Kolibri Global Energy Inc. (the “Company” or “KEI”) (TSX: KEI, OTCQX: KGEIF) is pleased to provide an operations update for its Tishomingo field in Oklahoma.
Barnes 8-1H and 8-2H Caney Wells
The Barnes 8-2H well had a thirty-day production rate of 476 barrels of oil equivalent per day (BOEPD), with 80% being oil. The Barnes 8-1H had a thirty-day production rate of 390 BOEPD, with 81% being oil. The Company attributes the higher production rate of the Barnes 8-2H well to it being in the Lower part of the Caney formation but believes both are economic wells at their forecasted decline curves. The data collected to date indicates that the optimum development of the Caney, at six well spacing, should be with all six wells placed in the lower Caney, which will access the Upper and Lower Caney reserves.
Barnes 8-3H, T-zone Well
The Barnes 8-3H well, which is the first T-zone well that utilized the Company’s latest fracture stimulation technique, is performing better than previous T-zone wells. The well had a thirty-day production rate of 480 BOEPD, with 68% being oil. The Barnes 8-3H is producing at a 20% higher oil rate than our previous best performing T-zone well.
Additional Wells and Drilling Program Expansion
Drilling is underway on the Barnes 7-5H well, which will be followed by the Barnes 7-4H well. Both wells are targeting the Lower Caney formation, and both will be fracture stimulated simultaneously after the drilling is complete.
The Company now plans to drill another three well pad immediately after the Barnes 7-4H is finished drilling. The three well pad is planned to consist of two Lower Caney formation wells and one T-zone well. This will expand our 2023 drilling program to eight wells from the previous forecast of 6-7 wells for the year.
The Company plans to release earnings after market close on August 3, 2023, and has also uploaded a new investor presentation to its website.
Wolf Regener, President, and CEO commented, “We are pleased with the first three wells in our 2023 program as we continue to fine-tune our development program to maximize the value of the field. The Barnes 8-1H and 8-2H wells are on track to confirm our belief that the downspacing of the Caney is economic, which should enable much more production from this field.
“We continue to monitor the Barnes 8-3H T-zone well, and we believe that the early results indicate that T-zone wells will be economic. Achieving commercial rates from the T-zone could add many additional well locations and reserves that are not currently reflected in our reserve estimates. The T-zone formation is present over our entire acreage block and is thus potentially very significant to the Company.
“Our confidence in the early results from these wells has led us to increase the number of wells we plan to drill this year.
“It is important to note that while we often speak of average production rates, wells vary in productivity, as is typical and to be expected when developing oil fields. Based on our analysis, we anticipate the next sets of Caney downspaced wells to have higher initial production rates.
“We are also very pleased that the wells we drilled in 2022 are doing so well. In our updated investor presentation, the individual production rates of these wells are now shown.”
