Operations Update

RNS Number : 7657M

Andalas Energy And Power PLC

18 September 2019

 

18 September 2019

Andalas Energy and Power Plc

('Andalas' or the 'Company')

Operations Update

Andalas Energy and Power Plc, the AIM traded upstream oil and gas company (AIM: ADL), is pleased to announce an operations update on the Betun Selo KSO, in which it has a production interest further to the agreement announced on 21 June 2019. The Company is currently undertaking a 4-well workover programme on the project.  The Betun Field is currently producing 84.8 barrels of oil per day ("bopd") (gross). 

·    BTN 01: currently producing at a most recently tested rate of 10.4 bopd.  This well was put back on production yesterday following further work on the pump which is now being operated at a reduced rate pending commissioning of the water disposal facilities referred to below.  A further update will be provided as set out below.

·    BTN 03: currently shut-in.  Permits to enable the perforating gun explosives to be transported from Subang, West Java to Prabumulih have been issued and the explosives are being moved to the storage bunker.  A further permit will be required to move the explosives from the bunker to site.  A further update will be provided in due course.

·    BTN 04: currently producing at a most recently tested rate of 44.0 bopd. 

·    BTN 14: currently producing at a most recently tested rate of 30.1 bopd. 

·    Following the workovers of both BTN 01 and BTN 14, produced water rates have increased significantly requiring both wells to be cut back to the current rates until a larger water injection pump (4,500 bfpd), currently being commissioned, is fully operational, which will take the installed water injection pumping capacity from 2,000 bfpd to 6,500 bfpd.  Additional tankage is also being sourced.  A further update will be provided after the new water injection pump has been commissioned and pumping rates have been increased and tested.

Andalas Energy, CEO, Simon Gorringe said "We are pleased with progresss at Betun Selo.  The work programme is delivering results and we look forward to getting on with the workover of BTN 03."

Qualified Person's Statement

The technical information contained in this announcement has been reviewed and approved by Mr. Gregor Mawhinney. Mr. Mawhinney is consulting for Andalas, acting in the role of Vice President Operations. He has 40 years' experience in the oil and gas industry, is a member of the Society of Petroleum Engineers (SPE) and a member of the Professional Engineers and Geoscientists of Newfoundland and Labrador (PEGNL).

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR).  Upon the publication of this announcement via a Regulatory Information Service ('RIS'), this inside information is now considered to be in the public domain.

For further information, please contact:

Simon Gorringe	Andalas Energy and Power Plc	Tel: [phone]
Graham Smith	FIM Capital Limited	Tel: [phone]
Roland Cornish/ James Biddle	Beaumont Cornish Limited (Nominated Adviser)	Tel: [phone]
Colin Rowbury	Novum Securities Limited (Joint Broker)	Tel: [phone]
Christian Dennis	Optiva Securities Limited (Joint Broker)	Tel: [phone]

 

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