Last checked at 13 Jan 2022 07:00
United Oil & Gas PLC / Index: AIM / Epic: UOG / Sector: Oil & Gas
13 January 2022
United Oil and Gas plc
("United" or "the Company")
Al Jahraa-13 well test results and commencement of production
United Oil & Gas PLC (AIM: "UOG"), the growing oil and gas company with a portfolio of production, development, exploration and appraisal assets is pleased to announce successful test results and commencement of production from the Al Jahraa-13 development well ("AJ-13"), in the Abu Sennan licence, onshore Egypt, which is operated by Kuwait Energy Egypt.
Highlights
· Well tested with flow rates of:
- 897 bopd and 0.95 mmscf/d gas (c. 1,087 boepd gross; 239 boepd net) on a 64/64" choke
- 623 bopd and 0.47 mmscf/d gas (c. 717 boepd gross; 158 boepd net) on a 32/64" choke
· The well has now been tied into the existing facilities and brought on stream at an initial rate of c. 600 bopd gross on a 48/64" choke. This is less than eight days from completion, rapidly adding additional production and revenue to the Company
· The ECDC-6 rig will now move to drill the ASD-2 development well, the first well in the 2022 campaign
As previously announced, the AJ-13 well, which is a follow up to the successful Al Jahraa-8 well, safely reached a TD of 3,840m, several days ahead of schedule and under-budget. The well has been logged and interpreted to have encountered 17.5m of net oil pay across the Upper and Lower Bahariya reservoir targets, in line with the range of pre-drill expectations.
The AJ-13 well is the fifth and final well in the Abu Sennan 2021 drilling programme. The ECDC-6 rig, used to drill the AJ-13 well, will now move to commence the 2022 drilling programme, starting with the ASD-2 development well. The ASD-2 well follows on from the exploration success that was made in 2021 with the ASD-1X well. It will target the Abu Roash reservoirs in a more northerly part of the same structure, aiming to access the upside reserves and accelerate production from this field.
A trading and operations update will be issued in late January to summarise 2021 operational activities and to provide initial guidance on 2022 plans and performance expectations.
United holds a 22% working interest in the Abu Sennan licence.
United's Chief Executive Officer, Brian Larkin commented:
"AJ-13 has been brought on stream in less than eight days from completion using the existing facilities and generating production and revenue for the Company. With initial gross production rates of 600 bopd we expect the well to pay back in under nine months, similar to previous wells.
"Following the exceptional drilling success achieved in 2021 we look forward to beginning our 2022 development and exploration drilling programme. The ECDC-6 rig will now move to drill the ASD-2 development well, the first well in our 2022 drilling programme, which is due to spud in the coming weeks."
**ENDS**
Jonathan Leather, an Executive Director of the Company, who has over 20 years of relevant experience in the oil and gas industry, has reviewed and approved the information contained in this announcement. Dr Jonathan Leather is a qualified person as defined in the guidance note for Mining Oil & Gas Companies of the London Stock Exchange and is a member of the Petroleum Exploration Society of Great Britain and the Society of Petroleum Engineers.
This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR").
Enquiries | |
United Oil & Gas Plc (Company) | |
Brian Larkin, CEO | brian.larkin@uogplc.com |
Sharan Dhami, Head of IR & ESG | sharan.dhami@uogplc.com |
Beaumont Cornish Limited (Nominated Adviser) | +44 (0) 20 7628 3396 |
Roland Cornish and Felicity Geidt | |
Optiva Securities Limited (Broker) | +44 (0) 20 3137 1902 |
Christian Dennis
| |
Murray (PR Advisor) | +353 (0) 87 6909735 |
Joe Heron | jheron@murrayconsultants.ie |
Camarco (Financial PR/IR) | +44 (0) 20 3757 4983
|
Billy Clegg | James Crothers | Tessa Gough-Allen | uog@camarco.co.uk |
Notes to Editors
United Oil & Gas is a high growth oil and gas company with a portfolio of low-risk, cash generative production, development, appraisal and exploration assets across Egypt, UK, Italy and a high impact exploration licence in Jamaica.
The business is led by an experienced management team with a strong track record of growing full cycle businesses, partnered with established industry players and is well positioned to deliver future growth through portfolio optimisation and targeted acquisitions.
United Oil & Gas is listed on the AIM market of the London Stock Exchange. For further information on United Oil and Gas please visit www.uogplc.com