Texas - Whistling Straits 5H Well Testing Begins

RNS Number : 1953X

Pennpetro Energy PLC

24 April 2023

 

Pennpetro Energy PLC

("PPP" or "Pennpetro")

Texas - Whistling Straits 5H Well Testing Begins

London, 24 April 2023 - Pennpetro Energy PLC (LSE: PPP), an independent oil and gas company focusing on production and development in Gonzales County, Texas, USA, is pleased to advise that a high-pressure hydraulic tree and surface oil storage tanks have been installed at the Whistling Straits 5H well in the Peach Creek Oil Field, Gonzales County in Texas. The pump has been installed and was started at around 17:30 Houston time last night. A period of clean-up is expected to recover load water added to the well during the drilling of the well and the operator plans to bring the well on slowly.

The well was drilled to 10,195 feet MD with a 7,632.22 feet true vertical depth ("TVD") having reached the target and penetrated the crestal portion of the microfracture swarm. The well will be produced over an interval of 2,500 feet of open hole within the Austin Chalk.

The Whistling Straits 5H well is the first well to be drilled under its recently signed Participation, Development and Option Agreement between Pennpetro's 100% owned subsidiary, Nobel Petroleum USA Inc. ("Nobel"), and Millennium PetroCapital Corporation ("Millennium") within the 250,000 acre (1,011 km 2 ) Area of Mutual Interest ("AMI") petroleum joint venture in Gonzales County, Texas. The AMI is located about 290 miles (466 kilometres) due west of Houston and will provide PPP's Nobel with a large inventory of low-risk development options in a world class oilfield.

Nobel is paying 33.33% of the cost to drill and complete this joint development well connected to the storage tanks for a net 25% working interest (18.75% net revenue interest) as well as a prospect fee which covers sunk costs relating to leasing, land, legal, 3D seismic licensing, geological and geophysical analysis.

-ENDS-

This announcement contains inside information within the meaning of Article 7(1) of (i) Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014, as amended (the "EU Market Abuse Regulation") and (ii) the EU Market Abuse Regulation as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018.

ENQUIRIES:

Pennpetro Energy PLC: Tom Evans, CEO	[e-mail]
Brokers: Zeus Capital Simon Johnson	[phone]
Peterhouse Capital Limited Lucy Williams  Duncan Vasey	[phone] [phone]
Media and Investor Relations: Instinctif Partners   Galyna Kulachek Isadora Pegler	[e-mail] [phone]

NOTES TO EDITORS:

Pennpetro Energy is an independent oil and gas company focusing on production in the Gonzales Oil Field in Texas, USA. Shares in the company were admitted to the Official List of the London Stock Exchange by way of a Standard Listing on 21 December 2017 with the ticker symbol " PPP " . Its wholly owned subsidiary, Nobel Petroleum USA Inc. has a Participation, Development and Option Agreement and Joint Operating Agreement with Texas based Millennium PetroCapital Corporation over a 250,000 acre Area of Mutual Interest in Gonzales County, Texas, aimed at exploiting the prolific proven Austin Chalk oil and gas play. Pennpetro Energy has also recently signed a conditional binding agreement to conduct a new 3D seismic survey on the Horse Hill Oil Field near London's Gatwick Airport which paves the way to drilling the next production well (HH-3) for 49% of the revenue of this proposed well.

Further information on the Company can be found at www.pennpetroenergy.co.uk

 

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