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Don't have an account? Click here to register.Frontera Resources claims "well big" success
Tue, 11th Oct 2011 08:07
Frontera Resources, the Georgia focused oil and gas company, says that a new well has hugely increased the size of its Mtsare Khevi field.So-called "well 32" was dug to a depth of 370 metres and the test results delivered a flow rate of approximately 12,500 cubic meters of gas per day.Frontera's site is 10 kilometres from Georgia's national gas pipeline so the company hopes that infrastructure will now be put in place to connect its site to the grid.The Chairman and Chief Executive of Frontera, Steve Nicandros, said of the find:"The successful results achieved by the 32 well are extremely significant in that they not only serve to ... enhance the value of the Mtsare Khevi field's gas resources, but also confirm the presence of gas in the western portion of Block 12 which may lead to further upside prospectivity. "He went on to add: "...the success achieved from recent drilling has significantly enhanced the value of the Mtsare Khevi field and will now set us on a course to accelerate gas sales into the local market where prices range from $4 to $6 per mcf [million cubic feet]. When these gas sales commence, the increase in production will provide Frontera with the additional cash flow to significantly enhance the profile of the Company and contribute to its target of reaching 5,000b/d by the end of 2013." Frontera's share price jumped 11.86% in early trading on news of the find.BS
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