“The successful Etame 9P is the initially of numerous appraisal alternatives that we have discovered that have the opportunity to produce significant organic and natural price for our shareholders.”
(LON:EGY, ) has designed a good commence to its time in London, asserting a new oil discovery offshore Gabon.
The lately mentioned oil and fuel organization, in a statement, exposed that Etame-9P appraisal perfectly has confirmed the Dentale reservoir, beneath the known Etame subject.
Dentale was formerly determined in a 2001 properly at Etame and in this gap the organization has minimize an oil column measuring 35 ft. VAALCO noted that the reservoir is estimated to host some 2.5 to 10.5mln barrels of recoverable sources.
Cary Bounds, VAALCO main govt, highlighted the organization was examining the viability of drilling Dentale enhancement wells in the potential to prolong Etame’s lifespan through supplemental reserves and production.
Moreover, the business stated that the very well also encountered a thicker-than-expected reservoir in the Gamba zone, the manufacturing reservoir at Etame, and, as this sort of it now anticipates larger recoveries from the Etame-9H nicely.
Etame-9P is a vertical pilot well, from which a horizontal properly (Etame-9H) will be drilled.
The company pointed out that gear became caught in the hole and retrieval functions are underway. It is now envisioned that horizontal drilling will be delayed, with the well completion now owing in December.
“We are psyched that our 1st appraisal wellbore in the 2019/2020 drilling marketing campaign has verified our estimates of meaningful recoverable assets in the subcropping Dentale, which we at present have labeled as possible,” Bounds claimed.
“The thriving Etame 9P is the 1st of numerous appraisal alternatives that we have discovered that have the probable to create sizeable organic benefit for our shareholders.
“The end result reaffirms the upside prospective however to be exploited from the Etame subject.”
New entrant to London’s oil sector
VAALCO listed in London previous month with the Texas headquartered, Africa focussed company introducing to its existing listing in New York.
At that time, Bounds described the go as a ‘significant milestone’. “Our listing on the LSE will complement our existing listing on the NYSE and supply one more strategic platform to assist our targets for expansion,” he mentioned.
“We glance ahead to continuing to create on our track document of operational excellence and benefit creation as we carry out our lively work programme and seek out inorganic opportunities in line with our strategic emphasis.”
VAALCO’s core asset is a 31% desire in the Etame field offshore Gabon the place, in the second quarter of 2019, it was producing some 3,664 barrels of web oil manufacturing for every day. The area has created a overall of 110mln barrels of crude in its operating everyday living to day.
As it arrived to London the company was also operating on a new 5 properly programme of drilling at Etame, comprising a few appraisals and two pure improvement wells.
Etame presently has some 123mln barrels of reserves and means, and, VAALCO thinks important enhancement possibilities remain in the area, supported by the present infrastructure which can make it possible for new output to appear on the internet speedily.