Business
Replacement: W Rustavi well 16aZ*: update
Replacement: W Rustavi well 16aZ*: update.
About this update from Block Energy Plc
[{"type":"text","content":"\n \nRNS Number : 5085W Block Energy PLC 17 April 2019 \n\nBlock Energy Plc | Index: AIM \n17 April 2019\n \nFollowing the release of the announcement no 4117W at 7.00am on the 17 April 2019, the Company wishes to clarify that the reference to a 1/8 inch choke size in RNS 6236U released at 7.00am on the 1 April 2019 should have been reported as a 1/4 inch choke size. The information regarding choke size in today's earlier release and reproduced in the announcement below is correct.\n \nBlock Energy Plc ('the Company' or 'Block' )\nW Rustavi well 16aZ*: update - replacement\n \n· Production from well 16aZ continues to validate test results\n· Upgrade of production infrastructure to support exceptional production rates\n· MOU for sales of associated gas with major Georgian private gas supplier \n \nBlock Energy Plc, the exploration and production company focused on the Republic of Georgia, is pleased to announce that well 16aZ ('the well' or '16aZ') at its West Rustavi field ('West Rustavi') continues to produce, as the limits of crude oil storage allow, at rates consistent with the average test flow rate of 1,100 bbl/d ('barrels per day') announced on 1 April 2019 (RNS: https://bit.ly/2YOpggq).\n \nThe rate of 1,100 bbl/d produced through an 1/4 inch choke significantly exceeded the Company's target rate of 325 bbl/d, triggering an immediate requirement to upgrade production infrastructure. While the Company addresses production capacity and offtake requirements, the diameter of the choke has been reduced as of 13 April 2019 from 1/4 inches (~6 millimetres) to 1/8 inch (at just over 3 millimetres, the smallest size possible), scaling back production from 1,100 bbl/d to a rate of around 700 bbl/d. \n \nThe analysis of bottom hole pressures measured during the production flow test and subsequent build-up shows that both the formation matrix and natural fractures are contributing to the well's production. The well's productivity index is measured as 8 bbl/d/psi.\n \nSubject to contract, Block has now negotiated terms on additional storage facilities, and is also negotiating new oil sales contracts with local and international purchasers, which are showing strong interest in supporting Block's future development plans....