Argentina Field Commercial, Says UK Junior
Two UK-listed juniors reported positive South America exploration news March 12. President Energy said commercial gas flows were achieved on its Estancia Vieja field, following its recent reactivation testing of gas wells there on its concession in Rio Negro province, Argentina.
Two of the wells produced median rates of between 200 and 250 barrels of oil equivalent/day (boe/d) each at a 6 mm choke plus associated condensate with the top rates achieved at larger choke sizes of 300 and 520 boe/d. Its said that pressure recovery tests indicated the potential for good production.
First gas production is targeted for the end of this year and three more gas wells may be available for testing also this year. The gas price when the field was shut in around 2011 was sub-$2/mn Btu but now exceeds $4/mn Btu and, in the winter, $5/mn Btu.
Another London-listed junior, Echo Energy, said March 12 that – following agreements with Argentinian producer Pluspetrol and Bolivian state YPFB in mid-2017 to jointly evaluate the Huyaco and Rio Salado areas of Bolivia – that reprocessing of the 250 km2 of seismic data (originally acquired in 1998) has now been completed. Echo said it and Pluspetrol have the opportunity to progress to a commercial agreement with YPFB on completion of a technical evaluation, and that decision along with an associated work programme would be made in 2H 2018, with potential future drilling most likely to follow other wells now being drilled in the basin, with Echo seeking to find a farm-in partner.
Echo also announced the appointment of Geoff Probert as chief operating officer, who until lately was North Africa managing director for Petroceltic and before that worked for Shell and BHP Billiton.