“Towards the end of the quarter, we delivered on our key objective as we spudded the WR-B1 well, which, after significant planning and dedication from the team, seeks to provide a material boost to our production in Georgia,” highlighted chief executive Paul Haywood.
“The WR-B1 well will also play a vital role in the second well in the campaign as we will look to use critical WR-B1 drilling information to mitigate risk and optimise the programme of the next well.
“Beyond the drill bit, execution of the baseline production enhancement plan has made solid progress throughout Q2 and we look forward to seeing the results of the team’s hard work as the company moves through an active drilling and workover period in Q3.”
Block produced some 42,600 barrels oil equivalent in the quarter ended June 30, comprising 25,700 barrels of oil and 16,900 barrels of equivalent of gas. Volumes were impacted (down about 5%) by natural decline. This year the company will conduct a programme of well maintenance, intervention and production enhancement.
Oil sales amounted to 15,600 barrels to generate US$960,000 with the average weighted price marked at US$62 per barrel, up 18% on the first quarter. Gas sales generated US$209,000 and it was the first full quarter of gas sales.
The company noted that it ended the quarter with US$5.4mln of cash.