Aus Cooper Output Plan 'on Track'
Australian Cooper Energy saw strengthened quarter on quarter revenue in the October-December period despite lower production, while its plan to increase its output sixfold by 2020 is on track, the company said January 23.
“Our 2018 financial year is about delivering the milestones that take our production from last year’s 1mn barrels of oil equivalent to over 6mn boe by 2020 – a six-times increase,” it said in its quarterly report.
“Our December quarterly report illustrates that we are delivering on this plan. Sole is advancing on schedule and budget. We secured financial close on our senior debt facilities and completion of the Orbost Gas Plant transaction with APA Group,” it said.
The company’s share of production from its assets in the December quarter was 0.38mn boe, down from 0.43mn boe in the September quarter, and up from 0.06mn boe in the December quarter a year prior, it said.
Cooper’s sales revenue, meanwhile, rose from $14.4mn in the September quarter to $16.8mn in October-December, which is up from $6.1mn a year earlier.
It produces about 7 PJ (6.6bn ft³)/yr from the Otway Basin, most of which comes from the Casino Henry gas project which Cooper operates.
“Year to date [July-December] production of 0.81mn boe is 406% higher than the FY17 year to date due to the contribution from the Casino Henry and Minerva assets acquired effective 1 January,” it said.
The lower quarter on quarter production reflected natural field decline from Casino Henry and the Casino-5 well being offline for the entire quarter, it said.
“Plans are well advanced to workover Casino-5 during March 2018 using the Diamond Ocean Monarch drilling rig with a view to the well being brought back online early in the June quarter 2018,” it said.
The 17% increase in quarterly revenue compared with the three months to September is attributable to higher oil production and prices, it said.
Cooper is working on the Sole Gas Project, which involves the development of the Sole gas field in the Gippsland Basin offshore the Australian state of Victoria, and upgrade of the Orbost Gas Processing Facility to supply approximately 24 PJ/year from March 2019.
Approximately 186 PJ of the field’s proved and probable gas reserves of 249 PJ have been contracted for sale with the balance retained for future sales, Cooper said.
“The coming months are expected to be momentous as we drill the production wells for Sole, workover Casino-5 and commence sales under the new Casino Henry gas contract secured in the December quarter,” it said.