BLR. Update3 Mar 2006 11:21
BLR. Please find the attached information relating to Black Rock Oil & Gas that was released from Oil Barrel today.
Black Rock Provides Update On Near Term Production Opportunities In Colombia
Investors have been waiting for some months for an update from Black Rock Oil & Gas on its operations in Colombia. There had been something of a hiatus in newsflow just as the AIM-quoted company seemed to be really motoring in the South American country, having drilled two appraisal wells on the Arce heavy oilfield and talked of near-term production opportunities in 2006.
Now it seems the company, which in December exited its Australian business in order to focus on its operations in Colombia and the North Sea, has reached agreement with its 50/50 joint venture partner Kappa Resources to complete the Arce-2 well ahead of a steam flood production test. While the project is never going to be a company-maker, it does hold the promise for maiden production later this year.
Black Rock took 50 per cent of the Arce oilfield, which lies in the Las Quinchas Block in Colombia's Middle Magdalena Basin, in April 2005. There followed a series of appraisal wells: Arce-3 came in pretty much in line with expectations, flowing between 25 and 36 barrels per day of sticky 13.5 degree API oil, while Arce-2 flowed at rates of between 10 and 60 bpd.
The partners plan to steam flood the field, a process which should make the heavy oil more mobile and so increase flow rates. Steam flo