Last checked at 24 Feb 2022 07:00
24 February 2022
Block Energy plc
("Block" or the "Company")
JKT-01Z Update
Highlights
· Production remains stable at well JKT-01Z at 310 boepd
· Gas produced from the well is already being sold
· Plans for the fully funded sidetrack of WR-B1 remain on track
Block Energy plc, the exploration and production company focused on Georgia, is pleased to announce production from well JKT-01Z continues at a current rate of 310 boepd, comprising 182 bopd and 21,800 m3 (128 boe) of gas per day. It is encouraging to note, after over a month of production data, well productivity is consistent with pre-drill forecasts.
As planned, gas production from the well was rapidly tied into the previously installed gas infrastructure to enable early monetisation.
Plans for the drilling of the previously announced side-track at well WR-B1 are well advanced, with long-lead items having been ordered. The well is being funded from existing cash from current production.
Block Energy plc's Chief Executive Officer, Paul Haywood, said:
"Continued stable production from JKT-01Z has added to our confidence in the updated geological model, derived from the integration of the data acquired from the drilling of WR-B1 and other wells. We now look forward to the drilling of the planned side-track at WR-B1, with the aim of delivering production more in line with initial expectations. I would like to take the opportunity to reassure investors that operations in Georgia remain unaffected by the wider geopolitical tensions and the Board remains confident there will be no disruption due to any existing or potential sanctions or restraints of trade imposed."
Paul Jeffs (Block's Reservoir Engineer) has reviewed the reserve, resource and production information contained in this announcement. Dr Jeffs has PhD and MSc degrees in Engineering from Imperial College, London and is a Chartered Engineer with 40 years' experience in the Oil and Gas Industry.
**ENDS**
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK VERSION OF THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF ENGLISH LAW BY VIRTUE OF THE EUROPEAN (WITHDRAWAL) ACT 2018, AS AMENDED. ON PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.
For further information please visit http://www.blockenergy.co.uk/ or contact:
Paul Haywood (Chief Executive Officer) | Block Energy plc | Tel: +44 (0)20 3468 9891 |
Neil Baldwin (Nominated Adviser) | Spark Advisory Partners Limited | Tel: +44 (0)20 3368 3554 |
Peter Krens (Corporate Broker) | Tennyson Securities | Tel: +44 (0)20 7186 9030 |
Philip Dennis / Mark Antelme (Financial PR) | Celicourt Communications | Tel: +44 (0)20 8434 2643 |
Notes to editors
Block Energy plc is an AIM-listed independent oil and gas company focused on production and development in Georgia, applying innovative technology to realise the full potential of previously discovered fields.
Block has a 100% working interest in Georgian onshore licence blocks IX and XIB. Licence block XIB is Georgia's most productive block, with 2P reserves of 64 MMboe, comprising 2P oil reserves of 36 MMbbls and 2P gas reserves of 28 MMboe (Source: CPR Bayphase Limited: 1 July 2015) and historical production of over 180 MMbbls of oil from the Middle Eocene, peaking in the mid-1980s at 67,000 bopd.
The Company has a 100% working interest in the West Rustavi onshore oil and gas field with multiple wells that have tested oil and gas from a range of geological horizons. The field has so far produced 50 Mbbls of light sweet crude and has 0.9 MMbbls of gross 2P oil reserves in the Middle Eocene. It also has 38 MMbbls of gross unrisked 2C contingent resources of oil and 608 Bcf of gross unrisked 2C contingent resources of gas in the Middle, Upper and Lower Eocene formations (Source: CPR Gustavson Associates: 1 January 2018).
Block also holds 100% and 90% working interests respectively in the onshore oil producing Norio and Satskhenisi fields.
The Company offers a clear entry point for investors to gain exposure to Georgia's growing economy and the strong regional demand for oil and gas.
Glossary
1. bbls: barrels. A barrel is 35 imperial gallons.
2. Bcf: billion cubic feet.
3. boe: barrels of oil equivalent.
4. boepd: barrels of oil equivalent per day.
5. bopd: barrels of oil per day.
6. LTI: lost-time incident.
7. Mbbls: thousand barrels.
8. Mboe: thousand barrels of oil equivalent.
9. MMbbls: million barrels.
10. MMboe: million barrels of oil equivalent.