President Energy, the energy company with a diverse portfolio of energy assets provides an update on its oil and gas operations in Argentina.
Highlights
· Well DP-2003 spudded at the Dos Puntitas field, Salta Province , Argentina
· Detailed petrophysical review of the logs from new well DP-2001 reinforce the deliverability of expected production with completion work on the well due to start next month
· President to export more oil from Argentina in January
Salta drilling
Drilling of the DP-2003 well at the Dos Puntitas field, Puesto Guardian Concession (President 100%) has now commenced with a projected drilling time of 23 working days (excluding logging and casing times).
Budget for the well is US$3.5m with a target depth of 3,270 metres and initial production level of 40 m3/d.
Detailed petrophysical analysis of the electric logs from the newly drilled DP-2001 well support the pre-drill oil production estimate of 40m3/d.
In the meantime, the preparations for the mobilization of the workover rig to Salta to complete the new wells continue with expected arrival in January in order to commence operations in that month.
Export of oil from Argentina
In the light of continued robust international oil prices President expects to sell a substantial part of their January production by way of export, generating higher realization prices with an increment of 20% to bottom line profitability for the relevant month. Whilst not anticipated every month it is hoped that the equivalent of up to a third of President's entire Rio Negro 2022 production can be sold in that way subject to the differential in pricing remaining constant
