Aminex gives update on US activities
ISEQ-listed exploration company Aminex has given investors an update on its US activities.
At South Weslaco in Texas, the company participated in the drilling of two wells last year as part of an ongoing multi-well development drilling programme.
The GU-35 and the GU-36 were both drilled to a total depth of 2,743 metres.
In each case, logs encountered commercial quantities of gas in multiple formations.
A rig was mobilised in December for the completion of both wells after a long waiting period, which was a direct result of the current shortage of mobile equipment.
In mid-December, both wells were put on extended production test and, following a period of consistent flow rates of a combined 3.1 million cubic feet per day with negligible depletion, are now on permanent production from the lower sands.
There is considerable scope for producing ‘behind-pipe’ reserves in these well bores from additional zones in the future.
Aminex's wholly-owned subsidiary Aminex USA Inc. has a 25% working interest in these wells and the operator is Kayler Energy.
The next well in the programme is designed to test deeper formations and will be spudded as soon as a drilling rig comes available.
Aminex has begun a rehabilitation programme on the Shoats Creek Field, in Louisiana.
In the past, difficult operating conditions and competing projects made further investment in this field a poor economic prospect, but a recent engineering review and new economic modelling indicate the potential for significant untapped reserves and produce a strong business case for early redevelopment.
The existing well bores are completed in the Cockfield Sands at depths of between 2,438 metres and 2,896 metres.
The Cain-1 well at Shoats Creek has already been re-equipped and recompleted and is producing at an average rate of 35 barrels per day.
New oil tanks and facilities are currently being installed at the field, old flow lines and redundant infield equipment are being removed and a second workover is in progress.
Aminex chief executive Brian Hall said: “The drilling of the South Weslaco wells and the upgrading of the Shoats Creek wells and facilities are part of an ongoing programme to bring new production onstream in the USA.
“Aminex is also continuing to make good progress with its exploration projects in Africa and the Far East and will provide further information at the appropriate time.”
