ADV.L Share News (ADV)

(Sharecast News) - Energy investment company Advance Energy updated the market on the Buffalo project offshore Timor-Leste on Wednesday, ahead of the drilling of the Buffalo-10 well.
The AIM-traded firm said the well was on schedule to spud in early November in a shallow water depth of 30 metres, with a reservoir depth of between 3,200 and 3,300 metres.

It said the mid-case recoverable volume estimate was 34 million barrels of gross 2C contingent resource in the Buffalo field.

Buffalo-10 was considered by RISC Advisory to have an 85% probability of confirming a sanctionable development project based on the minimum economic field size, with the company adding that it would be retained as the first production well in its development programme.

Discussions were underway to facilitate accelerated first production, the directors added, with equipment currently being mobilised for drilling.

"Advance Energy is pleased to note that everything is on track for the Buffalo-10 well to spud in early November," said chief executive officer Leslie Peterkin.

"As noted in this update, the joint venture has been working hard to ensure everything is lined up to enable the safe drilling of this material well for the company."

Peterkin said the joint venture was "confident" of Buffalo-10 being both a geological and economic success, and was thus "laying the groundwork" to bring the field into production on an accelerated timeline.

"We look forward to providing a further update to confirm that the rig is in transit to location in due course."

At 1209 BST, shares in Advance Energy were up 3.8% at 3.14p.