Last checked at 22 Aug 2017 07:00
August 22, 2017
ZENITH ENERGY LTD.
("Zenith" or the "Company")
Zenith completes ESP installation at well M-45 in Azerbaijan
Zenith Energy Ltd. ("Zenith" or the "Company") (LSE: ZEN; TSX.V: ZEE), the dual listed international oil & gas production company operating the largest onshore oilfield in Azerbaijan, is pleased to announce that a latest generation Schlumberger electrical submersible pump (ESP) has successfully been installed in well M-45. Current production is 49 BOPD.
Zenith is confident that oil production at well M-45 could increase as technical adjustments are made and optimum production parameters are achieved.
The advanced technology of the ESP installed in well M-45 enables the Company's field personnel to monitor flow rates and temperature as well as to input reservoir pressure and electrical parameters to optimise production. It should be noted that this is the first ESP of this sophistication to be installed in the Company's field in Azerbaijan.
The Company has identified a further 11 wells with obsolete and unreliable existing ESP technology which are deemed capable of significant increases in production following the installation of the latest generation electrical submersible pumps. The new ESPs have been ordered from Schlumberger and Baker Hughes and designed in accordance with the specifications of each well.
Procuring the ESPs from two of the world's most renowned oilfield technology companies will enable Zenith's operational team to comparatively assess the respective advantages of both types of latest generation ESP, and will also mitigate the risk of possible delays in production and transportation.
Zenith's operational team expects the ESP replacement activities undertaken across the 11 wells will generate a total increase of 219 BOPD over existing production.
The Company is also evaluating other wells across the Company's 642.4 km2 field area where the installation of an ESP would significantly increase production.
Mike Palmer, Chief Operating Officer, Zenith Aran, the Company's Azerbaijan-based fully owned subsidiary, commented:
"The latest generation ESP technology allows Zenith's operational team to precisely control the downhole input pressure and optimise production. We no longer rely on determining fluid levels from the surface. We can determine the input pressure down to two decimal places and can control the speed of the pump to exactly hold the input pressure at our optimal rate.
We can also predict problems by monitoring the electrical input and temperature of the motor. All such parameters can be monitored remotely using any portable device, even a smartphone. All of our ESP installations will gradually be equipped with this technology."
For further information, please contact:
Zenith Energy Ltd.
Andrea Cattaneo
CEO & President
Email: info@zenithenergy.ca
Telephone: +1 (587) 315 9031
Telefax: +1 (403) 775 4474
Allenby Capital Limited - (Joint Broker)
Nick Harriss
Nick Athanas
Richard Short
Telephone: + 44 (0) 203 328 5656
Optiva Securities - (Joint Broker)
Christian Dennis
Telephone: + 44 (0) 203 137 1903
Abchurch (Financial PR/IR)
Tim Thompson
Telephone: +44 (0) 200 7398 7700