LONDON (Alliance News) - Nigeria-focused oil and gas company MX Oil PLC said on Tuesday that it and its licence partners of Licence OML 113 offshore Nigeria are working on a simulation study to assess the potential for new wells.
This follows work carried out using production data from the Aje-4 and Aje-5 wells to estimate the potential for oil and gas development of the Aje Field.
The Aje-4 well on the Cenomanian produces in the range of 1,500 to 1,7000 barrels of oil per day, suggesting that the connected oil volume to the well is larger than currently mapped, giving the possibility of drilling another well to the east of Aje-4.
Aje-5 current produces between 1,600 to 1,700 barrels of oil per day from a limited six foot completion interval on the Turonian oil rim, and has performed better than expected, underlying its potential.
MX Oil believes that optimal development of the rim would require the drilling of long horizontal wells and measured producing to keep the water and gas in place. Once drilled, the wells could produce up to 5,000 barrels per well.
"We are very pleased with the results of the latest CPR and the follow on work using the production data for the two producing wells. The Aje Field clearly has great potential to become a very significant production asset and we are busy working on the next stage of its development," said Chief Executive Officer Stefan Oliver.
Shares in MX Oil were down 9.3% at 0.41 pence on Tuesday.