(Sharecast News) - Synergia Energy updated the market on its operations in India on Thursday, reporting that the C-77H well on the wholly-owned onshore Cambay gasfield was currently producing through the C-73 production facility, with the gas being sold to the low pressure grid.
The AIM-traded company, formerly known as Oilex, said full evaluation of the post-frac gas flow potential could only be achieved once the frac fluid introduced to the well was recovered through flow back.
It said testing of the C-77H well immediately after the re-frac operation demonstrated gas production rates up to 0.5 million standard cubic feet per day from the two newly-fracced zones.
The gas was flared under a limited duration flaring permit, with the gas and fluids being produced through the 4.5-inch liner, which was inhibiting the removal of the frac fluids.
"A workover rig is being mobilised in early September to re-install the two-and-three-eighths inch production tubing, which is anticipated to accelerate the frac fluid flow back," Synergia said in its statement.
"Once the production tubing is re-installed and the frac fluid flowback completed, the well will be re-tested to determine the full potential of the two newly-fracced zones by flaring the gas under a new short-term flaring permit."
The flowing tubing head pressure varied between 880 and 350 psi, depending on the level of fluid loading in the 4.5-inch liner, with rapid pressure build-up after short shut-in periods indicating the efficacy of the re-frac operation.
Synergia said the previous four fracced zones in the lower section of the wellbore were currently isolated with a bridge plug, to allow for accurate assessment of the re-frac program.
"The C-73 wellbore is being kept offline while production testing of the C-77H continues, but will be co-mingled with C-77H in the future.
"Finally, the four fracced zones that were in production prior to being isolated for the re-frac operation may be co-mingled by milling the isolating bridge plug in the future."
Looking at the farmout of Cambay, the company said that based on the belief it had established a fraccing methodology suitable for a full-field development, it was planning to initiate a formal farmout process for up to 50% of the one-trillion cubic feet Cambay gas and condensate field.
"The Cambay field is covered by a field development plan approved by the Directorate General of Hydrocarbons, with the current production sharing contract valid through 2029."
At 1215 BST, shares in Synergia Energy were down 2.77% at 0.16p.
Reporting by Josh White at Sharecast.com.
Synergia Energy (SYN)