29 Apr 2015 07:00
29 April 2015
Amerisur Resources Plc
Operations Update
Amerisur Resources Plc ("Amerisur" or the "Company"), the oil and gas producer and explorer focused on South America, is pleased to provide an update on operations in the Platanillo field, Colombia.
The Company has reactivated a limited production volume from Pad 3N in the Platanillo field. This step has been taken due to an improvement in operational netback from this production pad, on the basis of cost reductions achieved through efficiencies and negotiations of tariffs with service providers, the improvement in current sales prices and the availability of additional reception volumes at the Orito station operated by Ecopetrol.
Pad 3 is currently producing around 1,300 BOPD, and entire field production is currently approximately 5,030 BOPD. 100% of this volume is being delivered to Orito. At the same time Amerisur has taken the opportunity to re-enter certain wells to perform chemical treatments to improve well production. Capex guidance for the year remains unchanged from the announcement made on 2nd February 2015.
Operational netback to the Company during early April was US$24 per bbl, with an estimated sales price of US$51, and the volume contribution from Pad-3N is expected to increase operational netback to US$29 per bbl at a sales price of US$55. Once the interventions of wells on Pads 9 and 5 are completed, field production in May is expected to be around 5,600 BOPD, with an operational netback of US$30 per bbl in May, assuming that this volume can continue to be delivered into the Orito facility.
John Wardle, CEO of Amerisur commented:
"Under current conditions our production volumes will be tied to the lifting and transport cost profiles, until our interconnector with Ecuador is ready later in the year. Naturally we welcome the recent recovery in oil price and look forward to further improvements as the market stabilises."
ENDS
Competent person: Technical information in this announcement has been reviewed by John Wardle Ph.D., the Company's Chief Executive. John Wardle has 29 years' experience in the industry, having worked for BP, Britoil, Emerald Energy and Pebercan, and is a trained drilling engineer.
ENQUIRIES:
Billy Clegg/Georgia Mann | Tel: +44(0)203 757 4980 |
Camarco
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Jeremy Low/Daniel Conti | Tel: +44 (0)207 653 4000 |
RBC Capital Markets
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Chris Sim | Tel: +44 (0)207 597 4000 |
Investec |
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