Business
Commencement of Production from the ASD-2 well
Commencement of Production from the ASD-2 well.
About this update from United Oil & Gas Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 1558G\n United Oil & Gas PLC\n 28 March 2022\n \n \n \n \n United Oil & Gas PLC / Index: AIM / Epic: UOG / Sector: Oil & Gas\n \n \n 28 March 2022\n \n \n United Oil and Gas Plc \n \n \n (\"United\" \"the Group\" or the \"Company\")\n \n \n \n \n \n Commencement of Production from the ASD-2 well \n \n \n \n \n \n United Oil & Gas PLC the growing oil and gas company with a portfolio of production, development, exploration and appraisal assets is pleased to announce an update on the ASD-2 development well in the Abu Sennan licence, onshore Egypt. United holds a 22% working interest in the licence, which is operated by Kuwait Energy Egypt\n .\n \n \n \n \n \n Highlights\n \n \n · \n The ASD-2 well has commenced production at an initial rate of c. 2,100 bopd gross (c.462 bopd net), significantly above pre-drill expectations\n \n \n · \n An exceptionally short turnaround time of just six days from well completion to production and revenue generation for United \n \n \n · \n A rig has been mobilised to drill the second well in the 2022 drilling programme. This is the ASV-1X exploration well which is expected to spud in the coming days\n \n \n · \n A fifth firm well has been added to the fully funded 2022 drilling campaign following completion of technical work and a sustained high-oil price\n \n \n \n \n \n United's Chief Executive Officer, Brian Larkin commented:\n \n \n \"This is another fantastic drilling result, significantly above our pre-drill expectations. The ASD-2 well is the eighth consecutive successful well at Abu Sennan since we acquired the licence in 2020. The wells within Abu Sennan have an exceptionally short turnaround time between well completion and commencement of production - typically a matter of days for development wells. With our production being leveraged to the current higher oil prices, this additional production rapidly generates revenue and cashflow for United. We have had a great start to the year with the agreement on the Crown milestone payment followed by this impressive drilling result and we look forward to continuing our 2022 drilling programme with the ASV-1X exploration well, due to spud in the coming days. We are also pleased to have added a firm development well to the drilling...