(BLOE)8 Oct 2021 10:27
the exploration and production company focused on Georgia, is under pressure after reporting lower production and problems at a key well.
In the third quarter it produced 34.6mln barrels of oil equivalent, down from 42.6mln in the second quarter.
Revenues in the three months fell to US$901,000 from U$1.165mln in the second quarter, as it failed to take full advantage of the soaring oil price.
It said well WR-B1a was currently undergoing clean-up operations. Productivity at the well appeared to be being restricted owing to the natural fractures being clogged with loss circulation material used to prevent the large drilling fluid losses experienced in its previous West Rustavi wells.
The clean-up programme has been designed to dissolve the loss circulation material, requiring chemicals with a 14-day lead time to be sourced from a supplier outside Georgia. The results will be published once the clean-up programme and production testing have been completed.
Meanwhile preparatory work continues on JKT-01, which is planned to be next in the two-well programme. Concurrently, the ZJ-40 drilling rig will be undergoing routine maintenance.
The company said it planned to improve the near-term production performance from its mature fields with a programme of cleaning and pump replacement, to get the benefit of the currently high Brent price.