Tests at the Wressle oil site in North Lincolnshire have exceeded flow rates of 500 barrels of oil per day, the operator, Egdon Resources said this morning.
The result matched the company’s forecast following the proppant squeeze, a small-scale fracking operation, carried out last month.
The flow from the Ashover Grit formation had “not yet reached its full potential”, the company added.
Egdon’s managing director, Mark Abbott, said in a statement:
“I am delighted to advise that the proppant squeeze operation has been successful in enabling the Wressle well to deliver the target production rate of 500 barrels of oil per day. Oil production will be optimised whilst the Ashover Grit reservoir continues to clean-up.”
Egdon has a 30% interested in the Wressle licence. The other major shareholder is Union Jack Oil with 40%.
Union Jack’s executive chairman, David Bramhill, said:
“I am, of course, delighted with the outcome of the proppant squeeze operation which has enabled the Wressle-1 discovery to deliver the expected production rate of 500 barrels of oil per day from the Ashover Grit reservoir, the lowest reservoir interval in the original discovery well.”
Both companies said a full production rate of 500 barrels of oil per day, at current prices, would transform their business.
They also said there remained potential in other Wressle oil reservoirs in the Wingfield Flags and Penistone Flags, that were not part of the recent test programme.
At the time of writing, Egdon Resources shares were up 5.6% at 1.4p. Union Jack was up 1.47% at 34.50p.
Ruth Hayhurst will be reporting for DrillOrDrop from the COP26 climate conference in Glasgow in November
Should soon be able to start payments to the local community.
Might take a while to equate to the £400k cost for the local community “achieved” by the actions of a few, but-once again-production benefits being used to recover costs that could have been avoided.
Just think how much better it would be if money was not so readily chucked away. Perhaps more investment into renewables?
Somewhere, over the horizon someone may have to choke back a little bit-like 500 barrels per day-but then, without the transport emissions to choke anyone else, who cares? Apart from those looking for an excuse to protest or lobbyists for those over the horizon.
Early days, not enough time / information to assess this yet. No mention of water production, hopefully zero formation water, however the well is apparently still cleaning up so there will be some water from the stimulation. And what will be interesting is how long these rates are maintained and the reservoir / inflow performance post stimulation.
“We will provide a further update once stabilised flow rates are established in the coming weeks.”
What is clear is that all the anti’s doom and gloom and disaster scenarios of undertaking a routine small scale proppant squeeze were unfounded, as expected…..
Sufficient oil to keep Extinction Rebellion supporters in fuel until they give up their gas guzzling cars (or holidays abroad)?