Cabot Energy, #CAB today released an operational update on their 2018 winter drilling programme in Alberta. Oil production has been lifted from an average of 400 bpd in 2017 to an average of 950 bpd in April 2018, with an additional 200 bpd expected in Q2. Some 130 bpd output was lost during the quarter due to an internal pipeline inspection programme and casing problesm with a well.
In an exclusive interview with London South East, CEO Keith Bush explained that the Cabot planned spend for 2018 is $14 million, with some of that already spent on the four sidetracks. Drilling will be the main focus for 2018, in addition to some infrastructure upgrade work.
The team has been strengthened to cope with the new workload. The additional oil output comes from the winter work programme which saw four new sidetrack wells drilled and which is now producing a combined 450 bpd. This delivers a significant extra revenue stream for the company.
Cabot also has oil and gas interests in Italy. A marine mammal monitoring programme has just been successfully completed offshore near Brindisi in Southern Italy with the results to go to the Italian regulator. It is hoped to have a 3D seismic survey commissioned by the end of 2018 for the Giove oil discovery and Cygnus exploration prospect.