Energy: Bass Oil ready to begin production at its Indonesian well, shares rally 50pc
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Indonesia-focused oil play Bass Oil (ASX:BAS) has jumped 50 per cent after telling shareholders it is ready to start producing from another well.
The company concluded production testing at its Bunian 5 well and both productive zones showed strong results.
The average flow rate over the TRM 3 sandstone was over 860 barrels of oil per day. Meanwhile at the K sandstone it was 650 barrels of oil per day.
While the company plans a further drilling program in 2020, it said the TRM 3 sandstone reservoir is ready to produce.
Managing director Tino Guglielmo told Stockhead last month the Indonesian market was good for an oil explorer to be in.
He said the economy was growing “strong and steadily” and as a developing country needed energy.
Guglielmo also mentioned that the government was friendly towards oil explorers because of the need for energy and determination to reduce the nation’s reliance on imports.
The oil produced from the tests has already been trucked and sold to domestic refineries.
Bass shares climbed 50 per cent this morning.
Elixir Energy (ASX:EXR) has intersected 20.6m of net coal at its Mongolian project. It just passed the halfway mark of the planned core-hole drilling yesterday. Once the well reaches its target, Elixir will test for depth permeability but final desorption will take 60 days. Managing director Neil Young said the core hole was meeting its objectives.
Byron Energy (ASX:BYE) has decided to go at its SM71 F4 well alone after co-owner Otto Energy (ASX:OEL) declined to participate. Byron will spud the well in January 2020. The well is located in an oil field where two other wells combined have produced 1.83 million barrels of oil in 20 months.
Oklahoma-focused Brookside Energy (ASX:BRK) reported an initial production result from it’s third Sycamore well in its SWISH area of interest. The well delivered 1,942 barrels of oil in just 24 hours. Brookside managing director David Prentice said the results were very encouraging and exceeded expectations.