LGO Energy plc is pleased to advise that work has begun in earnest to increase oil production at its Goudron Field in Trinidad and approvals have been granted by the Petroleum Company of Trinidad and Tobago Limited (Petrotrin) and Ministry of Energy and Energy Industries to perforate a new oil zone well GY-671 in the Upper C-sands over a net pay interval of 208 feet. The Company is planning to perforate GY-671 shortly once the perforation equipment is mobilised to site.
In addition, the well GY-50 has been successfully re-entered and logged to a depth of 2,428 feet. Following interpretation of these logs, an application will now be submitted to Petrotrin to perforate and complete 223 feet of new net oil pay in the Goudron Sandstone section in two intervals starting with a 164 foot zone between 1,192 and 1,615 feet. This well is expected to be perforated immediately after the completion of GY-671. The second pay zone will be completed at a later date.
Technical work has now identified an additional 6 existing wells that represent further low-cost opportunities to increase production by accessing previously uncompleted productive intervals in existing wells. Applications are being prepared to have these wells also approved for completion.
Neil Ritson, LGO's Chief Executive, commented:
"We are really pleased to be moving towards again adding new untapped oil production at the Goudron Field with these low cost, high impact recompletions and we would expect to see production starting to increase after a lengthy hiatus following the issues experienced with the loss of GY-678 in October last year. The recent reduction in overriding royalties by Petrotrin for the Goudron Field and the stabilizing oil price are both providing encouragement to increase investment and production."
