulators in settlement of past dues on Cory Moruga, and a contingent $1m to Challenger on certain production benchmarks.
Executive chairman Paul Griffiths added: “Cory Moruga most significantly creates the opportunity for cash flow in 2024 to protect against difficult market conditions and negative investor sentiment caused by uncertainty generated by regional conflicts and poorer global economic performance.”
He added that the company’s priority remained its onshore operations in Guercif, Morocco as well as working towards a compressed natural gas development, subject to approvals.