RE: Afternoon all20 Nov 2017 10:20
This gives some hope,
Compared to pre-drill assessments set forth in the Competent Person's Report
("CPR") of the 7 November 2016 Admission Document, flow rates from the Great
Oolite reservoir are below expectations, and work is continuing to clean up the
well. The Company is investigating the new geological and borehole information
to update its understanding of the reservoir. In addition, the Company is
currently examining evidence that suggests a partial flow reduction is the
result of a hole in the production tubing, therefore not allowing the well to
be fully drawn down. The Company is conducting further analysis and if
confirmed, the Company will undertake operations to repair the tubing which
will allow maximum draw from the reservoir. This is the priority for the
Company over the coming weeks.
In addition to any necessary repair, industry information and technical
guidance on analogous wells in the region suggest initial flow rates can be
improved. Angus Energy believes its initial flow rates from Lidsey-X2 have
similar potential for increased yield. Therefore, the Company is conducting a
thorough study to optimise and enhance production levels from the Great
Oolite.