PCI.L Share News (PCI)

The share price of AIM-listed oil and gas company Petroceltic spouted higher on Monday morning after a successful well test in Algeria.The well test on AT-2 in the in Tsila Field, Isarene permit, resulted in gas flow rates in line with expectations.Gas pressures indicate that the AT-2 well is in the same pressure regime as the gas in the AT-1 well. From this, the company deduced that it is ‘probable that the Ain Tsila gas condensate discovery therefore extends at least 12km south from AT-1 to the AT-2 location.’The test also logged 4m of gas bearing sandstone in the Devonian F2 horizon, which the company will check out at a later date.Drilling on the AT-3 well has been completed, enabling flow testing of this well to commence. The well logged a gas column in the Ordovician reservoir in excess of 80 metres. ‘Well AT-2 has successfully demonstrated that the Ain Tsila structure contains a large volume of gas in place, with pressure continuity demonstrated from AT-1 to AT-2. It also demonstrated that the lower quality Ordovician sandstone encountered at AT-2, with porosities in the range of 5-10% are capable of flowing gas at commercial rates, even in vertical wells,’ said Brian O'Cathain, chief executive of Petroceltic.