Business
Portland Oil Production Resumes at Horse Hill
Portland Oil Production Resumes at Horse Hill.
About this update from Uk Oil & Gas Plc
[{"type":"text","content":"\n \nRNS Number : 2877Q UK Oil & Gas PLC 18 February 2019 \n\nUK Oil & Gas PLC\n(\"UKOG\" or the \"Company\")\n \nPortland Oil Production Resumes at Horse Hill Oil Field \n \nUK Oil & Gas PLC (London AIM: UKOG), is pleased to announce that its subsidiary company, Horse Hill Developments Ltd has re-established Portland oil production from the Horse Hill-1 (\"HH-1\") well in which the Company has a 50.635% majority interest. The resumption of continuous Portland dry oil flow (i.e. oil with zero water content), at a stable daily rate of between 208 to 218 barrels per day (\"bopd\"), forms a key part of the schedule of works required to finalise the Portland field development plan and to the targeted establishment of permanent long-term Portland production, planned by end 2019. \n \nFurther details of extended well test (\"EWT\") results to date are summarised below.\n \nHorse Hill 2018-19 EWT Oil Production Milestones:\n \n· Over 30,200 barrels (\"bbl\") aggregate Kimmeridge and Portland oil production to date.\n· Over 25,000 bbl total Kimmeridge oil production.\n· Over 5,100 bbl total Portland production to date, flow continues. \n· 142 tankers of crude successfully exported primarily to Perenco's Hamble oil terminal. The KL's 40° API Brent quality crude containing no produced water, continues to be sold at prevailing Brent crude oil prices, less a small deduction for handling and marketing.\n \nPortland Test Production and Future Plans\n \nFor prudent reservoir management purposes, the average test production rate from the 114 ft vertical perforated Portland section has been maintained below the previously reported 362 bopd calculated optimised sustainable rate. HH-1 test production is planned to continue until the completion of the new HH-2 Portland horizontal well, scheduled to start in spring 2019, and for which planning and environmental permits are in place. Portland test production will then be switched over to HH-2. \n \nAs detailed in UKOG's 23 January 2019 Strategic Review, the HH-2 Portland flow rate target of 720-1,080 bopd from the HH-2 horizontal well, which has been externally verified as a realistic and viable expectation by Xodus Group Ltd (\"Xodus\"), is designed to p...