Victoria Oil & Gas plc (VOG) said the full potential of the La-108 well was likely to exceed the capacity of the plant in the industrial port city of Douala, Cameroon.
CAMEROON WELLS
The company’s wholly owned subsidiary and operator, Gaz du Cameroun S.A. (GDC) currently holds interests in the neighbouring blocks of Logbaba and Matanda.
Two producing wells La-105 and La-107 were spudded in 2009 and 2016 respectively.
Remediation work on La-108, aimed to extract a perforation gun stuck in the production tubing, was completed in mid-November 2020.
In its fourth quarter results, VOG said that during initial testing the La-108 well flowed at the 19 to 20 MMscf/d limit of the surface equipment, with a flowing well head pressure (FWHP) of 3,580 psig.
During the period, fishing operations commenced on well La-108 and re-opened on 11 November 2020 to flare and achieved a flow rate of just under 20 MMscf/d with a FWHP of 3,580 psig on a 32/64″ choke.
Final electrical and control work is underway prior to La-108 being put into production which is expected in early February.
GAS SALES
The company also reported average daily gross gas sales rate for the quarter of 5.1 MMscf/d (Q3 20: 4.7 MMscf/d) of natural gas plus gross 3,109 bbls (Q3 20: 2,438 bbls) condensate was produced safely and sold to industrial customers.
GDC has received approval for the one-year extension of the Matanda Block licence and started well planning.
RUSSIAN INTERESTS
VOG said that pandemic restrictions in the country were eased during May 2020 but restrictive measures remain in the Siberian Russian YaNAO region where the company’s West Medvezhye 100% owned asset is located, although VOG has no near-term operations.
SETTLEMENT
The company has also reached a settlement was reached with Cameroon Holdings Limited (CHL) to cease all legal action and cancel the CHL royalty agreement.
PRODUCTION
VOG chief executive Roy Kelly said that the Cameroon remained rich in resources but poor in energy, especially around Douala, which is the country’s largest city.
“The flow rate of the La-108 well obtained on short-term test was excellent, but such short-term deliverability is no measure of either long-term deliverability, or the ultimate reserves that may be recovered by the well, as the variations in the performance of the other wells has illustrated.
“We therefore require a period of sustained production from La-108 to determine how we can best use the well to serve the growing demand in the area.”
VICTORIA OIL & GAS
Victoria Oil & Gas plc is a domestic energy supplier in Africa, through its wholly owned subsidiary Gaz du Cameroun S.A.
GDC currently has producing wells at the Logbaba field and gas is transported across a 50km network.